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Watts Water Technologies, Inc. (WTS) Stock Analysis

Range Bound setup

SellVALUE-TRAP 1/5Moderate Confidence

Industrials · Specialty Industrial Machinery

Earnings in 6 days (2026-05-06). Expect elevated volatility around the report — consider waiting for post-earnings price action before new entries.

Sell if holding. Analyst target reached at $299.23 — A.R:R is negative (-0.6) — price has exceeded the analyst target. Reward from here is too thin for a buy — the engine flags exit. Additional concerns: Earnings in 6 days (event risk).

Watts Water Technologies manufactures flow control, water safety, energy efficiency, and conservation products for commercial and residential buildings across Americas, Europe, and APMEA geographic segments. Approximately 29% of 2025 net sales came from outside the US. Revenue... Read more

$299.23+2.4% A.UpsideScore 5.4/10#18 of 48 Specialty Industrial Machinery
Stop $283.09Target $306.15(resistance)A.R:R -0.6:1
Analyst target$333.67+11.5%9 analysts
$306.15our TP
$299.23price
$333.67mean
$275
$367

Sell if holding. Analyst target reached at $299.23 — A.R:R is negative (-0.6) — price has exceeded the analyst target. Reward from here is too thin for a buy — the engine flags exit. Additional concerns: Earnings in 6 days (event risk). Chart setup: RSI 46 mid-range, Bollinger mid-band. Score 5.4/10, moderate confidence.

Passes 4/7 gates (clean insider activity, no SEC red flags, news events none recent, semi cycle peak clear). Fails on weak momentum and favorable risk/reward ratio and earnings proximity 6d<=7d. Suitability: moderate.

Thesis

Rewards
Strong earnings beat streak (4/4)
Risks
Analyst target reached - limited upside remaining
Earnings in 6 days (event risk)
Earnings estimates trending DOWN

Key Metrics

P/E (TTM)29.2
P/E (Fwd)23.3
Mkt Cap$9.9B
EV/EBITDA18.5
Profit Mgn14.0%
ROE18.2%
Rev Growth15.7%
Beta1.27
Dividend0.70%
Rating analysts17

Quality Signals

Piotroski F9/9

Options Flow

P/C0.95neutral
IV48%normal
Max Pain$140-53.2% vs spot

Concentration Risks(10-K Item 1A)

  • MEDIUMSuppliersingle-sourced
    10-K Item 1A: 'we also source certain components and finished goods internationally, including some that are single-sourced'

Model-generated analysis — not investment advice. Not a registered investment advisor. Past performance does not guarantee future results. Full disclaimer

Rating Breakdown

1 floor-breaker

Momentum below the gate floor. Component breakdown shows what dragged the score down.static

Volume
0.0
Obv
1.0
Ma Position
4.0
Rsi
5.5
Macd
7.8
Volume distribution (falling OBV)Above 200-day MA
GatesMomentum 3.7<4.5A.R:R -0.6=NEGATIVEEARNINGS PROXIMITY 6d<=7dInsider activity: OKNo SEC red flagsNEWS EVENTS NONE RECENTSEMI CYCLE PEAK CLEARRange BoundSuitability: Moderate
RSI
46 · Neutral
20D MA 50D MA 200D MAGOLDEN CROSSSupport $285.02Resistance $312.40

Price Targets

$283
$306
A.Upside+2.3%
A.R:R-0.6:1

Position Sizing

ConvictionNone
Suggested %0.5%
Max %1%
RegimeCautious

Risk Alerts

! Target reached (-2.9% upside)
! Momentum score 3.7/10 — below 4.5 minimum
! Negative risk/reward — downside exceeds upside

Earnings

B
B
B
B
4/4 beats
Next Earnings2026-05-06 (6d)

Verdict History

reverse chrono — latest first
Loading history...
Verdicts are recorded on every nightly pipeline run. Rows capture transitions (verdict flips, score deltas ≥0.3, entry/TP/SL changes). Rows with a ▶ can be expanded to see the change reason. Aggregate cohort performance is tracked in the recommendation ledger.
Frequently Asked Questions
Is WTS stock a buy right now?

Sell if holding. Analyst target reached at $299.23 — A.R:R is negative (-0.6) — price has exceeded the analyst target. Reward from here is too thin for a buy — the engine flags exit. Additional concerns: Earnings in 6 days (event risk). Chart setup: RSI 46 mid-range, Bollinger mid-band. Prior stop was $283.09. Score 5.4/10, moderate confidence.

What is the WTS stock price target?

Take-profit target: $306.15 (+2.4% upside). Prior stop was $283.09. Stop-loss: $283.09.

What are the risks of investing in WTS?

Analyst target reached - limited upside remaining; Earnings in 6 days (event risk); Earnings estimates trending DOWN.

Is WTS overvalued or undervalued?

Watts Water Technologies, Inc. trades at a P/E of 29.2 (forward 23.3). TrendMatrix value score: 4.3/10. Verdict: Sell.

What do analysts say about WTS?

17 analysts cover WTS with a consensus score of 3.4/5. Average price target: $334.

What does Watts Water Technologies, Inc. do?Watts Water Technologies manufactures flow control, water safety, energy efficiency, and conservation products for...

Watts Water Technologies manufactures flow control, water safety, energy efficiency, and conservation products for commercial and residential buildings across Americas, Europe, and APMEA geographic segments. Approximately 29% of 2025 net sales came from outside the US. Revenue is distributed through plumbing/heating wholesalers and OEM manufacturers.

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