Water Valley is a small town located in Tom Green County, Texas. It experiences a semi-arid climate with hot summers and mild winters. Summers are characterized by high temperatures reaching into the 90s°F (30s°C), while winters are relatively mild with temperatures averaging in the 50s°F (10s°C). The region receives an average annual precipitation of around 20 inches, with most rainfall occurring in the spring and fall.

The town is situated near Hickory Underground Water District, which encompasses an extensive hydrological system. The area is rich in groundwater resources, with aquifers providing a sustainable water supply for the community and surrounding agricultural activities.

Water Valley also offers several outdoor recreation opportunities. The Hickory Wildlife Management Area, located nearby, provides a picturesque setting for activities such as hiking, bird-watching, and wildlife observation. The area is home to various species of deer, turkey, quail, and dove, making it a popular destination for hunting enthusiasts. Additionally, nearby Twin Buttes Reservoir offers opportunities for boating, fishing, and camping, with the lake stocked with bass, catfish, crappie, and sunfish. The scenic natural surroundings and recreational offerings make Water Valley an appealing destination for those seeking outdoor adventures.