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⚠️ Not investment advice. Past performance does not guarantee future results.
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Zurn Elkay Water Solutions ZWS

United StatesIndustrials · Pollution & Treatment ControlsUSD
6.6AI score
Rank 490 of 2,130
better than 77% of companies
46.48USD
▲ 2.9% in one year
ZWS MSCI World +22.1%
Average analyst target
58.00 USD (+24.8%)
9 analysts
52-wk low 43.06High 55.00
📈 Chart on TradingView ↗(affiliate link)Analysis of 08/10/2026

What does it do?

Zurn Elkay Water Solutions designs, manufactures and sells products and systems for water management in commercial, institutional and industrial buildings, including plumbing, drainage and drinking water solutions.

Key points

from its scores
  • ✓Very solid balance sheet8.4
  • ✓Strong growth8.3
  • ✓High-quality business7.7
  • ✕Poor share-price trend4.5
  • ✕Demanding valuation4.6

AI analysis

bottom line, main risk, context and news
Bottom line

Exceptional quality and growth, but the valuation does not offer enough margin of safety for an aggressive entry.

Zurn Elkay presents a very solid financial profile: a healthy balance sheet (Net Debt/EBITDA of 0.40x), high profitability (ROIC of 25.38%) and 132% earnings growth, although its valuation (P/E of 28.87x) already discounts these strengths.

⚠ Main risk

Dependence on the US commercial construction cycle and the ability to sustain the 132% earnings growth are the main risks for Zurn Elkay.

Context and risks

Zurn Elkay shows no material exposure to current macro factors: its water and sanitation solutions business for buildings does not depend on traded commodities, shipping routes or interest rates significantly (Net Debt/EBITDA of 0.40x). The rise in long-term US rates could slightly affect commercial construction demand, but it is not a dominant factor for its valuation.

Is Zurn Elkay Water Solutions stock cheap or expensive?

at the analysis date
Pricier than its sector

On P/E and EV / EBITDA, it trades 15% above the Industrials median on average.

MultipleCompanySectorDifference
P/E28.925.4+14%
EV / EBITDA16.914.5+17%
Price / book4.74.1+15%
Price / sales4.32.1+110%

Sector: median of the 388 Industrials companies analysed. In bold, the multiples used for the comparison.

Valuation score: 4.6 out of 10 (median for Industrials: 5.0).

Average analyst target: 58.00 USD, +24.8% versus the price.

A premium can be justified if the company is of higher quality or grows faster than its sector: Quality / Moat 7.7 (sector 5.8), Growth 8.3 (sector 6.6).

Indicative fair value · USD
Graham45.89▼ −1% vs price
Cash flow (DCF)45.86▼ −1% vs price
Dividends15.40▼ −67% vs price
Price46.48at the analysis date

Classic formulas with standard assumptions (10.0% growth, 8-9% discount rate). Indicative only: they change a lot with the assumptions and are not a recommendation.

Work out its fair value yourself →How much would you have made investing every month? →

Comparing it with its sector does not say whether it is a good buy: this is not investment advice.

🛒 Where to buy ZWSCheapest · US (NYSE/Nasdaq) · sample 200.00 € orderCheapest · US (NYSE/Nasdaq) · sample 200.00 € orderAvailable in your country · US (NYSE/Nasdaq) · sample 200.00 € order
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Score by category

0 to 10 · hover overtap each one to see what it measures
Financial healthiGood8.4Industrials median: 6.4
Quality / MoatiGood7.7Industrials median: 5.8
ValuationiWeak4.6Industrials median: 5.0
GrowthiGood8.3Industrials median: 6.6
DividendiFair5.1Industrials median: 5.4
MomentumiWeak4.5Industrials median: 5.9
Risk & ContextiGood7.2Industrials median: 6.0
Industrials median7 or more 5 to 7 under 5

Key metrics

at the analysis date · compared with the Industrials median
P/Ei
28.9
Industrials: 25.4above
EV / EBITDAi
16.9
Industrials: 14.5above
ROEi
16.9%
Industrials: 16.9%in line
Operating margini
31.4%
Industrials: 12.4%above
Net debt / EBITDAi
0.40
Industrials: 1.58below
Revenue growthi
+10.5%
Industrials: +9.2%above

Valuation

P/E
28.9
Forward P/E
22.8
EV / EBITDA
16.9
Price / book
4.7
Price / sales
4.3
PEG
1.56
Market cap
7.7B USD
Enterprise value
7.9B USD

Profitability

ROE
16.9%
ROA
8.7%
ROIC (approx.)
25.4%
Gross margin
49.0%
Operating margin
31.4%
Net margin
15.5%
Free cash flow
322.7M USD
FCF yield
4.2%
Cash conversion
69%

Solvency

Total debt
550.5M USD
Net debt
185.5M USD
Cash
365.0M USD
EBITDA
466.3M USD
Net debt / EBITDA
0.40
Debt / equity
33.18
Current ratio
3.05
Quick ratio
2.04

Growth

Revenue growth
+10.5%
Earnings growth
+132.0%
EPS (TTM)
1.61 USD
EPS (forward)
2.04 USD

Dividend

Dividend yield
0.9%
Payout
26.1%

Risk and market

Beta
0.83
Analyst consensus
Buy (9)
Target price
58.00 USD
52-week range
43.06 – 55.00

Compare it with its sector

All 388 in Industrials →
See the full ranking with filters →

Keep browsing the ranking

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Frequently asked questions about Zurn Elkay Water Solutions

Is Zurn Elkay Water Solutions stock cheap or expensive?

On P/E and EV / EBITDA, it trades 15% above the Industrials median on average. Valuation score: 4.6 out of 10 (median for Industrials: 5.0). Average analyst target: 58.00 USD, +24.8% versus the price. This is not investment advice.

What score does Zurn Elkay Water Solutions get on MeridIAn Screener?

It scores 6.6 out of 10, rank 490 of 2,130 (better than 77% of the companies analysed). Its strongest category is Financial health (8.4) and its weakest, Momentum (4.5). Analysis of 08/10/2026.

What is Zurn Elkay Water Solutions's P/E ratio?

Its P/E is 28.9: the share price equals 28.9 times earnings per share over the last 12 months. The Industrials median is 25.4. Based on the earnings analysts expect, the forward P/E is 22.8.

How much is Zurn Elkay Water Solutions worth on the stock market?

Its market capitalisation is 7.7B USD and its enterprise value, debt included, is 7.9B USD.

How much debt does Zurn Elkay Water Solutions have?

Its net debt (debt minus cash) is 185.5M USD. That is 0.40 times its EBITDA; the Industrials median is 1.58.

Does Zurn Elkay Water Solutions pay a dividend?

Yes: its dividend yield is 0.95% and it pays out 26% of its earnings.

How has Zurn Elkay Water Solutions stock performed over the last year?

It has risen 2.9% over the last year, excluding dividends. Over the last 52 weeks it has traded between 43.06 and 55.00 USD. Past performance does not guarantee future results.

What do analysts think of Zurn Elkay Water Solutions?

9 analysts cover it; their average recommendation is “Buy” and their average target is 58.00 USD (+24.8% versus the price). It is an estimate, not market data.