Watts Water TechnologiesWTS -2.95%89 FCF Margin % is 0.97% as of Mar. 2026, which is 90% below its 10-year median of 10.10. GuruFocus rates WTS with a GF Score™ of 89/100 and a GF Value™ of $252.92 (Significantly Overvalued). The stock has 6 warning signs investors should review. Among 3,036 Industrial Products companies, Watts Water Technologies ranks better than 84.12% on this metric.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
For the Specialty Industrial Machinery subindustry, Watts Water Technologies's FCF Margin %, along with its competitors' market caps and FCF Margin % data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Watts Water Technologies FCF Margin % vs Industrial Products Industry
For the Industrial Products industry and Industrials sector, Watts Water Technologies's FCF Margin % distribution charts can be found below:
* The bar in red indicates where Watts Water Technologies's FCF Margin % falls into.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Watts Water Technologies (WTS) has a FCF Margin % of 0.97% as of Mar. 2026. Free cash flow margin is the ratio of total free cash flow to net sales. View historical data on Watts Water Technologies and its competitors. This is 90% below median its historical median of 10.10. Over the past decade, Watts Water Technologies' FCF Margin % has ranged from 7.30 to 14.61. According to the industry distribution chart, Watts Water Technologies ranks #482 out of 3036 companies in the Industrial Products industry, placing it in the top 15.9%.
Is Watts Water Technologies' FCF Margin % too high?
Watts Water Technologies' current FCF Margin % of 0.97% is 90% below median its 10-year median of 10.10. Over the past 10 years, this metric has ranged from a low of 7.30 to a high of 14.61. The Industrial Products industry median FCF Margin % is 1.57. Watts Water Technologies' value of 0.97% is 38% below this industry median. Based on the distribution chart, Watts Water Technologies ranks #482 out of 3036 companies in the Industrial Products industry, which is in the top quartile — a strong position relative to peers. Overall, Watts Water Technologies has a GF Score™ of 89/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Watts Water Technologies' FCF Margin % compare to CR and GTLS?
According to the Industrial Products industry distribution chart, Watts Water Technologies ranks #482 out of 3036 companies for FCF Margin %. This places Watts Water Technologies in the top 16% of its industry — outperforming the majority of peers. The industry median FCF Margin % is 1.57. Watts Water Technologies' value of 0.97% is 38% below this benchmark. Historically, Watts Water Technologies' own FCF Margin % has ranged from 7.30 to 14.61 over the past decade. While the company's 10-year median is 10.10 vs. the industry median of 1.57, Watts Water Technologies has consistently been below the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good FCF Margin % for an Industrial Products company?
The median FCF Margin % among Industrial Products companies is 1.57, based on 3,036 companies in the industry. Companies in the top quartile (top 25%) have a FCF Margin % significantly above this median, while those in the bottom quartile fall well below. However, FCF Margin % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Watts Water Technologies's current FCF Margin % of 0.97% is 38% below the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high FCF Margin % mean?
A high FCF Margin % can signal that a stock is expensive relative to its fundamentals. Free cash flow margin is the ratio of total free cash flow to net sales. View historical data on Watts Water Technologies and its competitors. For the Industrial Products industry, the median FCF Margin % is 1.57 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Watts Water Technologies's current FCF Margin % is 0.97%, which is 90% below median its own 10-year median of 10.10. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Watts Water Technologies stock overvalued right now?
Based on GuruFocus' analysis, Watts Water Technologies (WTS) is currently considered Significantly Overvalued. The stock's GF Value™ is $252.92, compared to a current price of $364.04 — trading 43.9% above its estimated fair value. The current FCF Margin % is 0.97%, which is 90% below median its 10-year median of 10.10 and 38% below the Industrial Products industry median of 1.57. Watts Water Technologies' overall GF Score™ is 89/100 with 6 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is FCF Margin % calculated?
FCF Margin % is calculated from a company's financial statements. For Watts Water Technologies (WTS), the current FCF Margin % is 0.97% as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Watts Water Technologies (WTS) Overvalued in 2026?
Based on GuruFocus' analysis, Watts Water Technologies stock appears to be overvalued.
The current stock price of $364.04 is trading 43.9% above its estimated GF Value™ of $252.92.
GuruFocus considers Watts Water Technologies to be Significantly Overvalued.
Key valuation signals for WTS:
FCF Margin %: 0.97% (90% below median its 10-year median of 10.10)
GF Value™: $252.92 vs. price of $364.04 (43.9% above fair value)
Industry Position: 38% below the Industrial Products median (#482 of 3036)
No single metric tells the full story. See the WTS stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Watts Water Technologies Inc is a U.S.-based company that provides safety, energy efficiency, and water conservation products. Its product portfolio includes residential and commercial flow control products, which are sold for plumbing and hot water applications; HVAC and gas products, including commercial boilers, water heaters, heating solutions, etc.; drainage and water reuse products, including drainage products and engineered rainwater-harvesting solutions; and water quality products, including point-of-use and point-of-entry water filtration, conditioning, and scale prevention systems. Its products are marketed through brands like Watts, Apex, Bradley, Nexa, and others. Geographically, the company derives its key revenue from the Americas, followed by Europe and the APMEA region.
89GF Score
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