Zurn Elkay Water Solutions
ZWSNYSEUSD
- — Source valuation snapshot. Not a live recalculation.
- — Latest filed annual earnings; price snapshot date unavailable. Not forward P/E.
- — Diluted earnings per share from the latest filed annual.
- $45.18 Prior regular-session close from the quote source.
- $44.96–$45.77 Regular-session low and high so far today.
- 1.3M Regular-session shares traded · Nov 10, 4:00 PM ET.
- Feb 2 projected Projected for 2027-02-02 from the company’s own results filings (SEC 8-K Item 2.02). The company has not confirmed the date.
- $42.89–$55.00 52-week trading low and high returned by the quote source.
Understand the Business
Why the Stock Moved
Period-matched expectations history is not yet available. Current metrics are not a substitute for a historical explanation.
The core investment thesis
Own ZWS if Zurn Elkay turns specification-led water‑management products, a broad branded portfolio and a disciplined ZEBS operating system into steadily rising revenue, improving margins and strong cash generation — but the stock already prices continuation of.
ZWS price history
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INVESTMENT THESIS
What must happen next
Specification leadership in institutional/commercial projects (rather than low‑end commodity selling) is the primary driver of durable organic revenue growth.StrengtheningMateriality: High
Revenue grew from $1,281.8M (2022) to $1,695.9M (2025), showing sustained top‑line expansion concurrent with the company describing itself as specification‑driven (Item 1, Business). If Zurn retains specification preference it achieves durable premium volume and pricing; if it loses specs, growth falls and competitive pricing pressure follows.
Watch: Large competitors (e.g., established plumbing/manufacturing incumbents winning major project specifications) capturing repeat project slots and displacing Zurn products in institutional procurement.
Supporting sources
Source notes are factual paraphrases; read the original disclosures below.
Revenue grew from $1,281.8M (2022) to $1,695.9M (2025), showing sustained top‑line expansion concurrent with the company describing itself as specification‑driven.
Open source ↗Strategic sourcing, material‑cost management and a product mix shift toward higher‑specification/filtered products will sustain the elevated gross margin achieved since 2022.StrengtheningMateriality: High
Gross profit increased from $465.5M (2022) to $764.8M (2025), with implied gross margin rising (Item 1 and MD&A discuss strategic sourcing and cost reduction). Sustained higher gross margins (not just one‑time pricing) are needed to convert revenue into durable operating income and FCF that justify a premium multiple.
Watch: Sustained spikes in key raw materials (bronze, stainless steel, engineered plastics) or freight/energy costs that cannot be passed to customers.
Supporting sources
Source notes are factual paraphrases; read the original disclosures below.
Gross profit increased from $465.5M (2022) to $764.8M (2025), with implied gross margin rising (Item 1 and MD&A discuss strategic.
Open source ↗Improving operating cash flow will fund organic investment and accretive M&A (the company’s stated strategy) without significant dilution or leverage deterioration.HoldingMateriality: Medium
Operating cash flow rose from $97.0M (2022) to $346.5M (2025), demonstrating improving cash conversion as revenue and margins expanded. If OCF stays strong, Zurn can pursue bolt‑on acquisitions and capex while maintaining balance‑sheet optionality; weak cash flow would force dilutive equity, higher leverage, or slowed growth.
Watch: A large acquisition that requires heavy financing and then underperforms or imposes large integration costs, eroding cash flow.
Supporting sources
Source notes are factual paraphrases; read the original disclosures below.
Operating cash flow rose from $97.0M (2022) to $346.5M (2025), demonstrating improving cash conversion as revenue and margins expanded.
Open source ↗ZEBS continuous‑improvement program plus scale and integration of acquisitions will continue to drive operating income and margin expansion.StrengtheningMateriality: Medium
Operating income increased from $107.1M (2022) to $278.9M (2025) while management describes ZEBS as a scalable framework for superior operating performance (Item 1, Business and MD&A). Operating income expansion (not just gross profit) is what underpins EPS and FCF growth; if ZEBS stops delivering, margin expansion stalls and the stock’s premium is threatened.
Watch: Failure to realize planned synergies from acquisitions or prolonged integration costs that depress margins.
Supporting sources
Source notes are factual paraphrases; read the original disclosures below.
Operating income increased from $107.1M (2022) to $278.9M (2025) while management describes ZEBS as a scalable framework for superior operating.
Open source ↗
Full investment case & evidence
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Original research
Specification leadership in institutional/commercial projects (rather than low‑end commodity selling) is the primary driver of durable organic revenue growth. If Zurn retains specification preference it achieves durable premium volume and pricing; if it loses specs, growth falls and competitive pricing pressure follows.
Strategic sourcing, material‑cost management and a product mix shift toward higher‑specification/filtered products will sustain the elevated gross margin achieved since 2022. Sustained higher gross margins (not just one‑time pricing) are needed to convert revenue into durable operating income and FCF that justify a premium multiple.
Improving operating cash flow will fund organic investment and accretive M&A (the company’s stated strategy) without significant dilution or leverage deterioration. If OCF stays strong, Zurn can pursue bolt‑on acquisitions and capex while maintaining balance‑sheet optionality; weak cash flow would force dilutive equity, higher leverage, or slowed growth.
ZEBS continuous‑improvement program plus scale and integration of acquisitions will continue to drive operating income and margin expansion. Operating income expansion (not just gross profit) is what underpins EPS and FCF growth; if ZEBS stops delivering, margin expansion stalls and the stock’s premium is threatened.
All standing thesis claims
Original report summary
Zurn Elkay turns specification-led water‑management products, a broad branded portfolio and a disciplined ZEBS operating system into steadily rising revenue, improving margins and strong cash generation — but the stock already prices continuation of.
BULL CASE / BEAR CASE
Bull case and bear case for Zurn Elkay Water Solutions
Where the evidence on Zurn Elkay Water Solutions stands: Holding on the latest evidence (Nov 9, 2026). Of its 4 thesis points, 3 strengthening and 1 holding.
Bull case: what the evidence supports
Specification leadership in institutional/commercial projects (rather than low‑end commodity selling) is the primary driver of durable organic revenue growth.
Strategic sourcing, material‑cost management and a product mix shift toward higher‑specification/filtered products will sustain the elevated gross margin achieved since 2022.
Improving operating cash flow will fund organic investment and accretive M&A (the company’s stated strategy) without significant dilution or leverage deterioration.
ZEBS continuous‑improvement program plus scale and integration of acquisitions will continue to drive operating income and margin expansion.
Bear case: what would count against it
Large competitors (e.g., established plumbing/manufacturing incumbents winning major project specifications) capturing repeat project slots and displacing Zurn products in institutional procurement.
Sustained spikes in key raw materials (bronze, stainless steel, engineered plastics) or freight/energy costs that cannot be passed to customers.
A large acquisition that requires heavy financing and then underperforms or imposes large integration costs, eroding cash flow.
Thesis-Break Engine
Thesis-break watch · Zurn Elkay Water Solutions
No break has crossed Zurn Elkay Water Solutions’s thesis. Its break conditions are checked against every new filing as it lands.
MARKET + FINANCIAL SNAPSHOT
The numbers behind the thesis
What Changed
- MIXEDReported results of operations (earnings release).
Zurn Elkay Water Solutions filed an SEC 8-K on 2026-10-27: Reported results of operations (earnings release). It is a dated development that tests the current thesis.
- MIXEDReported results of operations (earnings release).
Zurn Elkay Water Solutions filed an SEC 8-K on 2026-07-28: Reported results of operations (earnings release). It is a dated development that tests the current thesis.
- MIXEDReported results of operations (earnings release).
Zurn Elkay Water Solutions filed an SEC 8-K on 2026-07-20: Reported results of operations (earnings release). It is a dated development that tests the current thesis.
RISKS / FALSIFIERS
What could break the thesis
- Large competitors (e.g., established plumbing/manufacturing incumbents winning major project specifications) capturing repeat project slots and displacing Zurn products in institutional procurement.
- Sustained spikes in key raw materials (bronze, stainless steel, engineered plastics) or freight/energy costs that cannot be passed to customers.
- A large acquisition that requires heavy financing and then underperforms or imposes large integration costs, eroding cash flow.
- Failure to realize planned synergies from acquisitions or prolonged integration costs that depress margins.
ZWS news
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FINANCIAL STATEMENTS
ZWS income statement
Annual filed results · USD · Oldest to newest. Margins are calculated from the reported figures.
ZWS: quick answers
- When does Zurn Elkay Water Solutions (ZWS) report earnings next?
- Zurn Elkay Water Solutions's next results are projected for February 2, 2027, from the dates of its own results filings with the SEC. The company has not confirmed the date. It last reported on October 27, 2026. Earnings calendar
- What is ZWS's short interest?
- As of October 30, 2026, 3.7M ZWS shares were sold short, down 13.6% from the count before. At the stock's average daily volume that is 2.9 days to cover. FINRA publishes the count twice a month. ZWS short interest history
- Have members of Congress traded ZWS?
- Reports made public in the last 90 days disclose 1 trade in ZWS by 1 filer: 1 purchase and 0 sales. They are filed under the STOCK Act by members of Congress, the President and senior officials. Every disclosed ZWS trade
- Which well-known investors own ZWS?
- 1 of the 37 well-known funds tracked here reported ZWS shares in their latest 13F filing. By share of the fund's portfolio: Bridgewater Associates (Ray Dalio), 0.0%. Fund portfolios
ZWS in well-known investors’ portfolios
1 of 37 funds reported ZWS shares in their latest 13F filing. A 13F shows quarter-end positions and arrives up to 45 days later.
| Fund | Of its portfolio | Value | Change | Quarter |
|---|---|---|---|---|
| Ray DalioBridgewater Associates | 0.01% | $3.4M | +38.0% | Q2 2026 |