Global Water Resources, Inc. (GWRS)
Valuation Overview•Is Global Water Resources, Inc. Overvalued or Undervalued?
Commands a premium valuation multiple over its peers, likely pricing in superior execution.
Fragile underlying quality score of 28/100; weak margins or elevated debt leverage warrant caution.
Analysts remain bullish, forecasting further upside expansion with consensus targets suggesting solid gains.
Verdict: Highly distressed profile flashing severe fundamental warning signs.
Wall Street is highly bullish, projecting significant upside. This is paired with healthy capital returns, anchored by a strong, well-covered dividend yield.
GWRS struggles with subpar profitability and pressured margins. However, this is severely offset by a highly leveraged balance sheet (Debt/EBITDA > 4.0x) and elevated financial risk.
The company demonstrates solid revenue growth (7.6% 3Y CAGR) however, earnings have severely contracted over the same period. Operating efficiency remains adequate with margins around 11.1%.
| Financial Metric | Trend (12Q) | Latest Qtr | 1Y Growth | 3Y CAGR | 5Y CAGR | 10Y CAGR |
|---|---|---|---|---|---|---|
| Revenue | $13.3M | +5.8% | +7.6% | +7.6% | +5.7% | |
| EBITDA | $4.7M | — | +8.0% | — | — | |
| Net Income | -$366K | -48.9% | -18.7% | — | -17.9% | |
| EPS (Diluted) | $-0.01 | -54.2% | -22.9% | +17.6% | -21.1% | |
| Free Cash Flow | -$1.8M | -347.4% | -64.2% | — | — |
| Metric | TTM | 3Y Avg | 5Y Avg | 10Y Avg |
|---|---|---|---|---|
| Gross Margin | 57.9% | 65.0% | 69.2% | 72.2% |
| Operating Margin | 11.1% | 17.9% | 17.6% | 19.4% |
| Net Margin | 3.5% | 10.4% | 10.5% | 7.5% |
| FCF Margin | -87.1% | -32.9% | -23.5% | -16.2% |
| Quarter | EPS Est. | EPS Act. | Surprise | EPS | Rev |
|---|---|---|---|---|---|
| Q2'26Latest | $-0.02 | $-0.01 | +50.0% | ||
| Q1'26 | $0.04 | $-0.01 | -125.0% | ||
| Q4'25 | $0.09 | $0.07 | -22.2% | ||
| Q3'25 | $0.06 | $0.06 | +0.0% | ||
| Q2'25 | $0.02 | $0.02 | +0.0% | ||
| Q1'25 | $0.06 | $0.04 | -33.3% | ||
| Q4'24 | $0.11 | $0.12 | +9.1% | ||
| Q3'24 | $0.08 | $0.07 | -12.5% |
Total return is -29.2% (1Y), lagging the benchmark by -54.2%
| Period | Total Return | vs S&P 500 (Alpha) | Dividend Contribution |
|---|---|---|---|
| YTD | -14.1% | -23.4% | — |
| 1Y | -29.2% | -54.2% | +2.9% |
| 3YCAGR | -13.7% | -34.1% | +7.3% |
| 5YCAGR | -12.8% | -25.8% | +8.8% |
| 10YCAGR | +2.8% | -10.6% | — |
The S&P 500 is at 31.3x trailing P/E — Expensive relative to historical averages.
Quick answers to common questions about Global Water Resources, Inc. (GWRS) valuation, health, and returns.
Based on peer relative multiples, Global Water Resources, Inc. appears Expensive versus peers compared to industry peers.
Global Water Resources, Inc. has multiple valuation anchors: Peer Relative Fair Value: $4.31 | Wall Street Analyst Target: $12.50 (implying +76.3% upside). A convergence of these signals offers higher conviction.
Global Water Resources, Inc. displays weak financial health with a composite quality score of 28/100, supported by a Piotroski F-Score of 4/9, Return on Invested Capital (ROIC) of 2.8%.
Global Water Resources, Inc. pays a 4.3% dividend yield, covered by a 277% payout ratio with 12 years of growth, supplemented by a 0.0% buyback yield.
Global Water Resources, Inc.'s current growth trajectory is Stable. The company achieved +5.8% 1Y revenue growth and -54.2% 1Y EPS growth, compared to its 3Y revenue CAGR of +7.6%.
Wall Street consensus is Buy based on 4 analysts, beating EPS expectations in 42% of recent quarters with a 1-quarter streak. The consensus price target represents a +76.3% change from current levels.
Investment risks for Global Water Resources, Inc. include: -39.4% 1-year max drawdown, stretched payout ratio. Volatility risk is characterized by a beta of 0.67x.
No. These computations are purely quantitative model outputs for informational purposes. They do not account for qualitative management shifts or macro events. Always consult a licensed RIA before buying or selling shares.
Disclaimer: This page is for informational purposes only and does not constitute financial advice. All valuation models, scores, and target estimates are automated computations under stated assumptions and should not be relied upon as the sole basis for any investment decision.