Technical Analysis
Directional indicators: ADX at 17.71 indicates no established trend strength. DI+ shows a dip-and-reversal at 16.06, which signals a bullish directional shift; DI- decreasing at 19.83 also aligns with that shift. The combination implies directional bias has turned mildly constructive, but ADX warns the move lacks trend conviction.
MACD: MACD at -0.30 has completed a dip-and-reversal and sits above its signal line (-0.44), a bullish momentum confirmation that supports a near-term recovery in price momentum versus the recent consolidation.
MRO (Momentum/Regression Oscillator): MRO = -20.41 (negative) signals the current price sits below the model target and therefore carries potential upside pressure as the price seeks catch-up; the MRO’s dip-and-reversal characteristic reinforces a short-term push higher.
RSI and short-term strength: RSI at 46.38 with a dip-and-reversal indicates a rebound from weaker readings into a neutral band, consistent with a constructive short-term momentum backdrop without overextension.
Price vs averages and bands: Last close $35.07 sits above the 20-day average $34.17 and the 12-day EMA $34.27 (EMA trending up on a dip-and-reversal), supporting short-term strength. Price remains slightly below the 200-day average $35.62, so longer-term trend pressure persists. Price near the 1x Bollinger upper band ($35.00) shows short-term stretch toward overhead resistance while remaining below the 2x upper band ($35.83).
Volatility and correlation: 42-day beta = -0.46 and 52-week beta = -0.06 indicate low or negative market correlation, which can mute broad-market-driven moves and make idiosyncratic momentum more relevant.
Fundamental Analysis
Profitability and margins: Total revenue $1,862,647,000 with EBIT $730,684,000 yields an EBIT margin of 39.23%. That margin exceeds the industry peer mean of 32.18% and closely tracks the industry peer median of 38.78%, while remaining well below the peer high of 87.67%. Operating margin sits at 35.51%, consistent with the company’s reported operating leverage and improved cost absorption QoQ.
Growth rates: Revenue growth shows strong recent acceleration: reported revenue growth of 45.12% (aggregate) with revenue growth YoY = 113.34% and QoQ = 240.94%. Earnings growth YoY = 147.90% while earnings growth QoQ slowed (-49.34%), indicating a volatile cadence to quarterly profitability despite large year-over-year gains.
Cash flow and capital allocation: Operating cash flow $859,058,000 and free cash flow $829,877,000 produce a free cash flow yield of 7.05%, materially above the industry peer mean of 1.58%. Free cash growth YoY = 139.54% while QoQ shows a pullback (-81.22%), underscoring seasonality or timing effects but leaving the company with strong absolute FCF dollars.
Leverage and liquidity: Net debt $2,664,797,000 and debt-to-EBITDA ~5.06x indicate meaningful leverage relative to cash flow. Debt-to-assets at 30.95% sits above the industry peer mean (18.26%) and median (15.56%) but below the peer high (41.91%). Interest coverage near 19.77x provides ample earnings buffer for interest costs, though current ratio at 0.40 signals limited near-term liquidity versus the industry peer mean of 1.68.
Valuation context: Price-to-earnings is 33.04, below the industry peer mean of 42.90 and median of 38.45. Enterprise multiple registers 17.62, below the industry peer mean of 19.81 and median of 19.56. The combination of a higher-than-peer free cash flow yield and a below-peer enterprise multiple supports the present WMDST determination that the stock is under-valued.
Earnings and forward view: Reported EPS $1.15 versus estimate $1.14 produced a surprise of roughly 0.88%. Forward EPS ~ $1.05 and forward P/E ~ 32.41 indicate modest compression relative to trailing multiples; forward PEG sits near 0.38, reflecting expected earnings growth embedded in current price.
MOST-RECENT QUARTERLY REPORT
| REPORT PERIOD ENDING: | 2026-03-31 |
| REPORT DATE: | 2026-04-29 |
| NEXT REPORT DATE: | 2026-07-29 |
| CASH FLOW | Begin Period Cash Flow | $ 210.0 M |
| Operating Cash Flow | $ 859.1 M | |
| Capital Expenditures | $ -29.18 M | |
| Change In Working Capital | $ 179.9 M | |
| Dividends Paid | — | |
| Cash Flow Delta | — | |
| End Period Cash Flow | — | |
| INCOME STATEMENT | REVENUE | |
| Total Revenue | $ 1.9 B | |
| Forward Revenue | $ 283.1 M | |
| COSTS | ||
| Cost Of Revenue | $ 1.1 B | |
| Depreciation | — | |
| Depreciation and Amortization | — | |
| Research and Development | — | |
| Total Operating Expenses | $ 1.2 B | |
| PROFITABILITY | ||
| Gross Profit | $ 741.8 M | |
| EBITDA | $ 938.0 M | |
| EBIT | $ 730.7 M | |
| Operating Income | $ 661.5 M | |
| Interest Income | — | |
| Interest Expense | $ 37.0 M | |
| Net Interest Income | $ -36.96 M | |
| Income Before Tax | $ 693.7 M | |
| Tax Provision | $ 145.5 M | |
| Tax Rate | 21.0 % | |
| Net Income | $ 535.2 M | |
| Net Income From Continuing Operations | $ 548.2 M | |
| EARNINGS | ||
| EPS Estimate | $ 1.14 | |
| EPS Actual | $ 1.15 | |
| EPS Difference | $ 0.01 | |
| EPS Surprise | 0.877 % | |
| Forward EPS | $ 1.05 | |
| BALANCE SHEET | ASSETS | |
| Total Assets | $ 15.3 B | |
| Intangible Assets | — | |
| Net Tangible Assets | $ 8.1 B | |
| Total Current Assets | $ 677.9 M | |
| Cash and Short-Term Investments | — | |
| Cash | — | |
| Net Receivables | $ 32.4 M | |
| Inventory | — | |
| Long-Term Investments | $ 68.1 M | |
| LIABILITIES | ||
| Accounts Payable | $ 78.0 M | |
| Short-Term Debt | — | |
| Total Current Liabilities | $ 1.7 B | |
| Net Debt | $ 2.7 B | |
| Total Debt | $ 4.8 B | |
| Total Liabilities | $ 7.1 B | |
| EQUITY | ||
| Total Equity | $ 8.1 B | |
| Retained Earnings | $ 2.2 B | |
| VALUATION & PER-SHARE METRICS | EQUITY & PER-SHARE METRICS | |
| Book Value Per-Share | $ 26.02 | |
| Shares Outstanding | 309.825 M | |
| Revenue Per-Share | $ 6.01 | |
| VALUATION | Market Capitalization | $ 11.8 B |
| Enterprise Value | $ 16.5 B | |
| Enterprise Multiple | 17.616 | |
| Enterprise Multiple QoQ | -39.25 % | |
| Enterprise Multiple YoY | -43.274 % | |
| Enterprise Multiple IPRWA | high: 123.054 mean: 19.807 median: 19.556 AR: 17.616 low: -605.856 |
|
| EV/R | 8.871 | |
| CAPITAL STRUCTURE | ||
| Asset To Equity | 1.904 | |
| Asset To Liability | 2.154 | |
| Debt To Capital | 0.371 | |
| Debt To Assets | 0.309 | |
| Debt To Assets QoQ | 16.248 % | |
| Debt To Assets YoY | 6.084 % | |
| Debt To Assets IPRWA | high: 0.419 AR: 0.309 mean: 0.183 median: 0.156 low: 0.002 |
|
| Debt To Equity | 0.589 | |
| Debt To Equity QoQ | 26.154 % | |
| Debt To Equity YoY | 11.712 % | |
| Debt To Equity IPRWA | high: 1.275 AR: 0.589 mean: 0.349 median: 0.269 low: -1.113 |
|
| PRICE-BASED VALUATION | ||
| Price To Book (P/B) | 1.46 | |
| Price To Book QoQ | 5.203 % | |
| Price To Book YoY | -6.228 % | |
| Price To Book IPRWA | high: 14.381 median: 2.269 mean: 2.112 AR: 1.46 low: -0.213 |
|
| Price To Earnings (P/E) | 33.043 | |
| Price To Earnings QoQ | -58.173 % | |
| Price To Earnings YoY | -28.7 % | |
| Price To Earnings IPRWA | high: 128.629 mean: 42.895 median: 38.452 AR: 33.043 low: 22.342 |
|
| PE/G Ratio | 0.387 | |
| Price To Sales (P/S) | 6.321 | |
| Price To Sales QoQ | -22.59 % | |
| Price To Sales YoY | -21.689 % | |
| Price To Sales IPRWA | high: 165.408 median: 10.377 mean: 10.145 AR: 6.321 low: 2.831 |
|
| FORWARD MULTIPLES | ||
| Forward P/E | 32.406 | |
| Forward PE/G | 0.379 | |
| Forward P/S | 37.493 | |
| EFFICIENCY | OPERATIONAL | |
| Operating Leverage | 3.273 | |
| ASSET & SALES | ||
| Asset Turnover Ratio | 0.13 | |
| Asset Turnover Ratio QoQ | 32.749 % | |
| Asset Turnover Ratio YoY | 21.894 % | |
| Asset Turnover Ratio IPRWA | high: 0.234 AR: 0.13 median: 0.129 mean: 0.123 low: 0.001 |
|
| Receivables Turnover | 56.255 | |
| Receivables Turnover Ratio QoQ | 55.421 % | |
| Receivables Turnover Ratio YoY | 51.076 % | |
| Receivables Turnover Ratio IPRWA | AR: 56.255 high: 2.885 mean: 2.158 median: 2.153 low: 0.956 |
|
| Inventory Turnover | — | |
| Inventory Turnover Ratio QoQ | — | |
| Inventory Turnover Ratio YoY | — | |
| Inventory Turnover Ratio IPRWA | — | |
| Days Sales Outstanding (DSO) | 1.622 | |
| CASH CYCLE | ||
| Cash Conversion Cycle Days (CCC) | -4.124 | |
| Cash Conversion Cycle Days QoQ | 51.085 % | |
| Cash Conversion Cycle Days YoY | 47.229 % | |
| Cash Conversion Cycle Days IPRWA | high: 61.127 AR: -4.124 mean: -25.482 median: -38.485 low: -56.714 |
|
| CAPITAL DEPLOYMENT | ||
| Cash Conversion Ratio | -1.835 | |
| CapEx To Revenue | -0.016 | |
| CapEx To Depreciation | — | |
| CAPITAL, LIQUIDITY & COVERAGE | CAPITAL STRUCTURE | |
| Total Capital | $ 10.7 B | |
| Net Invested Capital | $ 10.7 B | |
| Invested Capital | $ 10.7 B | |
| Net Tangible Assets | $ 8.1 B | |
| Net Working Capital | $ -1.02 B | |
| LIQUIDITY | ||
| Cash Ratio | — | |
| Current Ratio | 0.4 | |
| Current Ratio QoQ | -27.636 % | |
| Current Ratio YoY | 3.468 % | |
| Current Ratio IPRWA | high: 16.613 median: 1.716 mean: 1.682 AR: 0.4 low: 0.019 |
|
| Quick Ratio | — | |
| Quick Ratio QoQ | — | |
| Quick Ratio YoY | — | |
| Quick Ratio IPRWA | — | |
| COVERAGE & LEVERAGE | ||
| Debt To EBITDA | 5.065 | |
| Cost Of Debt | 0.706 % | |
| Interest Coverage Ratio | 19.768 | |
| Interest Coverage Ratio QoQ | 48.283 % | |
| Interest Coverage Ratio YoY | 55.412 % | |
| Interest Coverage Ratio IPRWA | high: 194.65 median: 39.712 mean: 30.029 AR: 19.768 low: -29.033 |
|
| Operating Cash Flow Ratio | 0.507 | |
| TIMING / LIQUIDITY | ||
| Days Payables Outstanding (DPO) | 5.746 | |
| DIVIDENDS | ||
| Dividend Coverage Ratio | — | |
| Dividend Payout Ratio | — | |
| Dividend Rate | — | |
| Dividend Yield | — | |
| PERFORMANCE | GROWTH | |
| Asset Growth Rate | 15.885 % | |
| Revenue Growth | 45.123 % | |
| Revenue Growth QoQ | 240.937 % | |
| Revenue Growth YoY | 113.337 % | |
| Revenue Growth IPRWA | high: 72.732 % AR: 45.123 % mean: 21.222 % median: 19.547 % low: -63.35 % |
|
| Earnings Growth | 85.484 % | |
| Earnings Growth QoQ | -49.343 % | |
| Earnings Growth YoY | 147.902 % | |
| Earnings Growth IPRWA | high: 256.25 % AR: 85.484 % mean: 56.15 % median: 50.22 % low: -90.0 % |
|
| MARGINS | ||
| Gross Margin | 39.824 % | |
| Gross Margin QoQ | 88.436 % | |
| Gross Margin YoY | 31.437 % | |
| Gross Margin IPRWA | high: 83.151 % median: 65.833 % mean: 59.537 % AR: 39.824 % low: 3.834 % |
|
| EBIT Margin | 39.228 % | |
| EBIT Margin QoQ | 70.675 % | |
| EBIT Margin YoY | 83.789 % | |
| EBIT Margin IPRWA | high: 87.67 % AR: 39.228 % median: 38.784 % mean: 32.176 % low: -56.023 % |
|
| Return On Sales (ROS) | 35.512 % | |
| Return On Sales QoQ | 120.12 % | |
| Return On Sales YoY | 66.379 % | |
| Return On Sales IPRWA | high: 87.67 % median: 36.89 % mean: 36.179 % AR: 35.512 % low: -33.573 % |
|
| CASH FLOW | ||
| Free Cash Flow (FCF) | $ 829.9 M | |
| Free Cash Flow Yield | 7.049 % | |
| Free Cash Flow Yield QoQ | 132.257 % | |
| Free Cash Flow Yield YoY | 85.647 % | |
| Free Cash Flow Yield IPRWA | AR: 7.049 % high: 5.495 % median: 1.885 % mean: 1.578 % low: -7.812 % |
|
| Free Cash Growth | 160.94 % | |
| Free Cash Growth QoQ | -81.218 % | |
| Free Cash Growth YoY | 139.537 % | |
| Free Cash Growth IPRWA | high: 415.69 % AR: 160.94 % mean: 45.965 % median: 38.14 % low: -318.023 % |
|
| Free Cash To Net Income | 1.551 | |
| Cash Flow Margin | 30.333 % | |
| Cash Flow To Earnings | 1.605 | |
| VALUE & RETURNS | ||
| Economic Value Added | $ 0.03 | |
| Return On Assets (ROA) | 3.743 % | |
| Return On Assets QoQ | 152.735 % | |
| Return On Assets YoY | 134.524 % | |
| Return On Assets IPRWA | high: 13.756 % median: 3.765 % AR: 3.743 % mean: 3.052 % low: -13.451 % |
|
| Return On Capital Employed (ROCE) | 5.351 % | |
| Return On Equity (ROE) | 0.066 | |
| Return On Equity QoQ | 158.791 % | |
| Return On Equity YoY | 130.406 % | |
| Return On Equity IPRWA | high: 0.237 AR: 0.066 median: 0.064 mean: 0.052 low: -0.188 |
|
| DuPont ROE | 6.856 % | |
| Return On Invested Capital (ROIC) | 5.382 % | |
| Return On Invested Capital QoQ | 119.584 % | |
| Return On Invested Capital YoY | 92.146 % | |
| Return On Invested Capital IPRWA | high: 6.716 % AR: 5.382 % median: 5.23 % mean: 4.214 % low: -26.279 % |
|