DailyIQ
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Sector:HealthcareAll sectors
Last updated 2 minutes ago

WAT·Waters Corporation

$.
-. (-.%)
After Hours
High
$380.32
Open
$380.17
Market Cap
37.58B
52W High
$414.15
Low
$373.15
P. Close
$376.38
P/E
83.66
52W Low
$275.05
Fwd P/E
22.82
DailyIQ Est.
$413.38
Technical Score (1D)
91
BUY
News Sentiment
53
MIXED
RBC Capital has just initiated coverage of Waters with an Outperform rating and a $435 price target, signaling a bullish stance on the company’s fundamentals and the growing demand for water infrastructure. This new rating is likely to lift investor sentiment and could increase trading activity over the next few days as market participants reassess the stock’s valuation. Morgan Stanley has also raised its price target to $390 from $350, citing a stronger earnings outlook driven by heightened demand for water infrastructure and supportive regulatory developments. The upgrade reflects confidence that Waters can capture growth in the water sector, suggesting a positive trajectory for the stock in the short term. Meanwhile, Morgan Stanley’s analyst maintains an equal‑weight rating, reinforcing the bullish outlook and potentially influencing institutional allocation. RBC analysts further project upside from the turnaround at BD and broader growth in pharmaceutical manufacturing, which could boost Waters’ contract manufacturing services and lift revenue and earnings in the near term. These developments collectively point to a near‑term rally driven by infrastructure demand, regulatory support, and industry tailwinds. Traders should monitor the upcoming earnings release for confirmation of the earnings outlook and watch for any new water‑infrastructure policy announcements that could validate the bullish case. Additionally, keeping an eye on BD’s turnaround progress and the pace of pharma manufacturing growth will help gauge whether the projected upside materializes.
Earnings Summary
Waters Corporation is a global provider of analytical workflow solutions, specializing in high‑performance liquid chromatography and mass spectrometry systems, consumables, and services that serve pharmaceutical, research, and environmental markets. The company operates in the healthcare sector, specifically diagnostics and research, where precision instrumentation drives scientific discovery and regulatory compliance. In the most recent two quarters, Waters posted EPS of $4.53 in Q4 2025 and $2.70 in Q1 2026, both beating analyst estimates of $2.47387 and $2.3597 respectively, while revenue surged to $932.36 million from $1.267 billion, a significant jump from the $771.33 million in Q2 2025; the company has achieved a six‑quarter streak of EPS beats, underscoring robust earnings performance. Historically, Waters has shown accelerating revenue growth, with EPS consistently beating forecasts and revenue increasing year over year, especially in Q4 2025 and Q1 2026 where growth rates exceeded prior periods. Recent analyst coverage has been bullish, with RBC Capital and Morgan Stanley raising price targets to $435 and $390 respectively, and Guggenheim maintaining a buy rating at $440, reflecting confidence in the company’s pipeline expansion and water‑infrastructure demand; these upgrades suggest a favorable near‑term outlook. The recent analyst upgrades come amid growing demand for water infrastructure and supportive regulatory developments, which could further boost Waters’ contract manufacturing services. Additionally, the company’s focus on expanding its thermal analysis portfolio may open new revenue streams. Investors should watch for the Q2 2026 earnings release, particularly guidance on new pipeline projects, regulatory developments in water infrastructure, and any updates on the company’s contract manufacturing services, as these factors will shape the next quarter’s earnings trajectory and valuation.

EPS

EstBeatMiss
$1.88$2.63$3.38$4.13$4.88Q1'25Q2'25Q3'25Q4'25Q1'26Q2'26
QtrEstActual+/−
Q2'26$3.01 - -
Q1'26$2.36$2.70+14.4%
Q4'25$2.47$4.53+83.1%
Q3'25$3.22$3.40+5.5%
Q2'25$2.94$2.95+0.3%
Q1'25$2.22$2.25+1.2%

Revenue

EstBeatMiss
$515M$833M$1.2B$1.5B$1.8BQ1'25Q2'25Q3'25Q4'25Q1'26Q2'26
QtrEstActual+/−
Q2'26$1.6B - -
Q1'26$1.2B$1.3B+4.3%
Q4'25$712M$932M+31.0%
Q3'25 - $800M -
Q2'25 - $771M -
Q1'25 - $662M -
Full Earnings BreakdownEstimates, actuals, guidance, and historical context
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Market Data

WAT Stock Snapshot

WAT is currently trading at $376.43, giving Waters Corporation a market cap of 37.58B and a P/E ratio of 83.7. Today's range spans $373.15–$380.32, with shares opening at $380.17 and moving up $0.05 (0.0%) from the prior close. DailyIQ's technical score sits at 91/100 (BUY) with a news sentiment reading of 53/100.

Over the past year WAT has traded between $275.05 and $414.15 - the current price is +36.9% off the 52-week low and -9.1% from the high. 32 analysts cover the stock with a Hold consensus and a mean 12-month target of $407.12 (range $349.00–$460.00), implying upside of +8.2%.

Algorithmic and quant fund activity in WAT tends to intensify when the technical score crosses the 91/100 threshold - systematic models in large-cap Healthcare names trigger entry signals at these levels, adding momentum to what may have started as fundamental-driven buying. Signal: BUY. Sentiment: neutral (53/100). Price: $376.43 (in the upper portion of its 52-week range). The current P/E ratio stands at 83.7. Annual range: $275.05–$414.15.

Earnings revision cycles in large-cap Healthcare names tend to compound: when technicals confirm a BUY thesis (91/100) and news sentiment (53/100, neutral) supports the narrative, analyst upgrades follow price rather than lead it. At $376.43 (in the upper portion of its 52-week range), WAT's position within the $275.05–$414.15 annual range suggests there's room for multiple expansion before the stock encounters meaningful technical resistance.