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Investing in Watts Water (WTS)? Don't Miss Assessing Its International Revenue Trends

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Have you looked into how Watts Water (WTS - Free Report) performed internationally during the quarter ending September 2025? Considering the widespread global presence of this maker of valves for plumbing, heating and water needs, examining the trends in international revenues is essential for assessing its financial resilience and prospects for growth.

In the modern, closely-knit global economic landscape, the capacity of a business to access foreign markets is often a key determinant of its financial well-being and growth path. Investors now place great importance on grasping the extent of a company's dependence on international markets, as it sheds light on the firm's earnings stability, its skill in leveraging various economic cycles and its broad growth potential.

Presence in international markets can act as a hedge against domestic economic downturns and provide access to faster-growing economies. However, this diversification also brings complexities due to currency fluctuations, geopolitical risks and differing market dynamics.

Upon examining WTS' recent quarterly performance, we noticed several interesting patterns in the revenue generated from its international segments, which are commonly analyzed and observed by Wall Street experts.

The company's total revenue for the quarter amounted to $611.7 million, marking an increase of 12.5% from the year-ago quarter. We will next turn our attention to dissecting WTS' international revenue to get a clearer picture of how significant its operations are outside its main base.

Unveiling Trends in WTS' International Revenues

Of the total revenue, $111.6 million came from Europe during the last fiscal quarter, accounting for 18.2%. This represented a surprise of +6.69% as analysts had expected the region to contribute $104.6 million to the total revenue. In comparison, the region contributed $111 million, or 17.2%, and $107.3 million, or 19.7%, to total revenue in the previous and year-ago quarters, respectively.

APMEA generated $36 million in revenues for the company in the last quarter, constituting 5.9% of the total. This represented a surprise of -4.59% compared to the $37.73 million projected by Wall Street analysts. Comparatively, in the previous quarter, APMEA accounted for $34.2 million (5.3%), and in the year-ago quarter, it contributed $36.3 million (6.7%) to the total revenue.

International Revenue Predictions

Wall Street analysts expect Watts Water to report a total revenue of $607.11 million in the current fiscal quarter, which suggests an increase of 12.4% from the prior-year quarter. Revenue shares from Europe and APMEA are predicted to be 17.9%, and 5.9%, corresponding to amounts of $108.77 million, and $35.63 million, respectively.

For the full year, the company is expected to generate $2.42 billion in total revenue, up 7.5% from the previous year. Revenues from Europe and APMEA are expected to constitute 17.9% ($432.8 million), and 5.7% ($138.93 million) of the total, respectively.

In Conclusion

Watts Water's reliance on international markets for revenues offers both opportunities and risks. Hence, keeping an eye on its international revenue trends could significantly help forecast the company's prospects.

In an era of growing international interdependencies and escalating geopolitical disputes, Wall Street analysts are vigilant in tracking these trends for businesses with a global reach, in order to refine their predictions of earnings. It should be noted, however, that a multitude of other elements, such as a company's domestic position, also play a significant role in shaping the earnings forecasts.

At Zacks, a company's changing earnings outlook is given considerable attention due to its proven, strong influence on a stock's price performance in the near term. The connection here is straightforward and positive: when earnings estimates are revised upward, the stock price generally follows suit, increasing as well.

The Zacks Rank, our proprietary stock rating tool, comes with an externally validated impressive track record. It effectively utilizes shifts in earnings projections to act as a dependable barometer for forecasting short-term stock price trends.

At present, Watts Water holds a Zacks Rank #2 (Buy). This ranking implies that its near-term performance might beat the overall market movement. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>> .

Reviewing Watts Water's Recent Stock Price Trends

Over the preceding four weeks, the stock's value has diminished by 2.1%, against an upturn of 1.5% in the Zacks S&P 500 composite. In parallel, the Zacks Industrial Products sector, which counts Watts Water among its entities, has appreciated by 0.5%. Over the past three months, the company's shares have seen a decline of 3.8% versus the S&P 500's 4.5% increase. The sector overall has witnessed an increase of 1.7% over the same period.


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