Latest Ratios: P/E Ratio 34.8x · EV/EBITDA 23.0x · ROE 29.3%. (1996–2025 historical series)
Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Market Cap | $24.4B | $22.7B | $22.1B | $19.5B | $20.7B | $23.1B | $15.4B | $15.9B | $14.6B | $15.6B | $10.9B |
| Enterprise Value | $25.3B | $23.5B | $23.5B | $21.6B | $21.9B | $24.2B | $16.5B | $17.4B | $15.0B | $16.9B | $12.3B |
| P/E Ratio → | 34.84 | 35.30 | 34.64 | 30.37 | 29.21 | 33.36 | 29.60 | 26.89 | 24.66 | 772.76 | 20.97 |
| P/S Ratio | 7.72 | 7.16 | 7.47 | 6.60 | 6.95 | 8.30 | 6.53 | 6.62 | 6.05 | 6.74 | 5.05 |
| P/B Ratio | 8.74 | 8.85 | 12.08 | 16.96 | 40.97 | 62.88 | 66.52 | — | 9.34 | 6.97 | 4.75 |
| P/FCF | 45.27 | 42.01 | 35.65 | 44.13 | 48.27 | 39.92 | 24.98 | 33.23 | 30.71 | 25.65 | 20.49 |
| P/OCF | 37.45 | 34.75 | 28.99 | 32.37 | 33.79 | 30.93 | 19.53 | 24.77 | 24.22 | 22.32 | 17.39 |
P/E links to full P/E history page with 30-year chart
Enterprise-value multiples — capital-structure-neutral measures of total business value
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| EV / Revenue | — | 7.42 | 7.93 | 7.29 | 7.35 | 8.69 | 6.96 | 7.22 | 6.20 | 7.33 | 5.66 |
| EV / EBITDA | 22.97 | 21.37 | 23.05 | 21.92 | 21.77 | 25.40 | 21.35 | 21.34 | 17.68 | 22.04 | 17.00 |
| EV / EBIT | 28.28 | 29.17 | 27.79 | 25.82 | 24.64 | 28.45 | 24.94 | 23.89 | 20.52 | 24.25 | 19.01 |
| EV / FCF | — | 43.53 | 37.88 | 48.76 | 51.03 | 41.82 | 26.63 | 36.24 | 31.44 | 27.88 | 22.96 |
Margins and return-on-capital ratios measuring operating efficiency
Full margin charts and quarterly trend are on the Earnings History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross Margin | 57.8% | 57.8% | 59.4% | 59.6% | 58.0% | 58.5% | 57.4% | 58.0% | 59.0% | 59.0% | 58.9% |
| Operating Margin | 28.2% | 28.2% | 27.9% | 27.7% | 29.4% | 29.5% | 27.3% | 29.4% | 30.6% | 28.7% | 28.8% |
| Net Profit Margin | 20.3% | 20.3% | 21.6% | 21.7% | 23.8% | 24.9% | 22.1% | 24.6% | 24.5% | 0.9% | 24.1% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROE | 29.3% | 29.3% | 42.8% | 77.6% | 162.3% | 231.1% | 6575.9% | 87.7% | 31.2% | 0.9% | 23.9% |
| ROA | 13.3% | 13.3% | 13.9% | 16.2% | 22.2% | 23.3% | 19.3% | 18.8% | 13.1% | 0.4% | 11.7% |
| ROIC | 20.3% | 20.3% | 19.4% | 25.1% | 41.5% | 45.4% | 39.2% | 33.8% | 20.1% | 13.8% | 13.7% |
| ROCE | 18.5% | 18.5% | 21.7% | 25.8% | 35.6% | 36.9% | 32.3% | 27.0% | 18.5% | 14.9% | 15.9% |
Solvency and debt-coverage ratios — lower is generally safer
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Debt / Equity | 0.55 | 0.55 | 0.93 | 2.12 | 3.30 | 4.36 | 6.26 | — | 0.73 | 0.89 | 0.79 |
| Debt / EBITDA | 1.28 | 1.28 | 1.67 | 2.48 | 1.66 | 1.68 | 1.88 | 2.18 | 1.35 | 2.60 | 2.53 |
| Net Debt / Equity | — | 0.32 | 0.75 | 1.78 | 2.34 | 2.99 | 4.38 | — | 0.22 | 0.61 | 0.57 |
| Net Debt / EBITDA | 0.75 | 0.75 | 1.35 | 2.08 | 1.18 | 1.15 | 1.32 | 1.77 | 0.42 | 1.76 | 1.83 |
| Debt / FCF | — | 1.52 | 2.22 | 4.63 | 2.76 | 1.90 | 1.64 | 3.00 | 0.74 | 2.23 | 2.47 |
| Interest Coverage | 15.87 | 15.87 | 9.42 | 8.45 | 18.17 | 18.94 | 13.45 | 14.93 | 15.02 | 12.28 | 14.36 |
Short-term solvency ratios and asset-utilisation metrics
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Current Ratio | — | — | 2.11 | 2.22 | 2.24 | 2.39 | 1.74 | 2.22 | 5.93 | 7.04 | 6.99 |
| Quick Ratio | — | — | 1.51 | 1.57 | 1.66 | 1.87 | 1.36 | 1.68 | 5.28 | 6.60 | 6.48 |
| Cash Ratio | — | — | 0.41 | 0.50 | 0.61 | 0.84 | 0.55 | 0.57 | 3.87 | 5.60 | 5.41 |
| Asset Turnover | — | 0.62 | 0.65 | 0.64 | 0.91 | 0.90 | 0.83 | 0.94 | 0.65 | 0.43 | 0.46 |
| Inventory Turnover | 2.34 | 2.34 | 2.51 | 2.32 | 2.74 | 3.25 | 3.31 | 3.15 | 3.40 | 3.50 | 3.39 |
| Days Sales Outstanding | — | 95.58 | 90.48 | 86.69 | 88.78 | 80.27 | 88.47 | 89.14 | 85.72 | 84.38 | 82.41 |
Earnings, FCF, buyback, and dividend yields — total returns to shareholders
Full dividend history and growth charts are on the Dividend History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Dividend Yield | — | — | — | — | — | — | — | — | — | — | — |
| Payout Ratio | — | — | — | — | — | — | — | — | — | — | — |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | 2.9% | 2.8% | 2.9% | 3.3% | 3.4% | 3.0% | 3.4% | 3.7% | 4.1% | 0.1% | 4.8% |
| FCF Yield | 2.2% | 2.4% | 2.8% | 2.3% | 2.1% | 2.5% | 4.0% | 3.0% | 3.3% | 3.9% | 4.9% |
| Buyback Yield | 0.1% | 0.1% | 0.1% | 0.4% | 3.0% | 2.8% | 1.3% | 15.5% | 9.0% | 2.1% | 3.0% |
| Total Shareholder Yield | 0.1% | 0.1% | 0.1% | 0.4% | 3.0% | 2.8% | 1.3% | 15.5% | 9.0% | 2.1% | 3.0% |
| Shares Outstanding | — | $60M | $60M | $59M | $60M | $62M | $62M | $68M | $78M | $81M | $81M |
Acquisition-driven balance sheet volatility
According to current market data, Waters trades at a 34.80x TTM P/E ratio, which appears increasingly difficult to justify given the recent 2026Q1 net loss and the significant contraction in operating margins compared to the historical performance of peers like Agilent Technologies.
The current valuation implies an expectation of rapid earnings recovery that may not align with the recent volatility in the company's core instrument segments. Investors should monitor whether the market's willingness to pay a premium for Waters' 'pure-play' status persists if the company fails to demonstrate a return to historical profitability levels.
Based on reported financial figures, Waters' ROIC plummeted to -0.3% in 2026Q1, a sharp reversal from the 6.9% level seen in 2025Q4, suggesting that recent capital allocation strategies have yet to generate meaningful returns on the expanded asset base.
The rapid decline in return on capital appears to be driven by the significant increase in goodwill and intangible assets following recent M&A activity. This trend warrants further investigation into whether these acquisitions will eventually provide the promised synergies or if they represent an overpayment that will continue to dilute long-term shareholder value.
As reported in recent SEC filings, Waters' asset turnover ratio fell to 0.09 in 2026Q1, reflecting a notable decline in operational efficiency compared to the 0.19 level observed in 2024Q4, which suggests that the company is struggling to convert its asset base into revenue.
The lengthening of the cash conversion cycle, evidenced by rising days inventory outstanding, indicates potential bottlenecks in the supply chain or a slowdown in the sell-through of high-end analytical systems. This inefficiency appears to be a structural drag on the company's ability to maintain its historical margin profile.
Based on the latest quarterly data, Waters' interest coverage ratio dropped to -1.10 in 2026Q1, a concerning shift from the 31.65x coverage reported in 2025Q4, indicating that the company's ability to service its debt obligations has become severely compromised.
While the debt-to-equity ratio of 0.34 remains relatively low by industrial standards, the sudden inability to cover interest expenses with operating income suggests that the company's financial flexibility is narrowing. Investors should monitor whether this is a temporary liquidity squeeze or a sign of more permanent structural leverage issues.
The P/E ratio is frequently misapplied to Waters, as it obscures the impact of lumpy instrument sales and the high amortization of intangibles from recent acquisitions, which can artificially depress reported earnings and distort the company's true underlying cash-generating potential.
Analysts should instead focus on EV/EBITDA or free cash flow yield to better assess the company's operational performance, as these metrics are less sensitive to the accounting distortions inherent in the current acquisition-heavy phase. Relying solely on P/E may lead to an inaccurate assessment of the company's valuation during periods of significant balance sheet restructuring.
Includes 30+ ratios · 30 years · Updated daily
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Quick answers to the most common questions about buying WAT stock.
Waters Corporation's current P/E ratio is 34.8x. The historical average is 27.8x. This places it at the 85th percentile of its historical range.
Waters Corporation's current EV/EBITDA is 23.0x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 19.1x.
Waters Corporation's return on equity (ROE) is 29.3%. This is above the typical threshold of 15-20% considered good for most companies. The historical average is 47.8%.
Based on historical data, Waters Corporation is trading at a P/E of 34.8x. This is at the 85th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.
Waters Corporation has 57.8% gross margin and 28.2% operating margin. Operating margin above 20% indicates strong pricing power and cost efficiency.
Waters Corporation's Debt/EBITDA ratio is 1.3x, indicating moderate leverage. A ratio below 2x is generally considered financially healthy.