Zurn Elkay Water Solutions delivers a perfect 4-for-4 earnings beat streak, a maximum Piotroski F-Score of 9/9, and 129% free cash flow conversion — but the stock has already reached its analyst price target with only 0.2% upside remaining, making the current entry a near-zero reward-to-risk proposition.
Thesis pillars
- Perfect Earnings Beat Fcf Conversion↑Improving
- Maximum Piotroski Score Quality↓Deteriorating
- Analyst Target Exhausted Zero Upside↑Improving
- +1 more pillar — see the Why tab for full reasoning
Pillars as of Jul 3, 2026, based on the 10-K filed Feb 9, 2026
Zurn Elkay Water Solutions Corp (ZWS) Stock Analysis
Industrials · Pollution & Treatment Controls
Sell if holding. At $44.73, A.R:R 0.6:1 is below the 1.5:1 minimum. Reward from here is too thin for a buy — the engine flags exit. Additional concerns: Thin upside margin: 4.4%; Sector modifier (Industrials): -0.7.
Zurn Elkay Water Solutions designs and manufactures specification-driven water management products — valves, drainage, filtration, and hygienic fixtures — primarily for North American institutional and commercial construction markets. Products are distributed through... Read more
Sell if holding. At $44.73, A.R:R 0.6:1 is below the 1.5:1 minimum. Reward from here is too thin for a buy — the engine flags exit. Additional concerns: Thin upside margin: 4.4%; Sector modifier (Industrials): -0.7. Chart setup: No clear chart pattern; technical signals are mixed. Score 5.7/10, moderate confidence.
Passes 4/7 gates (clean insider activity, earnings proximity 95d clear, semi cycle peak clear, materials cycle peak clear). Fails on weak momentum and favorable risk/reward ratio. Suitability: moderate.
Recent developments
updated 2026-10-30Recent Developments — Zurn Elkay Water Solutions Corp
Latest news
- NEWS How Strong Earnings Will Impact Zurn Elkay Water Solutions Stock (ZWS) - Simply Wall Street — Simply Wall Street positive
- NEWS Learn Why The Bull Case For Zurn Elkay Water Solutions Stock Could Change Following Earnings Growth Forecast - Simply Wa — Simply Wall Street positive
- NEWS RBC Capital Adjusts Zurn Elkay Water Solutions Price Target to $54 From $58, Maintains Sector Perform Rating - marketscr — marketscreener.com negative
- NEWS ZWS Maintained by Oppenheimer -- Price Target Raised to $60 - GuruFocus — GuruFocus positive
- NEWS Oppenheimer Adjusts Price Target on Zurn Elkay Water Solutions to $60 From $58, Keeps Outperform Rating - marketscreener — marketscreener.com positive
Generated 2026-10-30T11:22:46Z.
Upcoming dated catalysts
Thesis
Key Metrics
Quality Signals
Options Flow
Concentration Risks(10-K Item 1A)
- LOWCustomerlargest customer18%10-K Item 1: 'The Company's largest customer accounted for 18%, 19% and 20% of consolidated net sales for the years ended December 31, 2025, 2024, and 2023, respectively.'
- MEDIUMCustomertop five customers38%10-K Item 1A: 'our top five customers accounted for approximately 38% of our consolidated net sales, with one customer accounting for 18% of consolidated net sales'
- MEDIUMCustomerthree largest independent distributors32%10-K Item 1A: 'our three largest independent distributors generated approximately 32% of our consolidated net sales with the largest accounting for 18% of consolidated net sales'
Material Events(8-K, last 90d)
- 2026-05-27Item 5.02MEDIUMDavid J. Pauli, CFO of Zurn Elkay since 2012, promoted to COO effective May 27, 2026, vacating the CFO role. No successor CFO identified in filing (body truncated). Pauli continues to report to CEO Todd Adams in the COO capacity.SEC filing →
- 2026-05-01Item 5.02LOWSudhanshu Chhabra, Executive Vice President, Zurn Elkay Business Systems, transitioned to an advisory role effective April 30, 2026. No reason cited; no successor named.SEC filing →
- 2026-05-01Item 5.07LOWZurn Elkay held its 2026 Annual Meeting on April 30, 2026 with 167,542,304 shares eligible to vote. Shareholders elected three directors for three-year terms expiring 2029, approved executive compensation on advisory basis, and ratified Ernst & Young LLP as auditor for FY2026.SEC filing →
Model-generated analysis — not investment advice. Not a registered investment advisor. Past performance does not guarantee future results. How we score · Editorial policy
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Rating Breakdown
10 dimensions · all in-band
Price Targets
Position Sizing
Risk Alerts
Earnings
Verdict History
Frequently Asked Questions
Sell if holding. At $44.73, A.R:R 0.6:1 is below the 1.5:1 minimum. Reward from here is too thin for a buy — the engine flags exit. Additional concerns: Thin upside margin: 4.4%; Sector modifier (Industrials): -0.7. Chart setup: No clear chart pattern; technical signals are mixed. Prior stop was $41.63. Score 5.7/10, moderate confidence.
Analyst target: $46.69 (+4.4% upside). Prior stop was $41.63. Stop-loss: $41.63.
Thin upside margin: 4.4%; Sector modifier (Industrials): -0.7.
Zurn Elkay Water Solutions Corp trades at a P/E of 26.2 (forward 22.0). TrendMatrix value score: 5.2/10. Verdict: Sell.
15 analysts cover ZWS with a consensus score of 3.8/5. Average price target: $54.
What does Zurn Elkay Water Solutions Corp do?Zurn Elkay Water Solutions designs and manufactures specification-driven water management products — valves, drainage,...
Zurn Elkay Water Solutions designs and manufactures specification-driven water management products — valves, drainage, filtration, and hygienic fixtures — primarily for North American institutional and commercial construction markets. Products are distributed through approximately 1,000 independent sales representatives and wholesalers; the largest single customer accounted for 18% of 2025 consolidated net sales. The company operates 21 principal manufacturing and warehouse facilities, primarily in North America.