| Factor | Score | Distribution | Value | Avg | Rank |
|---|---|---|---|---|---|
Valuation | 57 | 76.9x | 17.8x | Around median | |
Growth | 82 | 11.5% | 7.1% | Top tier | |
Quality | 57 | 4.6% | 4.5% | Around median | |
Safety | 39 | 4.8x | 2.6x | Bottom tier | |
Capital Return | 72 | 2.12% | 2.12% | Top tier | |
Momentum | 56 | 1.6% | 2.9% | Around median | |
Sentiment | 74 | 9 | 3 | Top tier |
Estimates — analyst targets and a simplified DCF, not investment advice.
Ten ratios that matter, each compared against its sector median and average — so you can see whether a number is rich or cheap relative to peers in the same sector.
Primo Brands Corporation operates in bottled water and direct water services, generating revenue through two main channels: retail and direct delivery to homes and offices. Its portfolio spans multiple price tiers and usage formats, from refill and exchange to bottled water, and includes Pure Life, regional spring waters, and the premium brands Saratoga and Mountain Valley; its growth strategy also relies on increasing distribution points, improving in-store presence, expanding cold immediate-consumption packages, pricing, and product mix.
In quarter 2 of fiscal year 2026, revenue reached $1.8 billion, with comparable growth of 4.2% year over year, versus gross profit of $548.7 million, net income of $69.2 million, and earnings per share of $0.19. Gross profit equaled approximately 30.5% of revenue, while the adjusted EBITDA margin reached 21.4%, up 10 basis points year over year and 260 basis points compared with the previous quarter, and adjusted EBITDA reached $385 million, an increase of 5%.
Growth was broad-based but relied primarily on price and mix, which added 4.3% to comparable sales, versus a negative volume impact of 0.1%. Direct delivery sales increased 0.4% despite lower volume and a smaller customer base, while the retail channel led growth, with regional spring water up 4.1%, purified water up 1.9%, and premium brands up 30.5%, alongside value and volume share gains within the bottled water category.
Automated analysis for informational purposes only — not investment advice.
Analyst consensus rates PRMB shares a “Buy,” with an average target of $27.8 and a range of $25 to $31; the average target exceeds the high recorded within the 52-week range of $14.36–$26.21, while the highest target exceeds that high by a wider margin. No usable price-to-earnings ratio is available in the provided data, so the stock's valuation rests on the company's ability to convert guided revenue growth of 2%–4% into earnings expansion, while the expected EBITDA margin remaining at 21.8% at the guidance midpoint indicates continued cost and investment pressure.
Figures in the text are as of 2026-08-30; the live price is shown at the top of the page.
Comparable sales increased 4.2% to $1.8 billion in quarter 2 of fiscal year 2026, exceeding management's expectations. Price and mix contributed 4.3% of growth, while the volume impact was negative 0.1%. Retail led performance across mass, grocery, and away-from-home channels, alongside direct delivery returning to growth of 0.4%.
Direct delivery sales returned to growth of 0.4% in quarter 2 of fiscal year 2026, one quarter ahead of management's expectations and after a sequential improvement of 340 basis points. On-time and in-full delivery reached the mid-90s range during June 2026, while call center calls fell below the pre-merger level. However, volume remained lower because of the smaller customer base, and management said that a return to volume growth remains a later stage of the recovery.
Premium brand sales increased 30.5% in quarter 2 of fiscal year 2026, with Saratoga growing faster than Mountain Valley. Both brands achieved value and volume share gains supported by expanded distribution, and management believes new capacity and increased penetration can support mix and margins. The startup of the new Mountain Valley line faced temporary supply disruption, showing that execution of the production expansion remains an important factor.
The company raised its fiscal year 2026 comparable net sales growth guidance to 2%–4% from 1%–3%. It maintained adjusted EBITDA guidance at $1.465–$1.515 billion, with the midpoint implying a margin of 21.8%, unchanged year over year. It also maintained adjusted free cash flow guidance at $790–$810 million, with annual capital expenditures of approximately 4% of net sales, plus approximately $100 million of integration-related capital expenditures.
Available liquidity reached $953 million at the end of quarter 2 of fiscal year 2026, split between cash and the unused credit facility. Net leverage declined to 3.42 times from 3.52 times in the previous quarter, versus a near-term target below 3 times. The company repurchased 708 thousand shares for $15.5 million during the quarter, and the board of directors confirmed quarterly dividends of $0.12 per share, with $62.8 million remaining under the repurchase authorization.
