Mueller Water ProductsNYSE: MWA

Mueller Water Products is in a good position for growth because of rising prices, strong municipal repair and replacement activity, and a improving new residential construction market. Margins are expected to improve due to price increases, operating efficiency, cost savings, and increased productivity, along with increased production in a new foundry. The company's valuation could increase if it continues to perform well.

Is Mueller Water Products (MWA) a strong candidate for momentum investors looking for top stock picks? Let's investigate.

Mueller Water Products (MWA) lacks the necessary elements for a potential earnings surprise in its upcoming report. Be ready for the key projections.

Mueller Water Products (MWA) has been upgraded to a Zacks Rank #2 (Buy), indicating increased confidence in the company's potential for earnings growth. This could lead to a rise in the stock price in the short run.

The numbers are in, and the professional traders on Wall Street have begun to give Main Street investors like yourself a taste of where the big money is about to be made. Their many hours of analysis and rigorous search for the best place to put their capital to work have landed analysts at The Goldman Sachs Group Inc. NYSE: GS in one simple yet elegant play for this cycle.

Here is how Mueller Water Products (MWA) and Napco (NSSC) have performed compared to their sector so far this year.

Mueller Water Products, Inc. (MWA) Q1 2024 Earnings Call Transcript

Mueller Water Products (MWA) came out with quarterly earnings of $0.13 per share, beating the Zacks Consensus Estimate of $0.09 per share. This compares to earnings of $0.13 per share a year ago.

Mueller Water is a small-cap water stock with strong competitive advantages, poised to capitalize on the pent-up demand for water infrastructure upgrades driven by decades of underinvestment in this sector. The company is facing temporary manufacturing challenges associated with ongoing investment initiatives, which is obscuring its underlying profitability potential. Prior to undergoing operational upgrades, Mueller Water enjoyed margins of 20%. However, current manufacturing disruptions have temporarily reduced margins to 15%.