Select Water Solutions, Inc.
$19.22
+1.2%Select Water Solutions, Inc. engages in the provision of water management and chemical solutions. It operates through the following business segments: Water Infrastructure, Water Services, and Chemical Technologies. The Water Infrastructure segment develops, builds, and operates permanent and semi-permanent infrastructure solutions to support full life cycle water management and waste treatment solutions. The Water Services segment consists of services businesses, including water transfer, flowback and well testing, fluids hauling, water containment and water network automation, primarily serving E&P companies. The Chemical Technologies segment includes logistics and provides a full suite of chemicals used in hydraulic fracturing, stimulation, cementing, pipelines and well completions. The company was founded on November 21, 2016 and is headquartered in Gainesville, TX.
At a Glance
Live SnapshotIntrinsic Alpha Methodology
Thesis Lenses
Signal
High confidenceValuation multiple is elevated (P/E 91.5).
Valuation inputs: P/E 91.5, earnings yield +1.1%, momentum +1.2%.
If multiples stay elevated while momentum fades, downside repricing risk rises.
Driver
High confidenceReturn profile is soft (ROE +2.6%, ROIC +2.5%).
Profitability stack: net margin +1.5%, ROE +2.6%, ROIC +2.5%.
Quality deterioration often appears in margins before it shows up in headline EPS.
Risk
High confidenceRisk profile is balanced but has notable pressure points to monitor.
Risk factors: liabilities/assets +41.9%, momentum +1.2%, net margin +1.5%.
Higher leverage with weak momentum and thin margins can amplify drawdown severity.
Select Water Solutions, Inc. Market vs Earnings Trajectory
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Select Water Solutions, Inc. Fair Value Envelope
Select Water Solutions, Inc. Profit Bridge
Profitability Analysis
Gross Margin
Thin margins leave little room for error. Cost management and pricing strategy are critical.
Operating Margin
Minimal operating profit suggests high operating costs or pricing challenges. Scalability is concerning.
Net Profit Margin
Minimal profitability after all expenses. Limited financial flexibility for reinvestment or shareholder returns.
Effective Tax Rate
Below-average tax rate suggests effective tax planning, favorable jurisdictions, or tax credits.
Profitability Insight
Efficient profit conversion: Minimal margin compression from gross to net indicates lean operations and favorable tax/interest environment.
Select Water Solutions, Inc. Cash Conversion Engine
Cash Flow Quality Analysis
FCF Conversion Rate
Negative free cash flow despite positive earnings raises concerns about cash generation ability or heavy capital requirements.
CapEx Intensity
Very high capital intensity consumes most operating cash flow. Limited flexibility for dividends or debt reduction.
FCF Growth Trend
Significant FCF decline raises concerns. Urgent review needed of operational performance and capital allocation.
Working Capital Impact
Minimal working capital impact on FCF. Changes in operating assets and liabilities well-managed.
Cash Flow Quality Insight
Cash flow concerns: Despite profitability, the company is burning cash. Review working capital management, CapEx levels, and sustainability of current operations.
Select Water Solutions, Inc. Funding & Solvency Profile
Financial Health Analysis
Current Ratio
Strong liquidity. The company has adequate resources to meet short-term liabilities.
Debt-to-Equity Ratio
Balanced capital structure with moderate leverage. Equity exceeds debt, suggesting healthy financial stability.
Working Capital
Strong working capital position provides significant operational flexibility and financial cushion.
Asset Composition
Capital-intensive business with significant long-term investments in property, equipment, or intangibles.
Financial Health Insight
Strong financial foundation: Excellent liquidity combined with conservative leverage suggests the company is well-positioned to weather economic uncertainties and fund growth opportunities.
Select Water Solutions, Inc. Street Expectations Map
Wall Street analysts project that WTTR stock may rise significantly over the coming 12 months. The consensus 1-year price target stands at 22.00, with estimates ranging from a low of 21.00 to a high of 24.00.
The consensus 1-year price target stands at 22.00, with estimates ranging from a low of 21.00 to a high of 24.00.
Analyst Consensus Analysis
Upside Potential
Moderate upside. Analysts expect positive returns but with limited margin of safety. Consider entry timing.
Analyst Agreement
High analyst agreement. Narrow target range indicates strong consensus on valuation, suggesting clear investment thesis and predictable outlook.
Analyst Conviction
Positive outlook with reasonable agreement. Analysts generally optimistic about prospects with manageable uncertainty.
Market Sentiment Insight
Monitor and evaluate: Current analyst consensus suggests limited conviction or near-term catalysts. Stay informed on company developments and reassess positioning as new information emerges.
Select Water Solutions, Inc. Insider Positioning
During the last 12 months, insiders have sold $32.35M worth of WTTR shares, with no buying activity reported.
3 Months
0
0.00
1.5M
25.67M
-25.7M
-$25.67M
3-6 Months
0
0.00
50.8K
661.03K
-661K
-$661K
6-9 Months
0
0.00
528.7K
5.88M
-5.9M
-$5.88M
9-12 Months
0
0.00
17.6K
139.59K
-140K
-$140K
Top Buyers
No buying activity
Top Sellers
Crestview Partners Ii Gp, L.P.
10 Percent Owner
$21.75M
Schmitz John
Director, Officer: President & Ceo
$6.54M
Skarke Michael
Officer: Evp & Coo
$1.91M
Burnett Richard Alan
Director
$1.22M
Fielder Robin H
Director
$454K
Insider Activity Analysis
Net Insider Sentiment
Strong bearish signal with $32.35M net selling. Heavy insider selling may indicate concerns about valuation or near-term prospects.
Buy/Sell Ratio
Very poor ratio. Heavy selling with minimal buying suggests insiders may be concerned about valuation or outlook.
Recent Trend (3 Months)
Heavy recent selling activity. Recent insider sales notably exceed purchases—may warrant investigation into company developments.
Insider Participation
5 insider sellers vs. 0 buyers. Widespread selling across multiple insiders may signal concerns.
Insider Activity Insight
Multiple red flags: Heavy selling, numerous sellers, and continued recent selling create a concerning pattern. Investigate fundamental drivers and consider whether company guidance or industry conditions have deteriorated.
wttr Dividend History
Learning Layer
Related Guides
Build conviction on WTTR by pairing this stock hub with focused valuation guides.
Research Paths
Snapshot
Start with context, operating signals, and key market metrics.
Value Model
Stress test fair value across bear, base, and bull assumptions.
Statements
Validate revenue quality, margins, and balance sheet durability.
Earnings Call
Read management commentary and compare it with reported outcomes.
Dividends
Check payout sustainability and long-term distribution behavior.
Analyst Expectations
Review consensus spread and where estimate risk is concentrated.