Consolidated Water Co (CWCON) AI Stock Analysis
Consolidated Water Co
(BMV:CWCON)
No summary available
Consolidated Water Co Business Overview & Revenue Model
Company Description
Consolidated Water Co. Ltd. (CWCO) is a specialist in providing comprehensive water solutions, primarily engaged in developing, constructing, overseeing, and operating water production and treatment facilities. Its core operations are concentrated in...
Consolidated Water Co Earnings Call Summary
The call conveyed a cautiously optimistic but balanced outlook. Near-term financial results showed modest revenue decline (-2%), a sharp drop in manufacturing revenue (-49%), and margin/profitability compression (gross margin down 5 percentage points; net income down ~23%). Offsetting these headwinds, the company has a strong balance sheet (cash $132.6M, no significant debt), meaningful growth in bulk (revenue +20%, gross profit +27%), strategic wins and backlog (notably a $10.1M municipal order and procurement authorization of ~$6M for the Hawaii project), a 25-year Grand Cayman license that provides long-term regulatory certainty, and several service/construction wins that should support future revenues. Given the material near-term weaknesses but prominent longer-term catalysts and strong liquidity, the net takeaway is balanced and cautious.
Q2-2026 Updates
Positive Updates
Negative Updates
Company Guidance
Management's guidance was cautiously optimistic: they expect full‑year 2026 manufacturing revenue to be below 2025 but to improve in future quarters given current backlog (Q2 manufacturing revenue was $2.7M, down 49% YoY) and recent orders including a $10.1M Florida purchase order (delivery scheduled Nov 2027) and the company's largest municipal membrane order to date; construction of the 1.7 MGD Kalaeloa, Hawaii desalination project is expected to start later this year (a limited notice to proceed authorizes ~ $6M of long‑lead procurements) and, once operational under an anticipated 20‑year operating term, should materially contribute to future revenue and earnings. For Q2 they reported total revenue of $32.9M (‑2% YoY) with retail $8.7M (volume down ~2% but aided by a rate increase), bulk $9.9M (+20%) and services $11.6M (+1%); bulk gross profit rose 27% while consolidated gross profit was $11.0M (33% margin) vs $12.8M (38%) a year ago, and net income from continuing operations was $4.0M ($0.25 diluted) vs $5.2M ($0.32). Balance sheet and near‑term liquidity guidance included cash of $132.6M, working capital $144.6M, stockholders' equity $225.6M, CW Bahamas AR down to $18.8M (from $20.7M at 12/31/25), projected capex for the remainder of 2026 of ~$4.8M, and $2.3M of dividends paid in July with possible future quarterly dividends if declared.
Consolidated Water Co Risk Analysis
Consolidated Water Co disclosed 20 risk factors in its most recent earnings report. Consolidated Water Co reported the most risks in the "Production" category.
Latest Risks Added
0 New RisksConsolidated Water Co Peers Comparison
Overall Rating
PCYO78Outperform
ARTNA73Outperform
GWRS69Neutral
MSEX62Neutral
CDZI55Neutral
Financial Indicators
| Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
| PCYO | 78Outperform | $257.84M | 17.54 | 9.98% | ― | 22.88% | 8.17% |
| ARTNA | 73Outperform | $348.55M | 14.59 | 9.37% | 3.78% | 5.90% | 5.30% |
| GWRS | 69Neutral | $222.88M | 70.17 | 3.63% | 3.93% | 10.77% | -49.68% |
| Sector * | 66Neutral | $17.65B | 18.10 | 5.60% | 3.62% | 6.62% | 11.55% |
| MSEX | 62Neutral | $1.09B | 20.35 | 10.06% | 2.54% | 8.95% | 16.16% |
| CDZI | 55Neutral | $385.28M | -9.10 | -206.70% | ― | -21.32% | 0.45% |
* Utilities Sector Average
Performance Comparison
| Show on chart | Ticker | Company Name | Price | Change | % Change |
|---|---|---|---|---|---|
| ARTNA | Artesian Resources Corporation | 33.56 | 2.70 | 8.76% | |
| CDZI | Cadiz | 4.55 | -0.71 | -13.50% | |
| MSEX | Middlesex Water | 56.79 | 8.18 | 16.82% | |
| PCYO | Pure Cycle | 10.70 | -0.30 | -2.73% | |
| GWRS | Global Water Resources | 7.74 | -1.93 | -19.96% |
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.