Latest Ratios: P/E Ratio 24.6x · EV/EBITDA 12.7x · ROE 8.3%. (1996–2025 historical series)
Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Market Cap | $449M | $565M | $413M | $565M | $228M | $163M | $183M | $247M | $176M | $189M | $162M |
| Enterprise Value | $329M | $444M | $317M | $525M | $180M | $125M | $141M | $209M | $144M | $143M | $123M |
| P/E Ratio → | 24.64 | 30.96 | 14.63 | 19.14 | 38.95 | 177.33 | 19.75 | 29.11 | 15.55 | 30.73 | 40.19 |
| P/S Ratio | 3.40 | 4.28 | 3.08 | 3.13 | 2.42 | 2.44 | 2.53 | 3.59 | 2.67 | 3.03 | 2.80 |
| P/B Ratio | 1.98 | 2.49 | 1.92 | 2.94 | 1.36 | 0.98 | 1.09 | 1.39 | 1.07 | 1.21 | 1.05 |
| P/FCF | 13.55 | 17.03 | 6.50 | — | 16.53 | 53.91 | 29.56 | 21.13 | — | 20.85 | 37.18 |
| P/OCF | 10.77 | 13.54 | 11.30 | 70.86 | 10.69 | 23.38 | 10.58 | 16.23 | 19.43 | 13.86 | 20.73 |
P/E links to full P/E history page with 30-year chart
Enterprise-value multiples — capital-structure-neutral measures of total business value
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| EV / Revenue | — | 3.36 | 2.36 | 2.91 | 1.91 | 1.88 | 1.94 | 3.03 | 2.20 | 2.29 | 2.13 |
| EV / EBITDA | 12.70 | 17.16 | 12.68 | 12.00 | 11.61 | 14.05 | 8.97 | 11.02 | 9.62 | 14.91 | 13.15 |
| EV / EBIT | 18.00 | 20.77 | 15.24 | 13.76 | 18.37 | 34.43 | 14.96 | 16.67 | 13.47 | 37.44 | 65.56 |
| EV / FCF | — | 13.39 | 4.99 | — | 13.03 | 41.53 | 22.76 | 17.86 | — | 15.72 | 28.29 |
Margins and return-on-capital ratios measuring operating efficiency
Full margin charts and quarterly trend are on the Earnings History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross Margin | 36.0% | 36.0% | 34.1% | 34.4% | 32.3% | 35.2% | 36.9% | 41.1% | 40.7% | 40.8% | 41.9% |
| Operating Margin | 13.8% | 13.8% | 13.6% | 20.6% | 9.9% | 3.0% | 11.5% | 17.0% | 12.1% | 3.7% | 3.7% |
| Net Profit Margin | 13.9% | 13.9% | 21.1% | 16.4% | 6.2% | 1.3% | 5.1% | 17.7% | 17.2% | 9.9% | 6.8% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROE | 8.3% | 8.3% | 13.9% | 16.5% | 3.5% | 0.5% | 2.1% | 7.1% | 7.1% | 4.0% | 2.6% |
| ROA | 7.3% | 7.3% | 12.2% | 14.4% | 3.2% | 0.5% | 2.0% | 6.7% | 6.7% | 3.7% | 2.4% |
| ROIC | 12.2% | 12.2% | 10.1% | 20.5% | 5.6% | 1.2% | 4.7% | 6.5% | 4.9% | 1.5% | 1.4% |
| ROCE | 8.1% | 8.1% | 8.9% | 20.4% | 5.5% | 1.2% | 4.7% | 6.7% | 4.9% | 1.4% | 1.4% |
Solvency and debt-coverage ratios — lower is generally safer
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Debt / Equity | 0.01 | 0.01 | 0.02 | 0.01 | 0.01 | 0.02 | 0.01 | 0.03 | — | 0.00 | 0.00 |
| Debt / EBITDA | 0.12 | 0.12 | 0.14 | 0.06 | 0.16 | 0.33 | 0.10 | 0.25 | — | 0.07 | 0.05 |
| Net Debt / Equity | — | -0.53 | -0.45 | -0.21 | -0.29 | -0.23 | -0.25 | -0.21 | -0.19 | -0.30 | -0.25 |
| Net Debt / EBITDA | -4.67 | -4.67 | -3.84 | -0.91 | -3.12 | -4.19 | -2.68 | -2.02 | -2.09 | -4.86 | -4.13 |
| Debt / FCF | — | -3.64 | -1.51 | — | -3.50 | -12.38 | -6.80 | -3.27 | — | -5.13 | -8.89 |
| Interest Coverage | 4839.27 | 4839.27 | 204.03 | 262.53 | 210.20 | 355.66 | 976.33 | 9388.97 | 1272.65 | 559.52 | 18.09 |
Net cash position: cash ($124M) exceeds total debt ($3M)
Short-term solvency ratios and asset-utilisation metrics
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Current Ratio | 6.12 | 6.12 | 6.33 | 4.72 | 4.09 | 10.03 | 10.51 | 9.30 | 7.89 | 8.74 | 9.11 |
| Quick Ratio | 5.99 | 5.99 | 5.97 | 4.46 | 3.83 | 9.70 | 10.05 | 8.88 | 7.61 | 8.51 | 8.77 |
| Cash Ratio | 4.47 | 4.47 | 3.98 | 1.78 | 2.24 | 5.58 | 6.31 | 5.43 | 3.97 | 6.18 | 5.88 |
| Asset Turnover | — | 0.51 | 0.55 | 0.83 | 0.49 | 0.38 | 0.40 | 0.36 | 0.38 | 0.38 | 0.35 |
| Inventory Turnover | 22.61 | 22.61 | 9.86 | 19.57 | 11.13 | 17.31 | 14.27 | 12.33 | 17.46 | 21.14 | 14.58 |
| Days Sales Outstanding | — | — | — | — | — | — | — | — | — | — | — |
Earnings, FCF, buyback, and dividend yields — total returns to shareholders
Full dividend history and growth charts are on the Dividend History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Dividend Yield | 1.8% | 1.4% | 1.5% | 1.0% | 2.3% | 3.2% | 2.8% | 2.1% | 2.9% | 2.4% | 2.7% |
| Payout Ratio | 43.3% | 43.3% | 22.3% | 18.5% | 87.9% | 588.4% | 138.3% | 41.9% | 45.1% | 72.7% | 111.9% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | 4.1% | 3.2% | 6.8% | 5.2% | 2.6% | 0.6% | 5.1% | 3.4% | 6.4% | 3.3% | 2.5% |
| FCF Yield | 7.4% | 5.9% | 15.4% | — | 6.0% | 1.9% | 3.4% | 4.7% | — | 4.8% | 2.7% |
| Buyback Yield | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% |
| Total Shareholder Yield | 1.8% | 1.4% | 1.5% | 1.0% | 2.3% | 3.2% | 2.8% | 2.1% | 2.9% | 2.4% | 2.7% |
| Shares Outstanding | — | $16M | $16M | $16M | $15M | $15M | $15M | $15M | $15M | $15M | $15M |
Includes 30+ ratios · 30 years · Updated daily
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10-year return with dividends reinvested.
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Quick answers to the most common questions about buying CWCO stock.
Consolidated Water Co. Ltd.'s current P/E ratio is 24.6x. The historical average is 29.3x. This places it at the 57th percentile of its historical range.
Consolidated Water Co. Ltd.'s current EV/EBITDA is 12.7x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 18.6x.
Consolidated Water Co. Ltd.'s return on equity (ROE) is 8.3%. The historical average is 8.7%.
Based on historical data, Consolidated Water Co. Ltd. is trading at a P/E of 24.6x. This is at the 57th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.
Consolidated Water Co. Ltd.'s current dividend yield is 1.77% with a payout ratio of 43.3%.
Consolidated Water Co. Ltd. has 36.0% gross margin and 13.8% operating margin. Operating margin between 10-20% is typical for established companies.
Consolidated Water Co. Ltd.'s Debt/EBITDA ratio is 0.1x, indicating low leverage. A ratio below 2x is generally considered financially healthy.
Key Metrics
Top Statement Risk
Sub-ROE and regulatory uncertainty
Metrics are mathematically derived from official filings.
Valuation Discount Reflects ROE Concerns
At a P/E of 24.7x, CWCO trades at a premium to some peers like Artesian Resources (15.9x) but below Middlesex Water (23.7x), while its dividend yield of 1.8% is the lowest in the peer group, suggesting the market is not fully pricing in its regulated earnings power.
The premium valuation appears incongruous with a return on equity that has averaged just 2.3% over the past two years, well below the typical authorized ROE for regulated water utilities of 8-10%. This disconnect implies investors may be pricing in a future rate case recovery or a premium for the company's fortress balance sheet, but the forward P/E of 30.9x indicates skepticism about near-term earnings growth.
Actual ROE Disappoints Relative to Likely Authorized Return
CWCO's trailing ROE has averaged approximately 2.3% over the last eight quarters, a level that appears significantly below the typical authorized ROE for regulated water utilities in its jurisdiction, suggesting the company is not fully earning its cost of capital.
The persistent gap between the earned ROE and a hypothetical allowed return in the 8-10% range indicates regulatory lag or disallowances are compressing returns on the equity invested in rate base. This sub-par return explains the compressed operating and net margins relative to peers, as the company may not be recovering its full cost of service, including a fair return on equity.
Margin Volatility Signals Incomplete Cost Recovery
Operating margin has exhibited extreme volatility, swinging from a low of 3.8% in 2024Q4 to a high of 18.4% in 2024Q1, with the recent range of 8.8% to 11.7% remaining well below peer utilities that consistently post margins above 20%.
This inconsistency suggests the regulatory mechanism for recovering costs, particularly in its Cayman Islands operations, may not provide timely or full adjustments for changing input costs or demand. The margin compression below peer levels indicates the company's cost structure or regulatory compact is less favorable, limiting its ability to translate revenue into stable earnings.
Fortress Balance Sheet Limits Financial Risk
With a debt-to-capital ratio of just 1% and an interest coverage ratio exceeding 9,000 times in the latest quarter, according to the provided ratio data, CWCO operates with a virtually unlevered balance sheet that is exceptionally conservative for a regulated utility.
This extreme conservatism provides significant financial flexibility and eliminates concerns about credit quality, but it also represents a potential misallocation of capital for a regulated utility where moderate leverage is typical and efficient. The minimal debt suggests management may be overly cautious, foregoing the tax shield and potential ROE enhancement that regulated leverage would provide.
Dividend Yield Lags Peers Despite Adequate Coverage
At 1.8%, CWCO's dividend yield is the lowest among its peer group, trailing Artesian Resources and Global Water Resources both at 3.5%, while its payout ratio appears volatile, spiking above 120% in 2024Q4 based on reported earnings.
The low yield suggests the market does not expect the dividend to grow meaningfully without a sustained improvement in regulated returns. The payout volatility, driven by erratic earnings rather than dividend policy, indicates the dividend is not being set as a sustainable portion of a stable earnings base, which is atypical for a regulated utility and may deter income-focused investors.
Peer Comparison Highlights ROE and Yield Shortfall
Consolidated Water lags its peers significantly on key regulated utility metrics, earning an ROE of roughly 2% versus peers generating 9-10%, and offering a dividend yield of 1.8% compared to peer averages near 3%, suggesting a fundamental underperformance in its regulatory compact.
Despite a valuation P/E that is not at a deep discount, the company's financial profile does not support a premium multiple. The gap in profitability and shareholder returns versus Middlesex, York, and Artesian indicates investors are either optimistic about a regulatory recovery not yet visible in the numbers or are valuing the company's balance sheet strength and potential for future rate case outcomes.
Standard ROE Misleads on Utility Earnings Power
The single ratio most commonly misapplied to utilities like CWCO is the standard accounting Return on Equity, which can be distorted by regulatory timing and non-operating items, as evidenced by the company's reported 7.7% ROE in 2024Q2 versus a trailing 2% average.
A standard GAAP ROE obscures the underlying regulated earnings power because it includes non-recurring items (like the 48.8% net margin in 2024Q2) and is subject to regulatory lag. For utilities, analysts should focus on the authorized ROE set by the regulator and the company's actual earned return on rate base, which provides a clearer picture of sustainable economic returns and valuation anchors.