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Mueller Water Products (MWA)
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Mueller Water Products (MWA) AI Stock Analysis

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MWA

Mueller Water Products

(NYSE:MWA)

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Outperform 71 (OpenAI - 4o)
Rating:71Outperform
Price Target:
$26.00
▲(7.26% Upside)
Mueller Water Products' overall stock score is driven by strong financial performance and a positive earnings call, indicating robust growth and profitability. However, technical analysis shows bearish momentum, which tempers the overall score. The valuation is fair, but the dividend yield is modest.
Positive Factors
Revenue Growth
Mueller's consistent revenue growth indicates strong market demand and successful product adoption, enhancing its competitive position.
Leadership Transition
The appointment of a new CEO with internal experience ensures continuity and potential strategic renewal, supporting long-term growth.
Margin Expansion
Improved margins reflect operational efficiency and pricing power, which are crucial for sustaining profitability and competitive advantage.
Negative Factors
Residential Construction Slowdown
A slowdown in residential construction could dampen sales growth, affecting revenue from a key market segment in the near term.
Cash Flow Challenges
Challenges in cash flow growth may limit the company's ability to invest in new projects and innovations, impacting future expansion.
Impact of Tariffs
Tariff impacts can increase costs, potentially squeezing margins and affecting competitive pricing, posing a risk to profitability.

Mueller Water Products (MWA) vs. SPDR S&P 500 ETF (SPY)

Mueller Water Products Business Overview & Revenue Model

Company DescriptionMueller Water Products, Inc. (MWA) is a leading manufacturer and supplier of water infrastructure and management solutions in North America. The company operates primarily through two segments: Mueller and Krausz. Its core products include water distribution and transmission systems, valves, hydrants, metering solutions, and other related services that support the efficient management and distribution of water resources. Mueller Water Products focuses on innovation and technology to improve water management systems and enhance sustainability in water usage.
How the Company Makes MoneyMueller Water Products generates revenue through the sale of its products, which include a wide range of water-related infrastructure components such as valves, hydrants, and water meters. The company primarily serves municipalities and utility companies, which are its key customers. Revenue streams include direct product sales, ongoing maintenance contracts, and service agreements. Additionally, the company benefits from partnerships with municipalities for infrastructure projects, as well as collaborations with engineering firms and contractors. Economic factors such as government infrastructure spending and community investments in water systems significantly influence Mueller’s earnings. The company also invests in research and development to create innovative solutions that address evolving water management challenges, thereby enhancing its market position and revenue potential.

Mueller Water Products Earnings Call Summary

Earnings Call Date:Nov 10, 2025
(Q4-2025)
|
% Change Since: |
Next Earnings Date:Feb 10, 2026
Earnings Call Sentiment Positive
The earnings call was marked by a strong financial performance and positive outlook for future growth, highlighted by record-breaking results in fiscal 2025. Despite facing challenges such as tariffs and a slowdown in residential construction, the company's strategic initiatives and operational improvements have positioned it well for continued success.
Q4-2025 Updates
Positive Updates
Record-Breaking Performance
Mueller Water Products achieved record levels for net sales, gross margin, adjusted EBITDA, and adjusted net income per share in fiscal 2025. Net sales increased by 8.7% to over $1.4 billion, and adjusted EBITDA grew by 14.6% year-over-year to $326 million.
Strong Fourth Quarter Results
In Q4 2025, net sales grew 9.4% to $380.8 million, driven by increased volumes and higher pricing. Adjusted EBITDA reached a quarterly record of $91.8 million, with a margin of 24.1%.
Improved Gross Margin
Consolidated gross margin expanded by 500 basis points in Q4 2025 to 36.8%, driven by manufacturing efficiencies and favorable price/cost dynamics.
Successful Operational Initiatives
Mueller completed the transition to a state-of-the-art brass foundry and improved operational execution, contributing to margin expansion and product performance.
Positive Outlook for Fiscal 2026
Mueller expects continued net sales growth and margin expansion in fiscal 2026, with projected adjusted EBITDA growth between 5.8% and 7.3%.
Negative Updates
Impact of Tariffs
Higher tariffs impacted the cost dynamics, though the effects were offset by pricing actions and operational initiatives.
Residential Construction Slowdown
The company anticipates a high single-digit decline in residential construction for fiscal 2026, which could impact sales growth.
Strategic Reorganization and Charges
The company reported $3.7 million in strategic reorganization and other charges, along with a $5.6 million warranty charge at Water Management Solutions.
Company Guidance
In the recent conference call for Mueller Water Products' fourth quarter and fiscal year 2025, the company reported record-breaking financial performance. Key metrics included a 9.4% increase in net sales for the quarter, reaching $380.8 million, and an annual net sales growth of 8.7%, surpassing $1.4 billion. Adjusted EBITDA for the quarter rose 26.6% year-over-year to $91.8 million, with margins expanding by 330 basis points to 24.1%. For the full year, adjusted EBITDA grew 14.6% to $326 million, with a margin of 22.8%. Additionally, adjusted net income per share increased by 72.7% in the quarter to $0.38, and by 36.5% for the full year to $1.31. The company generated $172 million in free cash flow, returning $57 million to shareholders through dividends and stock repurchases. Looking to fiscal 2026, Mueller Water Products expects continued net sales growth between 1.4% and 2.8% and adjusted EBITDA growth of 5.8% to 7.3%, supported by strategic investments in facilities and personnel.

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
85
Very Positive
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
78
Positive
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
70
Positive
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.
BreakdownTTMDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue1.43B1.31B1.28B1.25B1.11B964.10M
Gross Profit520.80M459.00M379.50M364.30M358.50M328.20M
EBITDA316.50M250.10M188.90M175.70M177.20M177.30M
Net Income191.70M115.90M85.50M76.60M70.40M72.00M
Balance Sheet
Total Assets1.84B1.64B1.50B1.50B1.52B1.40B
Cash, Cash Equivalents and Short-Term Investments431.50M309.90M160.30M146.50M227.50M208.90M
Total Debt451.60M477.50M472.10M473.70M475.50M474.90M
Total Liabilities857.20M825.80M793.50M828.80M823.10M754.30M
Stockholders Equity981.70M810.10M711.50M669.30M694.90M640.70M
Cash Flow
Free Cash Flow172.00M191.40M61.40M-2.40M94.00M72.60M
Operating Cash Flow219.30M238.80M109.00M52.30M156.70M140.30M
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
Neutral
Last Price24.24
Price Trends
50DMA
24.88
Negative
100DMA
25.21
Negative
200DMA
25.13
Negative
Market Momentum
MACD
-0.33
Negative
RSI
49.48
Neutral
STOCH
85.06
Negative
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For MWA, the sentiment is Neutral. The current price of 24.24 is above the 20-day moving average (MA) of 24.08, below the 50-day MA of 24.88, and below the 200-day MA of 25.13, indicating a neutral trend. The MACD of -0.33 indicates Negative momentum. The RSI at 49.48 is Neutral, neither overbought nor oversold. The STOCH value of 85.06 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for MWA.

Mueller Water Products Risk Analysis

Mueller Water Products disclosed 36 risk factors in its most recent earnings report. Mueller Water Products reported the most risks in the "Production" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks

Mueller Water Products Peers Comparison

Overall Rating
UnderperformOutperform
Sector (63)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
79
Outperform
$9.07B20.7620.97%1.18%3.19%69.89%
73
Outperform
$9.20B28.4717.81%0.72%4.18%16.05%
71
Outperform
$3.79B19.9221.40%1.12%8.75%64.82%
66
Neutral
$6.60B220.881.58%7.81%
64
Neutral
$5.95B-6.20%0.27%-159.24%
63
Neutral
$10.79B15.437.44%2.01%2.89%-14.66%
59
Neutral
$8.90B28.8612.38%5.52%9.03%
* Industrials Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
MWA
Mueller Water Products
24.08
-1.23
-4.86%
FLS
Flowserve
70.87
10.96
18.29%
GNRC
Generac Holdings
149.22
-38.23
-20.39%
MIDD
The Middleby
118.17
-23.89
-16.82%
WTS
Watts Water Technologies
275.88
62.25
29.14%
MIR
Mirion Technologies
25.16
8.71
52.95%

Mueller Water Products Corporate Events

Mueller Water Products Reports Record Earnings and Positive Outlook
Nov 11, 2025

Mueller Water Products’ recent earnings call was characterized by a strong financial performance and a positive outlook for future growth. The company reported record-breaking results for fiscal 2025, despite challenges such as tariffs and a slowdown in residential construction. Strategic initiatives and operational improvements have positioned Mueller well for continued success.

Business Operations and StrategyFinancial Disclosures
Mueller Water Products Highlights FY2025 Financial Performance
Positive
Nov 10, 2025

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.

The most recent analyst rating on (MWA) stock is a Hold with a $27.00 price target. To see the full list of analyst forecasts on Mueller Water Products stock, see the MWA Stock Forecast page.

Mueller Water Products Reports Record 2025 Results
Nov 8, 2025

Mueller Water Products, Inc. is a leading manufacturer and marketer of products and solutions used in the transmission, distribution, and measurement of water in North America, known for its comprehensive portfolio that includes valves, hydrants, and metering products. The company has reported record financial results for the fourth quarter and fiscal year 2025, with significant increases in net sales and net income, highlighting its strong market position and operational efficiency. Key financial metrics include a 9.4% increase in net sales for the quarter and an 8.7% increase for the fiscal year, alongside a substantial rise in net income per diluted share to $0.33 for the quarter and $1.22 for the fiscal year. The company’s adjusted EBITDA also saw notable growth, reaching $91.8 million for the quarter and $326.2 million for the year. Looking ahead, Mueller Water Products is poised for continued growth, leveraging its strong market position and investments in infrastructure to drive further sales and margin expansion in fiscal 2026.

Business Operations and StrategyExecutive/Board Changes
Mueller Water Products Announces CEO Retirement and Successor
Positive
Nov 6, 2025

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.

The most recent analyst rating on (MWA) stock is a Buy with a $29.00 price target. To see the full list of analyst forecasts on Mueller Water Products stock, see the MWA Stock Forecast page.

Dividends
Mueller Water Products Increases Quarterly Dividend
Positive
Oct 24, 2025

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.

The most recent analyst rating on (MWA) stock is a Buy with a $29.00 price target. To see the full list of analyst forecasts on Mueller Water Products stock, see the MWA Stock Forecast page.

Business Operations and StrategyFinancial Disclosures
Mueller Water Products Highlights Q3 FY25 Financials
Positive
Sep 2, 2025

Mueller Water Products released an updated investor presentation highlighting their financial performance and strategic priorities. The company reported net sales of $1,397 million and adjusted EBITDA of $306.9 million for the last twelve months ending Q3 FY25. They emphasized their commitment to operational excellence, customer experience, and sustainability, with significant achievements in water loss savings and waste reduction. These efforts are aimed at supporting future growth and enhancing their market position.

The most recent analyst rating on (MWA) stock is a Buy with a $29.00 price target. To see the full list of analyst forecasts on Mueller Water Products stock, see the MWA Stock Forecast page.

Executive/Board Changes
Mueller Water Products Appoints New Chief Accounting Officer
Neutral
Aug 15, 2025

On August 15, 2025, Mueller Water Products appointed Richelle R. Feyerherm as the new Chief Accounting Officer, replacing Suzanne G. Smith. Ms. Feyerherm, who has been with the company since 2019, will receive a compensation package including a base salary, bonus, and restricted stock units. The transition is supported by a consulting agreement with Ms. Smith to ensure continuity.

The most recent analyst rating on (MWA) stock is a Hold with a $26.00 price target. To see the full list of analyst forecasts on Mueller Water Products stock, see the MWA Stock Forecast page.

Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Nov 13, 2025