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Aris Water Solutions Inc (ARIS)



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Upturn Advisory Summary
09/15/2025: ARIS (1-star) is currently NOT-A-BUY. Pass it for now.
1 Year Target Price $25.78
1 Year Target Price $25.78
5 | Strong Buy |
2 | Buy |
5 | Hold |
0 | Sell |
0 | Strong Sell |
Analysis of Past Performance
Type Stock | Historic Profit 2.69% | Avg. Invested days 30 | Today’s Advisory PASS |
Upturn Star Rating ![]() ![]() | Upturn Advisory Performance ![]() | Stock Returns Performance ![]() |
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Key Highlights
Company Size Small-Cap Stock | Market Capitalization 1.42B USD | Price to earnings Ratio 28.64 | 1Y Target Price 25.78 |
Price to earnings Ratio 28.64 | 1Y Target Price 25.78 | ||
Volume (30-day avg) 12 | Beta 1.68 | 52 Weeks Range 14.17 - 33.55 | Updated Date 09/14/2025 |
52 Weeks Range 14.17 - 33.55 | Updated Date 09/14/2025 | ||
Dividends yield (FY) 2.03% | Basic EPS (TTM) 0.84 |
Analyzing Revenue: Products, Geography and Growth
Revenue by Products
Product revenue - Year on Year
Earnings Date
Report Date - | When - | Estimate - | Actual - |
Profitability
Profit Margin 6% | Operating Margin (TTM) 22.16% |
Management Effectiveness
Return on Assets (TTM) 4.97% | Return on Equity (TTM) 8.04% |
Valuation
Trailing PE 28.64 | Forward PE 16.86 | Enterprise Value 1239653333 | Price to Sales(TTM) 2.99 |
Enterprise Value 1239653333 | Price to Sales(TTM) 2.99 | ||
Enterprise Value to Revenue 2.61 | Enterprise Value to EBITDA 6.81 | Shares Outstanding 32709000 | Shares Floating 30983304 |
Shares Outstanding 32709000 | Shares Floating 30983304 | ||
Percent Insiders 5.69 | Percent Institutions 106.48 |
Upturn AI SWOT
Aris Water Solutions Inc
Company Overview
History and Background
Aris Water Solutions, Inc. was founded in 2015 and is headquartered in Houston, Texas. The company provides water infrastructure and recycling solutions to the oil and gas industry. Originally a portfolio company of TPG Growth, Aris Water Solutions went public in 2021.
Core Business Areas
- Water Solutions: This segment focuses on providing produced water handling and recycling services for oil and gas operators, helping them manage water resources efficiently and sustainably. This includes pipeline infrastructure, storage facilities, and recycling capabilities.
- Pipeline Infrastructure: Developing and operating dedicated pipeline infrastructure for the transportation of produced water.
- Water Recycling: Treating and recycling produced water for reuse in hydraulic fracturing and other industrial applications.
Leadership and Structure
Amanda M. Brock is the Chief Executive Officer. The company has a typical corporate structure with a board of directors and various executive leadership roles overseeing different business functions.
Top Products and Market Share
Key Offerings
- Produced Water Handling: Transportation, storage, and disposal of produced water generated from oil and gas operations. Aris Water Solutions estimates they handle approximately 1 million barrels of water per day. Competitors include Select Water Solutions (WTTR) and WaterBridge Resources LLC.
- Water Recycling Solutions: Treatment and recycling of produced water for reuse in hydraulic fracturing and other operations, reducing freshwater consumption. Competitors include H2O Innovation and other water technology companies focused on treatment solutions.
- Pipeline Infrastructure: Dedicated pipeline infrastructure for transporting produced water. This provides a reliable and efficient alternative to trucking. Competitors are other pipeline operators focused on water transportation.
Market Dynamics
Industry Overview
The produced water management industry is driven by increased oil and gas production, particularly from unconventional resources. Environmental regulations and growing water scarcity concerns are increasing the demand for sustainable water management solutions such as water recycling.
Positioning
Aris Water Solutions is positioned as a leading provider of water solutions with a focus on sustainability and recycling. They differentiate themselves by providing integrated solutions, including pipeline infrastructure and recycling capabilities, resulting in reduced trucking needs, reduced environmental impact, and lower costs for the operator.
Total Addressable Market (TAM)
The total addressable market for produced water management is estimated to be billions of dollars annually. Aris Water Solutions is well-positioned to capture a significant share of this market through its integrated solutions and expanding infrastructure.
Upturn SWOT Analysis
Strengths
- Integrated service offerings (handling, recycling, disposal)
- Extensive pipeline infrastructure
- Focus on sustainable water management
- Strong relationships with oil and gas operators
Weaknesses
- Dependence on oil and gas activity levels
- Exposure to commodity price fluctuations
- Regulatory risks related to water disposal and environmental regulations
- Relatively recent IPO; shorter track record as a public company
Opportunities
- Expansion of pipeline infrastructure
- Increased adoption of water recycling technologies
- Growth in unconventional oil and gas production
- Stricter environmental regulations driving demand for water management solutions
Threats
- Decline in oil and gas prices
- Increased competition from other water management companies
- Changes in environmental regulations
- Technological advancements that reduce water usage in oil and gas operations
Competitors and Market Share
Key Competitors
- WTTR
- FWRD
Competitive Landscape
Aris Water Solutions competes with other water management companies, pipeline operators, and water technology providers. Their integrated solutions and focus on sustainability provide a competitive advantage. They do not have the scale as others in the industry.
Major Acquisitions
U.S. Water Recovery
- Year: 2021
- Acquisition Price (USD millions): 180
- Strategic Rationale: Expanded Aris' geographic reach in the Permian Basin and increased their produced water recycling capabilities.
Growth Trajectory and Initiatives
Historical Growth: The company has experienced significant growth since its founding, driven by expansion of its pipeline infrastructure and increased demand for water management solutions.
Future Projections: Analyst estimates project continued revenue growth driven by increased oil and gas production and adoption of water recycling technologies.
Recent Initiatives: Recent initiatives include expanding pipeline infrastructure in key basins, developing new water recycling facilities, and strategic acquisitions to expand service offerings.
Summary
Aris Water Solutions is a growing company with a strong focus on sustainable water management in the oil and gas industry. Its integrated solutions and pipeline infrastructure provide a competitive advantage, but it remains dependent on oil and gas activity. Increasing demand for water recycling and favorable regulations support future growth, but downturns in oil prices could pose challenges. The company needs to execute its growth strategy and manage regulatory and environmental risks effectively.
Peer Comparison
Sources and Disclaimers
Data Sources:
- Company Filings (10-K, 10-Q)
- Investor Presentations
- Press Releases
- Analyst Reports
- Industry Publications
Disclaimers:
The information provided is for informational purposes only and should not be considered financial advice. Market conditions and company performance are subject to change. Please do independent due diligence before making any investment decisions.
AI Summarization is directionally correct and might not be accurate.
Summarized information shown could be a few years old and not current.
Fundamental Rating based on AI could be based on old data.
AI-generated summaries may have inaccuracies (hallucinations). Please verify the information before taking action.
About Aris Water Solutions Inc
Exchange NYSE | Headquaters Houston, TX, United States | ||
IPO Launch date 2021-10-22 | President, CEO & Director Ms. Amanda M. Brock J.D. | ||
Sector Utilities | Industry Utilities - Regulated Water | Full time employees 276 | Website https://www.ariswater.com |
Full time employees 276 | Website https://www.ariswater.com |
Aris Water Solutions, Inc., an environmental infrastructure and solutions company, provides water handling and recycling solutions to oil and natural gas operators in the United States. The company's produced water handling business gathers, transports, and handles produced water generated from oil and natural gas production. Its water solutions business develops and operates recycling facilities to treat, store, and recycle produced water. Aris Water Solutions, Inc. was founded in 2015 and is headquartered in Houston, Texas.

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