Can WTTR sustain its Q3-Q4 earnings momentum?

**Select Water Solutions Inc. (WTTR) faces challenges in sustaining its Q3-Q4 earnings momentum.** Here's why:

1. **Recent Performance**: WTTR's net income for Q4 2024 was -$2.13 million, marking a significant decline from the $18.81 million reported in Q3 2024. This indicates a potential loss of earnings momentum.

|code|Ticker|Name|Date|Net Income YoY|Net Income|market_code|
|---|---|---|---|---|---|---|
|WTTR|WTTR.N|Select Water|2024 Q1|-71.72564757387815|3875000|169|
|WTTR|WTTR.N|Select Water|2024 Q2|-33.96126058242099|1.4899E7|169|
|WTTR|WTTR.N|Select Water|2024 Q3|22.8287841191067|1.881E7|169|
|WTTR|WTTR.N|Select Water|2024 Q4|-107.72097398603422|-2134000|169|

2. **Analyst Sentiments**: There are no available data on analysts' average price targets or consensus ratings for WTTR. However, the absence of such information could imply a lack of market confidence or interest from analysts, which might reflect underlying concerns about the company's future performance.
3. **Market Dynamics**: The oil & gas industry, which WTTR serves, is subject to fluctuations in demand and prices. These factors can significantly impact WTTR's business and profitability. Additionally, the company's reliance on water infrastructure and chemical technologies in a highly competitive sector suggests that sustaining market share and profitability may be challenging.
4. **Strategic Moves**: While institutional investors like Barclays PLC and Crestview Partners II GP, L.P. have increased their stakes in WTTR, indicating confidence in the company's potential, the divestment by Jump Financial LLC could signal a lack of optimism. The mixed signals from institutional actions suggest that while there is some confidence, it may not be unanimous.
5. **Economic Conditions**: Broader economic conditions and regulatory changes can affect WTTR's operations and profitability. For instance, the company's ability to manage costs and maintain margins in a potentially challenging economic environment will be crucial.

In conclusion, while there are some positive indicators, such as increased holdings by certain institutional investors, the decline in net income, lack of analyst data, and the inherent risks in the oil & gas sector suggest that sustaining the recent earnings momentum could be difficult for WTTR. The company will need to navigate these challenges effectively to maintain its financial performance.