Mueller Water Products (MWA) AI Stock Analysis

• Market Cap: $3.83B
• Dividend Yield: 1.09%
• Average Volume (3M): 1.54M
• Price to Earnings (P/E): 20.1
• Beta (1Y): 1.12
• Revenue Growth: 8.75%
• EPS Growth: 64.82%
• Country: US
• Employees: 3,400
• Sector: Industrials
• Sector Strength: 72
• Industry: Industrial - Machinery
• EPS (TTM): 0.38
• Shares Outstanding: 156,360,150
• 10 Day Avg. Volume: 1,909,178
• 30 Day Avg. Volume: 1,541,471
• PEG Ratio: 0.84
• Price to Book (P/B): 4.18
• Price to Sales (P/S): 2.57
• P/FCF Ratio: 17.68
• Enterprise Value/Market Cap: 1.06
• Enterprise Value/Revenue: 2.83
• Enterprise Value/Gross Profit: 7.78
• Enterprise Value/Ebitda: 12.80
• 1Y Price Target: $27.75
• Price Target Upside: 11.67% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 4
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 77 Outperform
• Price Target: $28.00 ▲(12.68% Upside)

Mueller Water Products' strong financial performance and positive earnings call are the most significant factors driving the stock score. The company's strategic initiatives and operational improvements position it well for future growth. However, technical indicators suggest a bearish trend, and valuation metrics are fair, reflecting moderate investor sentiment. Corporate events, including leadership changes and dividend increases, further support the company's positive outlook.

Positive Factors

Revenue Growth

Consistent revenue growth indicates strong market demand and effective sales strategies, positioning the company for sustained expansion.

Operational Efficiency

Improved operational efficiency enhances profitability and competitiveness, supporting long-term financial health and market position.

Leadership Transition

Strategic leadership transition ensures continuity and fresh perspectives, potentially driving innovation and sustained growth.

Negative Factors

Impact of Tariffs

Tariff impacts can increase costs and pressure margins, potentially affecting long-term pricing strategies and profitability.

Residential Construction Slowdown

A slowdown in residential construction may reduce demand for products, impacting sales growth and revenue stability.

Strategic Reorganization Costs

Reorganization costs can strain financial resources and disrupt operations, potentially affecting short-term financial performance.

Mueller Water Products Business Overview & Revenue Model

Company Description

Mueller Water Products Inc. manufactures and markets products and services used in the transmission, distribution, and measurement of water in North America and internationally. Its products and services are used by municipalities, and the residential and non-residential construction industries. It operates through two segments, Infrastructure and Technologies. The company's Infrastructure segment manufactures and sells valves for water and gas systems, including iron gate, butterfly, tapping, check, knife, plug, automatic control, and ball valves; and dry-barrel and wet-barrel fire hydrants and service brass products, as well as a line of pipe repair products, such as clamps and couplings used to repair leaks. This segment offers its products under Canada Valve, Centurion, Ez-Max, Hydro Gate, Hydro-Guard, HYMAX, HYMAX VERSA, Jones, Krausz, Milliken, Mueller, Pratt, Pratt Industrial, Repamax, Repaflex, and Singer brands. Its Technologies segment offers residential and commercial water metering, water leak detection and pipe condition assessment products, systems, and services. It offers products under Echologics, Echoshore, ePulse, Hersey, LeakFinderRT, LeakFinderST, LeakListener, LeakTuner, Mi.Echo, Mi.Data, Mi.Hydrant, Mi.Net, Mueller Systems, and Sentryx brands. The company was founded in 1857 and is headquartered in Atlanta, Georgia.

How the Company Makes Money

Mueller Water Products generates revenue through the sale of its wide range of water and wastewater products, including valves, hydrants, and metering technologies. The company primarily sells its products to municipalities and water utilities, which are often funded through government contracts and projects. Key revenue streams include direct sales through its distribution network, as well as partnerships with various municipal and industrial clients. Additionally, the company benefits from ongoing maintenance contracts and the provision of smart water management solutions, which enhance its earnings stability. Strategic partnerships with other infrastructure firms and active participation in government projects also contribute to its overall revenue growth.

Mueller Water Products Financial Statement Overview

Summary

Mueller Water Products demonstrates solid financial health with strong revenue growth, improving profitability, and a balanced capital structure. The decline in free cash flow growth is a potential risk, but overall financial performance remains robust, supported by efficient operations and effective cost management.

Income Statement

Mueller Water Products shows strong revenue growth with a TTM increase of 1.72% and consistent improvement over the past years. The gross profit margin remains stable at around 34.9%, indicating efficient cost management. The net profit margin has improved to 10.67% in the TTM, reflecting enhanced profitability. EBIT and EBITDA margins are healthy at 16.28% and 19.08%, respectively, showcasing operational efficiency.

Balance Sheet

The company's debt-to-equity ratio has improved to 0.48 in the TTM, indicating a stronger equity position and reduced leverage. Return on equity is robust at 17.30%, demonstrating effective use of shareholder funds. The equity ratio stands at 53.69%, reflecting a solid capital structure with a good balance between debt and equity.

Cash Flow

Operating cash flow remains strong with a coverage ratio of 0.93, indicating good cash generation relative to net income. However, free cash flow has declined by 10.04% in the TTM, which could be a concern if the trend continues. The free cash flow to net income ratio is healthy at 0.77, suggesting efficient conversion of earnings into cash.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.43B	1.31B	1.28B	1.25B	1.11B	964.10M
Gross Profit	520.80M	459.00M	379.50M	364.30M	358.50M	328.20M
EBITDA	316.50M	250.10M	188.90M	175.70M	177.20M	177.30M
Net Income	191.70M	115.90M	85.50M	76.60M	70.40M	72.00M
Balance Sheet
Total Assets	1.84B	1.64B	1.50B	1.50B	1.52B	1.40B
Cash, Cash Equivalents and Short-Term Investments	431.50M	309.90M	160.30M	146.50M	227.50M	208.90M
Total Debt	451.60M	477.50M	472.10M	473.70M	475.50M	474.90M
Total Liabilities	857.20M	825.80M	793.50M	828.80M	823.10M	754.30M
Stockholders Equity	981.70M	810.10M	711.50M	669.30M	694.90M	640.70M
Cash Flow
Free Cash Flow	172.00M	191.40M	61.40M	-2.40M	94.00M	72.60M
Operating Cash Flow	219.30M	238.80M	109.00M	52.30M	156.70M	140.30M
Investing Cash Flow	-47.10M	-47.20M	-42.10M	-54.90M	-81.70M	-67.50M
Financing Cash Flow	-58.30M	-46.00M	-48.80M	-72.00M	-58.80M	-41.40M

Mueller Water Products Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 24.85
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For MWA, the sentiment is Positive. The current price of 24.85 is above the 20-day moving average (MA) of 24.53, above the 50-day MA of 24.65, and below the 200-day MA of 25.06, indicating a neutral trend. The MACD of 0.11 indicates Negative momentum. The RSI at 54.70 is Neutral, neither overbought nor oversold. The STOCH value of 57.05 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for MWA.

Mueller Water Products Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
FLS	79 Outperform	$9.03B	20.67	20.97%	1.17%	3.19%	69.89%
MWA	77 Outperform	$3.83B	20.12	21.40%	1.09%	8.75%	64.82%
WTS	77 Outperform	$9.33B	28.88	17.81%	0.70%	4.18%	16.05%
MIR	66 Neutral	$5.98B	202.12	1.58%	―	7.81%	―
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
MIDD	61 Neutral	$7.44B	-34.18	-6.20%	―	0.27%	-159.24%
GNRC	59 Neutral	$8.15B	26.66	12.38%	―	5.52%	9.03%

Mueller Water Products Corporate Events

Mueller Water Products Highlights FY2025 Financial Performance

Mueller Water Products has released an updated investor presentation highlighting its financial performance and strategic initiatives. The company reported $1,430 million in net sales for FY2025 and emphasized its commitment to sustainability, having identified significant water loss savings and reduced waste. The presentation underscores Mueller’s focus on operational excellence, customer experience, and innovation to drive growth and expand margins.

Mueller Water Products Announces CEO Retirement and Successor

On November 6, 2025, Mueller Water Products announced the retirement of CEO Marietta E. Zakas, effective February 9, 2026, with Paul McAndrew appointed as her successor. McAndrew, who has been with the company since 2022, will also join the Board of Directors. Zakas will serve as a Senior Advisor until December 31, 2026, ensuring a smooth transition. This leadership change is part of a strategic succession plan aimed at maintaining the company’s positive momentum and operational success. The transition is expected to have significant implications for Mueller’s future growth and stakeholder engagement.

Mueller Water Products Increases Quarterly Dividend

On October 23, 2025, Mueller Water Products announced an increase in its quarterly cash dividend by approximately 4.5% to $0.070 per share, up from $0.067 per share. This decision reflects the company’s commitment to enhancing shareholder value and may positively impact investor sentiment and the company’s market positioning.