Waters (NYSE:WAT) Issues Quarterly Earnings Results, Beats Estimates By $0.39 EPS

Waters (NYSE:WAT) announced its earnings results on Tuesday. The medical instruments supplier reported $2.70 EPS for the quarter, topping the consensus estimate of $2.31 by $0.39, FiscalAI reports. Waters had a net margin of 20.30% and a return on equity of 34.79%. The business had revenue of $1.27 billion during the quarter, compared to analysts’ expectations of $1.20 billion. During the same quarter in the prior year, the company posted $2.25 earnings per share. The firm’s revenue was up 91.4% on a year-over-year basis. Waters updated its Q2 2026 guidance to 2.950-3.050 EPS and its FY 2026 guidance to 14.400-14.600 EPS.

Here are the key takeaways from Waters’ conference call:

• Waters delivered a strong start to 2026 with $1.267 billion in Q1 revenue, organic growth of ~11% constant currency, and adjusted EPS up 20% to $2.70, materially beating guidance.
• The BD Biosciences and Diagnostic Solutions acquisition is gaining traction (owned-period revenue of $520M, roughly +7% as-reported) and management raised full-year organic growth guidance to 6.5%–8% and adjusted EPS to $14.40–$14.60.
• Integration actions (a 180-day plan) are already producing early revenue upside via tighter forecast/funnel discipline, new deal desks/pricing reviews, and identified contract compliance opportunities (management flagged ~700 of 1,600 U.S. contracts out of compliance).
• Management highlighted multiple product and regulatory wins that should support future growth, including CE-marked BACTEC FXi launches in Europe/Japan, FDA-cleared BD Onclarity HPV self-collection, and new chemistry/light-scattering products (MaxPeak Premier, omniDAWN).
• Certain near-term headwinds remain, including a ~$20M respiratory/weak-flu-season impact, China DRG and export constraints that pressured instrument sales, and pockets of softness in Asia that could weigh on short-term results.

Waters Stock Performance

Shares of NYSE WAT traded up $37.85 during mid-day trading on Tuesday, reaching $339.73. 1,119,905 shares of the company were exchanged, compared to its average volume of 1,046,548. The company’s 50-day simple moving average is $309.75 and its 200-day simple moving average is $351.98. The company has a quick ratio of 1.27, a current ratio of 1.73 and a debt-to-equity ratio of 0.37. The stock has a market capitalization of $33.35 billion, a P/E ratio of 31.50, a P/E/G ratio of 1.99 and a beta of 1.14. Waters has a twelve month low of $275.05 and a twelve month high of $414.15.

Wall Street Analyst Weigh In

WAT has been the subject of a number of recent analyst reports. HSBC initiated coverage on shares of Waters in a research note on Tuesday, January 27th. They issued a “buy” rating and a $460.00 price target for the company. Evercore upgraded shares of Waters from an “in-line” rating to an “outperform” rating and set a $350.00 price target for the company in a research note on Monday, April 6th. Barclays initiated coverage on shares of Waters in a research note on Tuesday, February 10th. They issued an “overweight” rating and a $400.00 price target for the company. Robert W. Baird set a $363.00 price target on shares of Waters in a research note on Tuesday, February 10th. Finally, Citigroup initiated coverage on shares of Waters in a research note on Tuesday, February 10th. They issued a “buy” rating and a $425.00 price target for the company. Three equities research analysts have rated the stock with a Strong Buy rating, nine have issued a Buy rating and eight have given a Hold rating to the company. According to data from MarketBeat, Waters currently has a consensus rating of “Moderate Buy” and an average target price of $387.53.

Trending Headlines about Waters

Here are the key news stories impacting Waters this week:

• Positive Sentiment: Q1 beat and raised full-year targets — Waters reported adjusted EPS of $2.70 (vs. ~$2.31 consensus) and revenue of $1.267B (above estimates); management raised FY2026 revenue and EPS guidance, which underpins the bullish move. Quiver Quant: Q1 beat & guidance lift
• Positive Sentiment: Acquired biosciences & diagnostics business is contributing now — the BD businesses added roughly $520M of revenue in the quarter and helped drive the revenue beat and upward guidance. Reuters: Biosciences unit drives growth
• Positive Sentiment: Strong organic performance — organic revenue grew ~13% (11% constant currency), led by instrument and chemistry sales, indicating healthy underlying demand in pharma/drug?development markets. PR Newswire: Q1 results & organic growth
• Positive Sentiment: Analyst and insider support — William Blair reiterated a Buy and there were recent insider purchases, which can reassure investors on the outlook and management confidence. TipRanks: Analyst reiteration
• Neutral Sentiment: Near-term guide vs. street — Waters gave Q2 EPS guidance of $2.95–$3.05 and revenue around $1.6B; that sets expectations for the next quarter but the EPS range sits roughly in line with or slightly below some street estimates, so Q2 execution will be watched closely. MarketBeat: Guidance details
• Neutral Sentiment: Valuation/technicals — the stock trades at a premium P/E (~31x) and is below its 200?day moving average, so some investors may weigh valuation and technical resistance even after today’s move.
• Negative Sentiment: Large institutional rebalancing noted — some major managers trimmed positions in prior quarters (e.g., UBS AM reduced a large stake), a factor that could contribute to volatility despite the beat. Quiver Quant: Institutional moves & holdings

Insider Activity

In related news, Director Wei Jiang bought 500 shares of the business’s stock in a transaction dated Monday, March 16th. The stock was bought at an average price of $289.46 per share, for a total transaction of $144,730.00. Following the purchase, the director owned 3,441 shares in the company, valued at $996,031.86. This represents a 17.00% increase in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Corporate insiders own 0.31% of the company’s stock.

Institutional Trading of Waters

A number of hedge funds have recently modified their holdings of WAT. Zions Bancorporation National Association UT lifted its stake in shares of Waters by 121.2% during the 4th quarter. Zions Bancorporation National Association UT now owns 73 shares of the medical instruments supplier’s stock worth $28,000 after buying an additional 40 shares during the last quarter. DV Equities LLC acquired a new stake in shares of Waters during the 4th quarter worth about $32,000. Itau Unibanco Holding S.A. lifted its stake in shares of Waters by 39.6% during the 4th quarter. Itau Unibanco Holding S.A. now owns 155 shares of the medical instruments supplier’s stock worth $59,000 after buying an additional 44 shares during the last quarter. MUFG Securities EMEA plc acquired a new stake in shares of Waters during the 2nd quarter worth about $61,000. Finally, State of Wyoming acquired a new stake in shares of Waters during the 2nd quarter worth about $75,000. Institutional investors and hedge funds own 94.01% of the company’s stock.

Waters Company Profile

Waters Corporation is a global provider of analytical instruments, software and services for laboratory and research applications. The company designs, manufactures and sells technologies centered on liquid chromatography, mass spectrometry, separation science, and related sample preparation and detection systems. Its product portfolio includes chromatographs, mass spectrometers, columns and consumables, laboratory informatics and workflow software, as well as technical support and training services that help customers run and interpret complex analyses.

Waters serves a wide range of end markets that include pharmaceutical and biotechnology companies, contract research and testing laboratories, academic and government research institutions, clinical diagnostics, food and environmental testing, and industrial and chemical manufacturers.