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Waton Financial Ltd. is a holding company focused on delivering technology-enabled financial services through its subsidiaries. The company primarily provides securities brokerage and distribution services, facilitating trading and related activities for clients in capital markets. It also offers margin financing and other ancillary services that support active trading and investment operations. A core part of Waton Financial Ltd.’s business is financial technology, including software licensing and related support services for trading platforms. These services cover the licensing of trading applications, upgrades and enhancements, system maintenance, and technical support for securities brokers and other financial institutions. By combining brokerage capabilities with fintech and infrastructure solutions, Waton Financial Ltd. positions itself as an integrated service provider within the securities and trading ecosystem. The company plays a role in enabling market participants to access modern trading tools and operational support across the financial services value chain.
$3.01
+$0.01 (+0.33%)
EOD Jul 17, 2026
The business is unprofitable at the operating level (-139.12% margin). The thesis depends entirely on whether and when it reaches sustainable profitability.
Revenue declined 25.9% YoY. Margins deteriorated 170.0pp alongside, both lines moving the wrong way.
ROIC dropped from 15.96% to -60.87%, capital efficiency is deteriorating. Operating margin contracted 170.0pp YoY, cost discipline may be slipping.
Based on TTM earnings · Diluted shares
Profitability & Returns
Revenue (TTM)
$7M
▼ -25.9% YoY
Net Income (TTM)
-$12M
▼ -579.4% YoY
Op. Margin
-139.12%
▼ -170.0pp YoY
ROIC
-60.87%
▼ -76.8pp YoY
Cash Flow & Balance Sheet
FCF (TTM)
$346K
▲ +116.4% YoY
Op. Cash Flow (TTM)
$360K
▼ -63.2% YoY
Net Debt
-$7M
Net Cash Position
Cash & Equiv.
$8M
3Y CAGR: +208.8%
3Y CAGR: -22.6%
Continue Research
Waton Financial (WTF) trades above a two-stage DCF intrinsic value of about $0.27 per share, so at $3.01 the stock looks overvalued (90.9% above estimated intrinsic value). A high multiple is not the same as overvalued: fast-growing, high-quality businesses can deserve a premium. See the general approach in how to tell if a stock is overvalued.
On quality, Waton Financial scores 52/100 on Intrinsiqq's quality scorecard (a mixed business on these measures), weighing growth, margins, returns on capital, share count, and balance-sheet strength. All figures are computed from SEC filings; read the full methodology. This is analysis, not investment advice.
Intrinsiqq's two-stage DCF estimates an intrinsic value of about $0.27 per share for WTF, projecting its recent free cash flow forward with a growth rate that fades toward a long-run rate and discounting it back to today. Applying a 25% margin of safety gives a more conservative fair-value entry around $0.21. At today's $3.01, that puts the stock about 90.9% above estimated intrinsic value. The result is sensitive to the growth and discount-rate inputs, so it is best to run conservative, base and optimistic cases. You can adjust all of them yourself with the sliders on the DCF tab.
Waton Financial scores 52 out of 100 on Intrinsiqq's quality score, a weighted blend of 7 metrics each scored 0 to 100, which makes it a mixed business on these measures. Recent fundamentals include a -139.1% operating margin and a -60.9% return on invested capital. The score weighs revenue and free-cash-flow growth, operating margins, return on invested capital, share-count change, and balance-sheet strength, all computed from SEC filings, not opinion. Because valuation only means something relative to quality, the full metric-by-metric breakdown is on the quality scorecard.
That depends on valuation and quality together, not either alone. WTF currently trades above its estimated intrinsic value and scores 52/100 on quality (mixed). A cheap price is only a bargain if the business is durable, and a premium can be justified by genuine quality, so the two questions, "is it cheap?" and "is it good?", only make sense side by side. Read the valuation against the quality scorecard, run the DCF on your own assumptions, and decide for yourself. This is analysis from SEC filings, not investment advice.