Zacks Research Downgrades Consolidated Water (NASDAQ:CWCO) to Strong Sell

Consolidated Water (NASDAQ:CWCO) was downgraded by investment analysts at Zacks Research from a “hold” rating to a “strong sell” rating in a note issued to investors on Tuesday,Zacks.com reports. Zacks Research also issued estimates for Consolidated Water’s Q1 2026 earnings at $0.28 EPS, Q2 2026 earnings at $0.33 EPS, Q2 2026 earnings at $0.28 EPS, Q3 2026 earnings at $0.26 EPS, Q3 2026 earnings at $0.27 EPS, Q4 2026 earnings at $0.30 EPS, Q4 2026 earnings at $0.26 EPS, FY2026 earnings at $1.09 EPS, FY2026 earnings at $1.18 EPS, Q1 2027 earnings at $0.33 EPS, Q2 2027 earnings at $0.46 EPS, Q2 2027 earnings at $0.45 EPS, Q3 2027 earnings at $0.39 EPS, Q3 2027 earnings at $0.40 EPS, Q4 2027 earnings at $0.36 EPS, FY2027 earnings at $1.56 EPS, FY2027 earnings at $1.57 EPS, Q1 2028 earnings at $0.35 EPS, FY2028 earnings at $1.61 EPS and FY2028 earnings at $1.64 EPS.

CWCO has been the subject of several other reports. Wall Street Zen cut Consolidated Water from a “strong-buy” rating to a “hold” rating in a research report on Saturday, March 21st. Weiss Ratings cut shares of Consolidated Water from a “buy (b-)” rating to a “hold (c+)” rating in a research note on Tuesday, March 17th. One analyst has rated the stock with a Buy rating, one has assigned a Hold rating and one has issued a Sell rating to the company. According to data from MarketBeat.com, the company has a consensus rating of “Hold” and a consensus price target of $40.00.

Consolidated Water Stock Performance

NASDAQ:CWCO opened at $33.09 on Tuesday. The firm’s fifty day moving average is $35.75 and its two-hundred day moving average is $35.30. The firm has a market cap of $528.12 million, a price-to-earnings ratio of 34.11 and a beta of 0.56. Consolidated Water has a one year low of $22.69 and a one year high of $39.12.

Consolidated Water (NASDAQ:CWCO) last released its quarterly earnings data on Tuesday, March 17th. The utilities provider reported $0.18 earnings per share for the quarter, missing analysts’ consensus estimates of $0.28 by ($0.10). Consolidated Water had a net margin of 13.88% and a return on equity of 8.39%. The company had revenue of $29.65 million for the quarter, compared to analysts’ expectations of $35.50 million. As a group, equities research analysts predict that Consolidated Water will post 1.27 earnings per share for the current fiscal year.

Insider Activity at Consolidated Water

In other Consolidated Water news, Director Maria Elena Giner purchased 3,310 shares of the business’s stock in a transaction that occurred on Thursday, March 19th. The stock was purchased at an average price of $30.24 per share, for a total transaction of $100,094.40. Following the purchase, the director directly owned 3,310 shares in the company, valued at approximately $100,094.40. This trade represents a ? increase in their ownership of the stock. The acquisition was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this hyperlink. 6.25% of the stock is owned by company insiders.

Hedge Funds Weigh In On Consolidated Water

Hedge funds have recently bought and sold shares of the business. Caitong International Asset Management Co. Ltd grew its holdings in Consolidated Water by 1,467.3% in the fourth quarter. Caitong International Asset Management Co. Ltd now owns 768 shares of the utilities provider’s stock valued at $27,000 after purchasing an additional 719 shares during the period. Quarry LP acquired a new position in shares of Consolidated Water during the 3rd quarter worth approximately $40,000. Kemnay Advisory Services Inc. purchased a new position in shares of Consolidated Water during the 4th quarter valued at approximately $51,000. Tower Research Capital LLC TRC lifted its position in shares of Consolidated Water by 335.7% during the 2nd quarter. Tower Research Capital LLC TRC now owns 1,512 shares of the utilities provider’s stock valued at $45,000 after buying an additional 1,165 shares in the last quarter. Finally, CWM LLC grew its stake in Consolidated Water by 67.5% in the 3rd quarter. CWM LLC now owns 2,045 shares of the utilities provider’s stock valued at $72,000 after acquiring an additional 824 shares during the period. Hedge funds and other institutional investors own 55.16% of the company’s stock.

Key Stories Impacting Consolidated Water

Here are the key news stories impacting Consolidated Water this week:

• Negative Sentiment: Zacks Research cut multiple near?term and FY estimates (Q2–Q4 2026, FY2026, Q2–Q4 2027, FY2027, FY2028), signaling weaker expected earnings growth and lower short?term cash generation; FY2026 was lowered to $1.09 EPS and FY2028 to $1.61 EPS. This reduces upside versus consensus and raises downside risk for the stock. Article Title
• Negative Sentiment: Zacks added CWCO to its Zacks Rank #5 (Strong Sell) list on April 1 and maintains a “Strong Sell” rating — a placement that can trigger selling by momentum/quant strategies and influence institutional sentiment. Article Title
• Negative Sentiment: Series of incremental quarter-by-quarter downgrades (e.g., Q2 2026 to $0.28 from higher prior estimates; Q3/Q4 2026 to ~$0.26) imply the analyst sees near?term revenue/margin pressure — this can compress near?term guidance expectations and raise the likelihood of further revisions.

Consolidated Water Company Profile

Consolidated Water Co Ltd. is a developer, operator and manufacturer of water treatment and desalination systems. The company designs, engineers, builds and operates reverse-osmosis desalination plants and water treatment facilities, offering both turnkey project delivery and ongoing operations and maintenance services. Its product portfolio includes modular desalination units, water distribution systems, filtration membranes and associated equipment for potable water production.

Consolidated Water serves municipalities, resorts, commercial enterprises and private customers in the Caribbean and the southeastern United States.