Stock fact sheet · data as of
Quaker Houghton (KWR): fair value, margin of safety and Wheel Score
Basic Materials · Chemicals - Specialty · United States · Blend
Is KWR undervalued?
Quaker Houghton (KWR) closed at 158.55 on 16 Oct 2026, 12% above the GLS average fair value of 142.15. Only 3 of the 9 models that produced a number value the shares above the current price. The margin of safety is negative, so the stock fails the "below fair value" rule of the Sunday Scan; a premium of this size is common for companies whose growth the models are conservative about.
The 9 models disagree widely: DDM gives 30.22 while GLS Growth gives 298.19. A spread that wide means the average is sensitive to which methods you trust; the model table below shows where each one lands, and the Quote page lets you switch any of them off.
The nightly engine files KWR under Blend.
Nine valuation models for KWR
Each model turns the latest filed numbers into a value per share; the GLS fair value is the simple average of the ones that produce a positive number. The last two rows are shown for reference and never enter the average. The Quote page lets you switch any model off and add your own margin of safety.
| Model | Value | vs price | What it measures |
|---|---|---|---|
| DCF | 82.44 | -48% | Present value of the projected free cash flows, discounted at the cost of capital |
| Graham Number | 101.04 | -36% | The most a defensive investor pays for the earnings and book value per share |
| Graham Growth | 249.61 | +57% | Graham's growth formula: EPS × (8.5 + 2 × growth), adjusted for bond yields |
| Lynch | 103.53 | -35% | EPS × the earnings growth rate (PEG of 1), growth capped at 25% |
| GLS Growth | 298.19 | +88% | EPS compounded ten years at the blended growth rate, discounted back at 15% a year |
| 10 Cap | 153.86 | -3% | Owner's earnings (operating cash flow less maintenance capex) capitalised at 10% |
| Payback Time | 197.43 | +25% | Eight years of compounded free cash flow: the price at which the business pays for itself |
| DDM | 30.22 | -81% | Dividend discount model: next year's dividend ÷ (10% − 3% growth); needs a dividend |
| EPV | 63.03 | -60% | Earnings power value: current EPS capitalised at 9% with no growth |
| Zombie (liquidation) | -29.07 | -118% | Current assets less all liabilities, per share: the balance-sheet floor. Not in the average |
| Wall St target | 183.50 | +16% | Analysts' average 12-month price target. Not in the average |
Quality and financial health
On financial health KWR scores 8/9 (Piotroski): most of the nine tests - positive earnings and cash flow, falling debt, rising margins and turnover - are passed, which is the kind of balance sheet a wheel trader is happy to be assigned. The GLS Moat score is low at 3.5 out of 10, which says the ten-year record of revenue, earnings, margins and returns on capital has been inconsistent - growth and shocks rather than steady compounding.
Returns on capital are thin or negative - ROIC -0.1%, ROE -0.2%, ROA -0.1% - with debt at 0.68 times equity and a free-cash-flow yield of 3.3%.
The dividend yield is 1.30% with a payout ratio of 36% - a small yield that leaves most of the earnings in the business. Revenue comes mainly from Metalworking and Other 68%, Metals 32% (quarter Q2 FY2026).
Institutional ownership scores 10/10, insider activity 3/10 and Congressional trading 5/10 on the GLS smart-money scales.
| Piotroski F-score | 8 / 9 | ROIC | -0.1% |
|---|---|---|---|
| GLS Moat | 3.5 / 10 | ROE | -0.2% |
| Debt / equity | 0.68 | ROA | -0.1% |
| Free-cash-flow yield | 3.3% | Payout ratio | 36% |
| Institutions | 10 / 10 | Insiders · Congress | 3 · 5 / 10 |
Wheel Score 60: Fair
KWR scores 60 out of 100 on the Wheel Score (Fair band, 50-64): a usable but unremarkable fit for the wheel strategy. The parts: Value 8/25, Health 18/20, Moat 5/15, Premium 20/20, Stability 9/20. Value (8/25) is where the points are missing.
Implied volatility is 36% on the near-the-money contracts 20-60 days out - inside the 35-60% range the Wheel Score pays full marks for: enough premium to be worth selling, not so much that the risk is unpaid. Chain open interest is thin - 926 contracts across every expiry - so fills at a fair price are not guaranteed; a 30-45-day put may not exist at a usable strike.
Volume runs at 110k shares a day on a market cap of $2.7B, with a beta of 1.40 - a high beta, so the stock tends to move more than the market and a strike can be gapped through; the Stability part of the Wheel Score gives that 9 of 20.
| Part | Points | From | |
|---|---|---|---|
| Value | 8 / 25 | -12% margin of safety | |
| Health | 18 / 20 | Piotroski 8/9 | |
| Moat | 5 / 15 | moat 3.5/10 | |
| Premium | 20 / 20 | implied volatility 36% | |
| Stability | 9 / 20 | 110k shares/day, $2.7B cap, beta 1.40 |
The Wheel Score ranks ~7,400 US stocks for selling cash-secured puts and covered calls; it is updated nightly and is not a recommendation. The walkthrough lesson shows how the score fits into a trade, start to finish.
Upcoming events
Quaker Houghton reports earnings on 29 Oct 2026 (after the close) - inside the 14-day window the Sunday Scan avoids, because a put sold now would carry the report's gap risk. The shares go ex-dividend on 16 Oct 2026 (0.5300 per share), so a covered call sold before then carries a small early-assignment risk around that date.
Earnings, dividend, IPO, split and economic calendars for the whole market, filterable to your watchlists.
Similar stocks in Chemicals - Specialty
The 12 companies below are the closest to Quaker Houghton by market cap within the Chemicals - Specialty industry, each with its own fact sheet; the Compare page puts up to eight of them side by side.
| Stock | Close | Fair value | MoS | Wheel | Mkt cap |
|---|---|---|---|---|---|
| WDFC WD-40 Company | 204.20 | 167.53 | -22% | 60Fair | $2.7B |
| HWKN Hawkins, Inc. | 131.82 | 94.91 | -39% | 53Fair | $2.8B |
| FUL H.B. Fuller Company | 51.57 | 56.98 | +10% | 72Good | $2.8B |
| NGVT Ingevity Corporation | 70.54 | 38.93 | -81% | 56Fair | $2.4B |
| IOSP Innospec Inc. | 96.60 | 95.97 | -1% | 63Fair | $2.4B |
| ASH Ashland Inc. | 71.59 | 44.92 | -59% | 55Fair | $3.3B |
| AVNT Avient Corporation | 39.00 | 31.56 | -24% | 56Fair | $3.6B |
| MTX Minerals Technologies Inc. | 63.75 | 50.48 | -26% | 45Weak | $2.0B |
| CC The Chemours Company | 12.91 | 18.51 | +30% | 45Weak | $1.9B |
| CBT Cabot Corp. | 75.48 | 112.28 | +33% | 79Good | $3.9B |
| PRM Perimeter Solutions, Inc. | 27.49 | 1.20 | -2200% | 45Weak | $4.5B |
| CLMT Calumet Inc. | 58.24 | 10.34 | -463% | 45Weak | $5.1B |
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Start free See the Sunday ScanQuestions about KWR
Is KWR undervalued right now?
No: at 158.55 the stock trades 12% above the GLS average fair value of 142.15 (data as of 16 Oct 2026). The margin of safety is negative.
What is the Wheel Score of KWR and what does it mean?
KWR scores 60 out of 100 (Fair). The Wheel Score blends the margin of safety (25 points), Piotroski health (20), the GLS moat (15), the option premium on offer (20) and trading stability (20) into one number that ranks stocks for the wheel strategy - selling cash-secured puts, then covered calls if assigned. 80 and above is Prime, 65-79 Good, 50-64 Fair, under 50 Weak.
What is the GLS fair value for KWR?
142.15 per share as of 16 Oct 2026 - the simple average of the 9 valuation models (out of nine: DCF, Graham Number, Graham Growth, Lynch, GLS Growth, 10 Cap, Payback Time, DDM and EPV) that produced a positive value. The models run every night on the latest filings; the Quote page lets you switch any of them off and add a margin of safety of your own.
When does Quaker Houghton report earnings next?
The next earnings report is due on 29 Oct 2026 (after the close), 13 days from the data date of 16 Oct 2026. The Calendars page lists every upcoming report with its time of day.
Does KWR have listed options, and how liquid are they?
Yes. The nightly snapshot found 276 listed contracts with 926 open interest across all expiries and implied volatility of 36% on the near-the-money contracts. The Options scanner lists the cash-secured put and covered call set-ups with premium and annualised yield worked out.