Waters Corporation Intrinsic Value Calculation – WATERS CORPORATION Announces Second Quarter FY2023 Earnings Results on June 30, 2023
August 26, 2023
🌥️Earnings Overview
On June 30, 2023, WATERS CORPORATION ($NYSE:WAT) released their earnings report for the second quarter of FY2023, showing a 3.7% increase in total revenue to USD 740.6 million, yet a 8.7% decrease in net income to USD 150.6 million, compared to the same period of the previous year.
Price History
The company’s stock opened at $282.0 and closed at $291.8, a 6.3% increase from its last closing price of $274.4. This positive earnings news was well received by the market and investors, and the stock price rose as a result. WATERS CORPORATION exceeded expectations in the second quarter by reporting higher revenue and margins than expected. The company also saw an increase in customer orders and sales of its products, which reflects its success in adapting to the changing market conditions. The company also made strategic investments in research and development and new technology, which will help it remain competitive in the future.
In addition, WATERS CORPORATION announced plans to continue its expansion into new markets, which should help increase its market share and revenues. Overall, WATERS CORPORATION had an impressive quarter, and investors reacted positively to the news as the stock enjoyed a 6.3% surge in price. With its investments in the future and expansion into new markets, WATERS CORPORATION is well-positioned to continue its growth and success in the coming quarters. Live Quote…
About the Company
Income Snapshot
Below shows the total revenue, net income and net margin for Waters Corporation. More…
| Total Revenues | Net Income | Net Margin |
| 2.99k | 674.54 | 22.5% |
Cash Flow Snapshot
Below shows the cash from operations, investing and financing for Waters Corporation. More…
| Operations | Investing | Financing |
| 571.67 | -1.47k | 799.51 |
Balance Sheet Snapshot
Below shows the total assets, liabilities and book value per share for Waters Corporation. More…
| Total Assets | Total Liabilities | Book Value Per Share |
| 4.55k | 3.78k | 13.05 |
Key Ratios Snapshot
Some of the financial key ratios for Waters Corporation are shown below. More…
| 3Y Rev Growth | 3Y Operating Profit Growth | Operating Margin |
| 9.5% | 10.4% | 29.0% |
| FCF Margin | ROE | ROA |
| 12.9% | 79.2% | 11.9% |
Analysis – Waters Corporation Intrinsic Value Calculation
At GoodWhale, we’ve taken a look at WATERS CORPORATION‘s financials to provide investors with the most accurate assessment of the stock’s intrinsic value. According to our proprietary Valuation Line, the intrinsic value of WATERS CORPORATION share is around $339.3. On the other hand, the current price of the stock is $291.8, which is a fair price but slightly undervalued by 14.0%. This means that investors could potentially buy the stock at a discount and then enjoy future upside potential. More…
Peers
Waters Corporation is an American analytical instrument manufacturing company that specializes in liquid chromatography, mass spectrometry, and thermal analysis instruments. It has annual sales of over $2 billion and employs more than 6,000 people worldwide. Its products are used in the life sciences, pharmaceutical, and chemical industries. Waters Corporation’s main competitors are IQVIA Holdings Inc, Agilent Technologies Inc, Vijaya Diagnostic Centre Ltd.
– IQVIA Holdings Inc ($NYSE:IQV)
The company’s market cap as of 2022 was 39.27B and its ROE was 21.52%. The company is a global provider of information, innovative technology solutions, and real-world insights that help customers improve their well-being. The company offers a broad range of products and services that enable customers to manage their health and wellbeing.
– Agilent Technologies Inc ($NYSE:A)
Agilent Technologies, Inc. is a provider of life sciences, diagnostics, and applied chemical markets solutions. It operates through three segments: Life Sciences and Applied Markets Group, Diagnostics and Genomics Group, and Agilent CrossLab Group. The Life Sciences and Applied Markets Group segment offers application solutions that include chromatography, mass spectrometry, chemical analysis, and cellular analysis. The Diagnostics and Genomics Group segment provides in vitro diagnostic products and services. The Agilent CrossLab Group segment offers a range of services and consumables. Agilent Technologies was founded in 1999 and is headquartered in Santa Clara, California.
– Vijaya Diagnostic Centre Ltd ($BSE:543350)
Vijaya Diagnostic Centre Ltd is a leading diagnostic centre in India with a market cap of 46.61B as of 2022. The company has a return on equity of 17.7%. The company offers a wide range of diagnostic services including X-rays, ultrasounds, MRI, and CT scans. The company also has a wide network of centres across India.
Summary
WATERS CORPORATION‘s earnings results for the second quarter of FY2023 have seen a 3.7% increase in total revenue to USD 740.6 million, but a 8.7% decrease in net income to USD 150.6 million. This news has caused the stock price to move up, indicating that investors are still optimistic about the company’s prospects. The short term income decrease may be attributed to the company’s investments in research and development, focusing on creating innovative products and services to improve the customer experience. With a long-term focus to capture potential growth, investors should consider WATERS CORPORATION as a potential investment opportunity.
