Xylem (NYSE:XYL) Reaches New 12-Month High Following Better-Than-Expected Earnings

Xylem Inc. (NYSE:XYL) shares hit a new 52-week high during trading on Tuesday following a stronger than expected earnings report. The stock traded as high as $153.06 and last traded at $147.3210, with a volume of 201110 shares changing hands. The stock had previously closed at $149.40.

The industrial products company reported $1.37 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.23 by $0.14. Xylem had a net margin of 10.74% and a return on equity of 10.33%. The business had revenue of $2.27 billion during the quarter, compared to analysts’ expectations of $2.22 billion. During the same period last year, the firm posted $1.11 earnings per share. The business’s revenue was up 7.8% on a year-over-year basis. Xylem has set its FY 2025 guidance at 5.030-5.080 EPS.

Xylem Announces Dividend

The company also recently disclosed a quarterly dividend, which was paid on Thursday, September 25th. Stockholders of record on Thursday, August 28th were paid a $0.40 dividend. This represents a $1.60 dividend on an annualized basis and a dividend yield of 1.1%. The ex-dividend date of this dividend was Thursday, August 28th. Xylem’s payout ratio is currently 41.56%.

Wall Street Analysts Forecast Growth

Several brokerages recently weighed in on XYL. Wall Street Zen raised Xylem from a “hold” rating to a “buy” rating in a research note on Saturday, August 9th. Weiss Ratings reissued a “buy (b)” rating on shares of Xylem in a report on Wednesday, October 8th. UBS Group lifted their price objective on shares of Xylem from $164.00 to $168.00 and gave the stock a “buy” rating in a research note on Tuesday, August 5th. Mizuho increased their target price on shares of Xylem from $125.00 to $140.00 and gave the company a “neutral” rating in a research note on Friday, September 12th. Finally, TD Cowen raised their target price on shares of Xylem from $125.00 to $130.00 and gave the stock a “hold” rating in a report on Tuesday, August 26th. One equities research analyst has rated the stock with a Strong Buy rating, eight have issued a Buy rating and five have assigned a Hold rating to the company. Based on data from MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and an average target price of $154.67.

Insider Buying and Selling

In other Xylem news, CAO Geri-Michelle Mcshane sold 1,000 shares of Xylem stock in a transaction that occurred on Friday, September 5th. The shares were sold at an average price of $139.96, for a total transaction of $139,960.00. Following the transaction, the chief accounting officer directly owned 2,957 shares in the company, valued at approximately $413,861.72. The trade was a 25.27% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Corporate insiders own 0.27% of the company’s stock.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently modified their holdings of the business. Vanguard Group Inc. lifted its stake in Xylem by 2.4% in the 2nd quarter. Vanguard Group Inc. now owns 29,697,829 shares of the industrial products company’s stock worth $3,841,711,000 after acquiring an additional 691,285 shares in the last quarter. Geode Capital Management LLC increased its holdings in shares of Xylem by 2.3% in the 2nd quarter. Geode Capital Management LLC now owns 6,141,231 shares of the industrial products company’s stock valued at $791,029,000 after purchasing an additional 136,605 shares during the period. Amundi increased its holdings in shares of Xylem by 17.0% in the 2nd quarter. Amundi now owns 5,714,576 shares of the industrial products company’s stock valued at $730,717,000 after purchasing an additional 830,337 shares during the period. Impax Asset Management Group plc lifted its position in shares of Xylem by 13.7% in the second quarter. Impax Asset Management Group plc now owns 5,499,688 shares of the industrial products company’s stock worth $709,183,000 after purchasing an additional 663,191 shares in the last quarter. Finally, Swedbank AB boosted its holdings in shares of Xylem by 19.0% during the third quarter. Swedbank AB now owns 5,197,753 shares of the industrial products company’s stock worth $766,669,000 after purchasing an additional 830,821 shares during the period. Hedge funds and other institutional investors own 87.96% of the company’s stock.

Xylem Price Performance

The stock has a market capitalization of $36.65 billion, a PE ratio of 39.11, a P/E/G ratio of 2.55 and a beta of 1.13. The company has a quick ratio of 1.43, a current ratio of 1.90 and a debt-to-equity ratio of 0.17. The stock’s 50-day moving average is $144.14 and its 200 day moving average is $133.49.

Xylem Company Profile

Xylem Inc, together with its subsidiaries, engages in the design, manufacture, and servicing of engineered products and solutions worldwide. It operates through four segments: Water Infrastructure, Applied Water, Measurement & Control Solutions, and Integrated Solutions and Services. The Water Infrastructure segment offers products, including water, storm water, and wastewater pumps; controls and systems; filtration, disinfection, and biological treatment equipment; and mobile dewatering equipment and rental services under the ADI, Flygt, Godwin, Sanitaire, Magneto, Neptune Benson, Ionpure, Leopold, Wedeco, and Xylem Vue brands.