Watts Water Technologies, Inc. (WTS - Free Report) reported third-quarter 2017 adjusted earnings of 80 cents per share, up 13% year over year. Notably, this was also a third-quarter record. The improvement came on the back of its continued execution of key strategic initiatives, including many transformations and restructuring actions undertaken by the company. It also benefited from PVI acquisition and higher volumes. Earnings also surpassed the Zacks Consensus Estimate of 78 cents.
On a reported basis, including special items, Watts Water’s earnings were 77 cents per share in the quarter, up 22% year over year from 63 cents recorded in the year-ago quarter.
Total revenues were up 7% year over year to $364.7 million in the quarter. It came ahead of the Zacks Consensus Estimate of $360 million. Organic sales inched up 1% year over year.
Regionally, organic sales improved 4% in the Americas driven by growth in plumbing, drains along with heating and hot water products. Organic sales growth dipped 3% in Europe as water and plumbing products were affected by planned product rationalization and lower demand for HVAC products, partially offset by growth in the drains business. APMEA’s organic sales suffered a decline of 10%, impacted by planned product rationalization.
Watts Water Technologies, Inc. Price, Consensus and EPS Surprise
In a year, Watts Water has underperformed the industry with respect to price performance. The stock gained around 11.1%, while the industry recorded growth of 27.3%.
Zacks Rank and Key Picks
Watts Water currently carries a Zacks Rank #3 (Hold).
Some better-ranked stocks in the same sector are Adobe Systems Incorporated (ADBE - Free Report) , Autohome Inc. (ATHM - Free Report) and Cray Inc. . All three stocks flaunt a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
Adobe Systems has expected long-term growth rate of 17.0%.
Autohome has expected long-term growth rate of 18.8%.
Cray has expected long-term growth rate of 20.0%.
Wall Street’s Next Amazon
Zacks EVP Kevin Matras believes this familiar stock has only just begun its climb to become one of the greatest investments of all time. It’s a once-in-a-generation opportunity to invest in pure genius.
Click for details >>
Zacks Names "Single Best Pick to Double"
From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
It’s a little-known chemical company that’s up 65% over last year, yet still dirt cheap. With unrelenting demand, soaring 2022 earnings estimates, and $1.5 billion for repurchasing shares, retail investors could jump in at any time.
This company could rival or surpass other recent Zacks’ Stocks Set to Double like Boston Beer Company which shot up +143.0% in little more than 9 months and NVIDIA which boomed +175.9% in one year.
Free: See Our Top Stock and 4 Runners Up >>
Watts Water Technologies, Inc. (WTS - Free Report) reported third-quarter 2017 adjusted earnings of 80 cents per share, up 13% year over year. Notably, this was also a third-quarter record. The improvement came on the back of its continued execution of key strategic initiatives, including many transformations and restructuring actions undertaken by the company. It also benefited from PVI acquisition and higher volumes. Earnings also surpassed the Zacks Consensus Estimate of 78 cents.
On a reported basis, including special items, Watts Water’s earnings were 77 cents per share in the quarter, up 22% year over year from 63 cents recorded in the year-ago quarter.
Total revenues were up 7% year over year to $364.7 million in the quarter. It came ahead of the Zacks Consensus Estimate of $360 million. Organic sales inched up 1% year over year.
Regionally, organic sales improved 4% in the Americas driven by growth in plumbing, drains along with heating and hot water products. Organic sales growth dipped 3% in Europe as water and plumbing products were affected by planned product rationalization and lower demand for HVAC products, partially offset by growth in the drains business. APMEA’s organic sales suffered a decline of 10%, impacted by planned product rationalization.
Watts Water Technologies, Inc. Price, Consensus and EPS Surprise
In a year, Watts Water has underperformed the industry with respect to price performance. The stock gained around 11.1%, while the industry recorded growth of 27.3%.
Zacks Rank and Key Picks
Watts Water currently carries a Zacks Rank #3 (Hold).
Some better-ranked stocks in the same sector are Adobe Systems Incorporated (ADBE - Free Report) , Autohome Inc. (ATHM - Free Report) and Cray Inc. . All three stocks flaunt a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
Adobe Systems has expected long-term growth rate of 17.0%.
Autohome has expected long-term growth rate of 18.8%.
Cray has expected long-term growth rate of 20.0%.
Wall Street’s Next Amazon
Zacks EVP Kevin Matras believes this familiar stock has only just begun its climb to become one of the greatest investments of all time. It’s a once-in-a-generation opportunity to invest in pure genius.
Click for details >>
Zacks Names "Single Best Pick to Double"
From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
It’s a little-known chemical company that’s up 65% over last year, yet still dirt cheap. With unrelenting demand, soaring 2022 earnings estimates, and $1.5 billion for repurchasing shares, retail investors could jump in at any time.
This company could rival or surpass other recent Zacks’ Stocks Set to Double like Boston Beer Company which shot up +143.0% in little more than 9 months and NVIDIA which boomed +175.9% in one year.
Free: See Our Top Stock and 4 Runners Up >>
Get the latest research report on ADBE - FREE
Get the latest research report on WTS - FREE
Get the latest research report on ATHM - FREE