Awarener easy mode Awarener analytic mode

Fundamental analysis: Aris Water Solutions, Inc. (ARIS)

Awarener score: 4.8

Conclusion

The higher the Awarener score, the more bang you get for the buck. It measures how much genuine funds the company generates for the stock price paid (Lacking), the business stability (Bottom) and growth (Superb), and the company's inclination to return cash to the stockholders (Very poor).

Note: All scores range from 1 (worst) to 10 (best). Conclusions are updated daily with closing stock prices and new reported quarterly financial statements.

Revenue score: 5.5

  • Business has been growing at an extremely fast pace. It's been more than average in relation to peer companies.
  • Aris Water Solutions, Inc. business varies wildly, ups and downs could be very frequent. It's very risky. It looks worse than most rivals.

Margins score: 6.5

  • ARIS profit margins -on goods and services sold- are usually excellent. They stand slightly worse than rival companies.
  • Business profit on sales tends to be good. It's substantially worse when measured against competitors.
  • Profits on sales made -available to repay debt and purchase properties- are usually good. They remain in a very weak position compared to peers.
  • Earnings -before income taxes and interests on loans taken- tend to be sufficient in relation to total revenues. They're still worse than most similar companies.
  • Profits -before income taxes- are usually hardly sufficient considering total sales, and remain substantially worse when measured against rivals.
  • Total net profit tends to be hardly sufficient when confronted to sales. Company stands substantially worse when measured against comparable firms.

Growth score: 5.6

  • Aris Water Solutions, Inc. profit -on goods and services sold- has been growing at a very good pace. It's been in good shape compared to competitors.
  • In recent years, earnings -on operations- have been growing at an excellent step, which has been top-notch against comparable firms.
  • Profits -available to repay debt and purchase properties- have been growing at an extremely fast pace, which compares top tier when measured against peer enterprises.
  • Earnings -before income taxes and interests on loans taken- have been growing at an excellent tempo. It turns to be impressive in relation to similar stocks.
  • In past years, at least once the company lost money -before income taxes-. It was bottom tier against rivals.
  • In the previous years, the firm had at least a total net loss, and last-in-rank when measured against peer companies.
  • The company lost money at least once in the past years. It's been a disappointment compared to industry peers.

Miscellaneous score: 6.7

  • ARIS had still to pay income taxes, even though in recent past years mostly lost money. It's been bottom tier against peers.
  • Research and development expenses consume a very little portion of revenues. It's last-in-rank when measured against competitors.
  • The company shows excellent business growth in relation to research and development efforts. It stands a disappointment compared to rival companies.

Profitability score: 7.8

  • Aris Water Solutions, Inc. usually gets huge returns on the resources it controls. It proves weak when measured against peer firms.
  • The company normally gets huge proceeds -on the resources directly invested in the business-. They remain in a very weak position compared to similar companies.
  • There's usually bottom profitability -in relation to owned resources-. It ranks last-in-rank when measured against competitors.
  • In the past, got huge returns -on the tangible resources it controls-. This metric is usually related to the industry in which operates and combines profitability versus reinvestment needs. It's top tier when measured against comparable enterprises.

Usage of Funds score: 4.0

  • ARIS usually uses a large portion of genuine funds generated to buy or replace property, plant, or equipment. The need for reinvestments is large. It stands top tier when measured against rival firms.
  • The company is usually replacing the property, plant, and equipment that gets old, keeping its operating capabilities up to date, which is last-in-rank when measured against industry peers.
  • In the past twelve months it paid somewhat low dividends, considering the current stock price. It came worse than most competitors.
  • Has recently started or restarted paying dividends to stockholders. Business prospects are most likely good. The company has behaved impressive in relation to similar firms.
  • The company generates very few genuine funds. Dividend payments are usually on borrowed money, which isn't sustainable in the long run. Unless business prospects improve greatly, future payments could be at risk. Sustainability looks somewhat worse than comparable companies.
  • The company has greatly enlarged the pool of investors in previous years, resulting in more mouths feeding on the pie of profits. It remains a disappointment compared to peer enterprises.
  • Repurchase effectiveness metric is very complex. Run again in analytical mode if you're interested in a technical explanation. It stands rather normal in relation to rivals.
  • We do not have sufficient data to comment on buybacks and their sustainability. It still looks dubious against competitors.

Balance Sheet score: 6.1

  • Aris Water Solutions, Inc. intangible assets (like brands and goodwill) represent a very large portion of resources controlled, according to accounting books. There could be major difficulties in liquidating them if the company ever gets in financial distress. It happens to be last-in-rank when measured against peer companies.
  • The company has more short-term resources than short-term obligations. Liquidity concerns shouldn't be an issue. It turns to be rather normal in relation to similar firms.
  • Roughly a third of resources controlled were provided for with financial debt. Creditors have claims on the company. It remains mediocre against rival firms.
  • Most controlled resources take time to be turned into cash and equivalents, which is somewhat risky. It looks substantially worse when measured against rivals.
  • For every dollar of short-term obligations, the company has enough dollars in cash and short-term receivables. It's rather normal in relation to peer firms.
  • For every dollar of short-term obligations, the company has roughly half of cash and equivalents, which is slightly better than similar enterprises.
  • Usually, sales are mostly on cash. It still ranks substantially worse when measured against peers.
  • Normally has no inventories. It comes up as impressive in relation to competitors.
  • On average, it takes less than one month from the purchase to charging customers. It happens to be mediocre against peers.
  • On average pays suppliers during the first couple of weeks from the purchase. It ranks weak when measured against industry peers.
  • The company pays its suppliers almost when charging its customers, so there's very little money invested in working capital. It's in a very weak position compared to similar companies.
  • Usual business earnings barely cover net interest expenses. Creditors may be earning money by assuming risks, but hardly shareholders. Situation is risky, profitability must increase, or additional stockholders' funding will eventually be required. It stands worse than most rival firms.
  • Business earnings have usually been great when measured against loans taken. Debt might be repaid almost as soon as desired. It ranks substantially worse when measured against comparable enterprises.
  • Revenues are huge in relation to property, plant, and equipment required to operate. This metric is likely dependent on the industry the company operates in. Low property, plant, and equipment requirements, allows the company to keep more money to reward stockholders in the long run. It looks a slight improvement compared to similar firms.
  • Resource exploitation is huge considering yearly sales, which is great. This metric is normally tied to the industry where the firm belongs. It's still somewhat better than peer companies.

Valuation score: 3.1

  • Aris Water Solutions, Inc. reported losses, so valuating it in relation to earnings is meaningless. It happens to be last-in-rank when measured against competitors.
  • Price-to-Tangible-Book-Value is a fairly complex metric. Run again in analytical mode if you're interested in a technical explanation. It remains a disappointment compared to peers.
  • In the past twelve months, the company neither generated nor consumed funds. Whatever funds it could get, it reinvested in the business, which stands somewhat better than similar companies.
  • In the past years the company hardly generated enough genuine funds to cover up for its business needs. Business prospects should improve enough to be in a better position to reward investors. It's still encouraging in relation to industry firms.
  • In the past twelve months, the company has largely enlarged the pool of investors by issuing new shares. Future profits need to be high enough to justify the measure, as the pie of earnings will now be split among a lot more stockholders. It came up a disappointment compared to peer ventures.
  • The company has neither net debt nor net cash. It may borrow extra money if it wishes so, or start cumulating cash for future uses. It looks slightly worse than similar enterprises.
  • Considering the past twelve months, traditional Price-to-Earnings relation has been negative, as the company lost money. It ranks last-in-rank when measured against peer companies.
  • Comparing the current stock price with the past twelve-months revenues gives a very high relationship. This is an important metric to check its evolution through time, and to compare to industry peers. It looks lacking compared to rival firms.
  • The relation between the stock price and accounting book value is extremely high, which may be good or bad depending on context. Run again in analytic mode if you want to dig deeper. The company remains worse than most peer firms.
  • In the past twelve months, the operating business lost a little money. It happens to be substantially worse when measured against industry peers.
  • In an alternate metric of bang for the buck, the company has usually shown a mediocre earnings power ability when measured against the current stock price and financial position. It's still a disappointment compared to peer companies.

Total score: 5.6


ARIS logos

Company at a glance: Aris Water Solutions, Inc. (ARIS)

Sector, industry: Utilities, Utilities—Regulated Water

Market Cap: 1.20 billions

Revenues TTM: 0.20 billions

Aris Water Solutions, Inc., an environmental infrastructure and solutions company, provides water handling and recycling solutions. The company's produced water handling business gathers, transports, unless recycled, and handles produced water generated from oil and natural gas production. Its water solutions business develops and operates recycling facilities to treat, store, and recycle produced water. The company was founded in 2015 and is headquartered in Houston, Texas.

Awarener score: 4.8

Conclusion

The higher the Awarener score, the more bang you get for the buck. It measures how much genuine funds the company generates for the stock price paid (Lacking), the business stability (Bottom) and growth (Superb), and the company's inclination to return cash to the stockholders (Very poor).