ZWS
Zurn Elkay Water Solutions Corp
Next earnings Jul 27, 2026 (after close) · consensus $0.48 EPS, $488M rev
Last earnings -0.1% on 2026-05-27
$49.16
▼ -1.52%$49.16▲ +35.86%
over 1Y
L $36.15H $52.67
Earnings Dividend Split Congress buy Congress sellGrouped by date · hover a pin to expand
Today-1.5%
1W-4.2%
1M+3.6%
3M+9.5%
YTD+5.4%
1Y+35.9%
Hold
Conviction
Horizon
Long (>12mo)
12-mo target
$•••
Street · 15 analysts
Buy
High-quality water-products compounder with 45% gross margins and clean balance sheet, but a 43.5x multiple prices in the growth.
Revenue $1.70B · FY2025
The read
Middling fundamentals and a rich price (~24% above fair value) leave little margin of safety — a wait-and-see.
Zurn Elkay is a focused water-management business — drinking-water, drainage, hygiene and flow-control products for commercial and institutional buildings — with attractive economics. FY2025 revenue grew 8.3% to $1.70B, operating income rose 14.0% to $279M, and net income climbed 23.6% to $198M, lifting diluted EPS 25.0% to $1.15. The 45.1% gross margin, expanding 16.4% operating margin, and steadily rising profitability reflect a differentiated, specification-driven product portfolio with pricing power. The multi-year record is one of consistent growth, from $911M revenue in FY2021 to $1.70B now.
The balance sheet and capital allocation are pristine. Liabilities/equity is just 0.67x, long-term debt is a modest $496M, and cash grew 51.8% to $301M. Operating cash flow rose 18.1% to $347M, comfortably funding $160M of buybacks (+6.5%, shares down 1.9%) and a growing $63.9M dividend (+12.9%). The negative retained earnings (-$1.13B) is a legacy of the company's spin-merger history rather than a sign of operating weakness, given the consistent current profitability and 12.3% ROE.
AI-generated analysis, produced by our proprietary engine from SEC filing data.
Investment recommendation produced by TENK/calls (tenkcalls.com), Luxembourg. Completed Jun 21, 2026, 4:53 PM ET. Ratings & methodology: definitions · All recommendations to date: track record · Conflicts: disclosures. Not investment advice.
Financials · annual, by fiscal year
| Line item | FY21 | FY22 | FY23 | FY24 | FY25 |
|---|---|---|---|---|---|
| Revenue | $911M | $1.28B | $1.53B | $1.57B | $1.70B |
| Gross profit | $373M | $466M | $648M | $707M | $765M |
| Operating income | $107M | $107M | $191M | $245M | $279M |
| Net income | $121M | $61.7M | $113M | $160M | $198M |
| Diluted EPS | $0.97 | $0.40 | $0.64 | $0.92 | $1.15 |
| Net margin | 13.3% | 4.8% | 7.4% | 10.2% | 11.7% |
Annual figures from SEC 10-K XBRL filings. Open the filing links below for full statement detail.
Key statistics
Valuation
Enterprise value$8.43B
EV / EBITDA23.1
EV / Sales5.0
EV / FCF27.6
P / FCF27.0
PEG (trailing)1.81
Earnings yield2.4%
FCF yield3.7%
Quality & risk
ROIC (est.)10.5%
Free cash flow$305M
Total debt$497M
Net cash-$196M
Altman Z-Score5.22 safe
Piotroski F-Score8/9
Capital returns
Buyback yield1.9%
Dividend yield (est.)0.8%
Shareholder yield2.7%
Shares Δ YoY-1.9%
Computed from SEC XBRL annual figures + the current quote. EV and ROIC use long-term + current debt where filed; estimates, not investment advice.
Disclosure timeline
SEC · 8-Ks + reportsSome governance/structural items recently, but no outright red flags.
Recent filings
all on EDGAR ↗11-KPeriod ending 2025-12-312026-06-22open ↗4Period ending 2026-05-282026-06-02open ↗3Period ending 2026-05-272026-06-02open ↗SDFiling2026-05-29open ↗8-KPeriod ending 2026-05-272026-05-27open ↗8-KPeriod ending 2026-04-302026-05-01open ↗SCHEDULE 13GFiling2026-04-29open ↗10-QPeriod ending 2026-03-312026-04-21open ↗8-KPeriod ending 2026-04-212026-04-21open ↗4Period ending 2026-04-152026-04-17open ↗4Period ending 2026-04-152026-04-17open ↗4Period ending 2026-04-152026-04-17open ↗
Frequently asked
- Is Zurn Elkay Water Solutions Corp (ZWS) a buy?
- ZWS currently carries a Hold rating with 3/5 conviction, derived from its latest SEC filings. High-quality water-products compounder with 45% gross margins and clean balance sheet, but a 43.5x multiple prices in the growth.
- What is ZWS's fair value?
- A Modified-Graham model based on ZWS's SEC fundamentals estimates a fair value of about $37.25. It is an estimate from reported earnings, not a price target.
- Is ZWS overvalued or undervalued?
- Against a Modified-Graham fair-value estimate, ZWS currently appears overvalued relative to its SEC-grounded earnings power.
- What is Zurn Elkay Water Solutions Corp's quality score?
- ZWS scores 70.13752444589309/100 (grade B) on a SEC-grounded quality model spanning value, growth, profitability, financial health and momentum.
Sources: SEC EDGAR (CIK 0001439288, latest 10-Q filed 2026-04-21) · EODHD · Proprietary analysis · as of 6/21/2026, 8:53:42 PM.
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