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Consolidated Water Co. Ltd.

Rank #376Value

CWCO · Nasdaq · Utilities

Consolidated Water Co. Ltd. (CWCO) — Rank #376 by gross profitability (GP/assets 0.18) · ROE 8.1% · Piotroski F-Score 5 / 9.

As-of 2026-09-15 · CIK 0000928340 · all metrics point-in-time as of the filing date.

About

Consolidated Water Co.

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Ltd., together with its subsidiaries, supplies potable water, treats wastewater and water for reuse, and provides water-related products and services in the Cayman Islands, the Bahamas, the United States, and the British Virgin Islands. It operates through Retail, Bulk, Services, and Manufacturing segments. The company produces potable water from seawater utilizing reverse osmosis technology and supplies water to end-users, including residential, commercial, and government customers, as well as government-owned utilities. It is also involved in design, construction, and sale of water production and treatment plants, as well as management and operation of water production plants, and treatment and reuse infrastructure for third parties; provision of water related consulting services; and production and supply of bulk water. In addition, the company manufactures and services a range of specialized and custom water-related products and systems applicable to commercial, municipal, and industrial water production, supply, and treatment; reverse osmosis desalination, membrane separation, and filtration equipment; and piping systems, vessels, and custom-fabricated components. Consolidated Water Co. Ltd.

was incorporated in 1973 and is headquartered in Grand Cayman, the Cayman Islands.

Industry
Utilities - Regulated Water
Sector
Utilities
State
E9
Filer Category
Accelerated filer
Fiscal Year End
December 31
Website
cwco.com

Price History

CWCO+156.8% · +20.8% CAGRSPY+80.5% · +12.5% CAGR

Company Snapshot

P/E and dividend yield are the primary valuation lenses for mature businesses.

Market Cap

$447.00M

P/E (annual)

24.5

P/S (annual)

3.4

P/B

2.0

P/OCF (annual)

10.7

Shareholder Yield

1.3%

Employees

293

Industry

Utilities - Regulated Water

Exchange

Nasdaq

Signal Flags

3 green1 red
Revenue growth acceleratingGrowth rate increasing year over year
Operating leverage expandingOperating income growing faster than revenue
Sequential beat (rev + EPS)Both revenue and EPS exceeded prior quarter — 2-quarter streak
Revenue declining YoYRevenue contracted year over year

Quality Profile

Profitability

1/1 pass
GP / assets
0.18
Return on equity
8.1%
Gross margin trend
PASS

Safety

1/1 pass
Balance-sheet safety
PASS
Debt / equity
0.14
Current ratio
5.95×
Net cash
$132.61M

Cash Flow

3/3 pass
Positive FCF
PASS
Cash-backed earnings
PASS
Accruals healthy
PASS
SBC / revenue
1.3%

Growth

1/2 pass
Revenue growth
-1.4%
Piotroski F-Score
5 / 9
Share dilution
0.5%

Terry Smith quality gate

Passes 1/5 Terry Smith thresholds

1 of 5 threshold not computable from filed data.

What Growth Is Priced In

Implied revenue growth (10Y)

2.3%

incredible deal

The annual FCF growth rate today's price requires over a 10-year horizon (discount rate 10%, terminal growth 2.5%).

Dilution drag: 0.5% — per-share value needs a total required return of 2.8% once share-count change is priced in.

vs. own 6-year median revenue growth: 2.1%

within its own history

Cost-of-equity sensitivity (implied growth at different discount rates)

r = 8%

-1.7%

r = 10% (base)

2.3%

r = 12%

5.8%

Net debt / market cap: -29.7%

Base FCF: $33.2M3Y mean FCF: $22M

Valuation History

Current multiple vs historical range at each filing date. Band spans 25th-75th percentile.

P / E

Price / diluted EPS

30.4xFair
15.2xmed 32.9x178.7x

P / S

Price / revenue per share

4.2xExpensive
2.5xmed 2.8x4.2x

P / B

Price / book value per share

2.5xExpensive
1.0xmed 1.4x2.6x

P / GP

Price / gross profit per share

11.4xExpensive
6.5xmed 7.7x11.4x

P / FCF

Price / free cash flow per share

16.7xFair
13.1xmed 17.3x163.7x

Dividend yield and payout ratio are the primary reads at this stage (trailing P/E — see valuation above).

Profitability

Gross profitability (GP / assets)

0.18

Primary signal (Novy-Marx).

5th of 8 SIC 49 peers

Return on equity

8.1%

Gross margin

36.6%

2nd of 8 SIC 49 peers

Revenue growth (YoY)

-1.4%

Gross margin improving

Margin trend vs prior year.

PASS

Operating Leverage

2022202320242025
Revenue vs COGS
Revenue vs OpEx
Op. Income vs Revenue

Growth

Revenue CAGR (3Y)

12.0%

Revenue CAGR (5Y)

12.7%

Earnings CAGR (3Y)

46.3%

FCF CAGR (3Y)

34.0%

Anti-fragile safety

Balance-sheet safety

Composite anti-fragile check.

PASS

Debt / equity

0.14

1st of 5 SIC 49 peers (best = lowest)

Current ratio

5.95×

1st of 8 SIC 49 peers

Quick ratio

5.52×

Net cash

$132.61M

Cash & equivalents minus total debt.

Recession resistance

Revenue through recessions

Worst single-year YoY revenue decline, 17 years of history

Strong
2008-2009 (GFC)
N/AN/A
2020 (COVID)
5.6%Grew through it
Worst year on record(any fiscal year, not recession-limited)
-25.7%Significant decline

Cash-flow health

Free cash flow

$33.17M

Operating cash flow minus capex.

Positive free cash flow

PASS

FCF / net income

0.81

Cash-backing of earnings.

FCF/NI divergence

Unfavorable divergence (yellow flag).

PASS

Accruals healthy

Cash-backed earnings.

PASS

SBC / revenue

1.3%

Stock-based comp intensity.

Dividend safety

Composite score

3.2 / 5

Good
Payout ratio
43.3%4/5 Strong
FCF coverage
4.18×5/5 Strong
Dividend growth streak
3 yr2/5 Fair
Balance-sheet health
D/E 0.14 · IC N/A2/5 Fair

Piotroski F-Score

F-Score

5 / 9

Fundamental-strength score (0-9).

Lifecycle Phase History

20202025
Capital Return
Decline
Hypergrowth
Value
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