Barclays Has Lowered Expectations for Xylem (NYSE:XYL) Stock Price

Xylem (NYSE:XYL) had its target price cut by investment analysts at Barclays from $166.00 to $156.00 in a research note issued on Wednesday,Benzinga reports. The firm currently has an “overweight” rating on the industrial products company’s stock. Barclays‘s price objective indicates a potential upside of 23.63% from the stock’s previous close.

A number of other brokerages have also issued reports on XYL. Stifel Nicolaus increased their price objective on shares of Xylem from $175.00 to $178.00 and gave the company a “buy” rating in a report on Wednesday, October 29th. Argus set a $170.00 target price on shares of Xylem in a research note on Wednesday, October 29th. Mizuho reduced their price target on shares of Xylem from $160.00 to $150.00 and set a “neutral” rating on the stock in a report on Monday, January 5th. Zacks Research downgraded shares of Xylem from a “strong-buy” rating to a “hold” rating in a report on Tuesday, November 18th. Finally, TD Cowen reaffirmed a “hold” rating on shares of Xylem in a report on Friday, December 5th. Nine investment analysts have rated the stock with a Buy rating and four have assigned a Hold rating to the company. According to MarketBeat, the company currently has an average rating of “Moderate Buy” and a consensus price target of $159.75.

Xylem Stock Down 0.5%

XYL opened at $126.19 on Wednesday. The company has a debt-to-equity ratio of 0.12, a quick ratio of 1.50 and a current ratio of 1.62. Xylem has a fifty-two week low of $100.47 and a fifty-two week high of $154.27. The firm’s fifty day moving average is $138.70 and its 200 day moving average is $142.00. The stock has a market cap of $30.72 billion, a price-to-earnings ratio of 32.19, a price-to-earnings-growth ratio of 1.81 and a beta of 1.17.

Xylem (NYSE:XYL) last issued its quarterly earnings results on Tuesday, February 10th. The industrial products company reported $1.42 earnings per share (EPS) for the quarter, hitting analysts’ consensus estimates of $1.42. Xylem had a return on equity of 11.11% and a net margin of 10.59%.The business had revenue of $2.40 billion during the quarter, compared to analyst estimates of $2.37 billion. During the same quarter in the prior year, the business posted $1.18 EPS. Xylem’s revenue for the quarter was up 6.3% compared to the same quarter last year. Xylem has set its FY 2026 guidance at 5.350-5.560 EPS. On average, sell-side analysts forecast that Xylem will post 4.65 earnings per share for the current fiscal year.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently added to or reduced their stakes in XYL. Impax Asset Management Group plc grew its position in shares of Xylem by 13.7% during the 2nd quarter. Impax Asset Management Group plc now owns 5,499,688 shares of the industrial products company’s stock valued at $709,183,000 after acquiring an additional 663,191 shares during the period. Ferguson Wellman Capital Management Inc. acquired a new stake in Xylem in the third quarter valued at approximately $1,148,000. Vanguard Personalized Indexing Management LLC increased its position in shares of Xylem by 19.0% in the third quarter. Vanguard Personalized Indexing Management LLC now owns 56,216 shares of the industrial products company’s stock valued at $8,292,000 after buying an additional 8,960 shares in the last quarter. XXEC Inc. raised its stake in shares of Xylem by 66.0% during the 2nd quarter. XXEC Inc. now owns 33,698 shares of the industrial products company’s stock worth $4,359,000 after buying an additional 13,404 shares during the period. Finally, Covea Finance lifted its position in shares of Xylem by 25.5% during the 3rd quarter. Covea Finance now owns 231,547 shares of the industrial products company’s stock valued at $34,153,000 after buying an additional 47,000 shares in the last quarter. Hedge funds and other institutional investors own 87.96% of the company’s stock.

Xylem News Summary

Here are the key news stories impacting Xylem this week:

• Positive Sentiment: William Blair maintained a Buy rating, highlighting strong momentum in the measurement & control businesses and calling the 2026 outlook conservative — a vote of confidence that could support the stock over the medium term. Xylem: Strong Measurement & Control Momentum and Conservative 2026 Outlook Underpin Buy Rating
• Positive Sentiment: Xylem reported record 2025 results, raised its dividend, and showed revenue strength in Q4 — fundamentals that support long-term growth thesis in water infrastructure. Xylem (XYL) Is Down 9.3% After Cautious 2026 Guidance Despite Record 2025 Results And Dividend Hike
• Neutral Sentiment: Q4 metrics were mixed: revenue beat and topline strength were reported, but there was variability in EPS and margin dynamics across segments, leaving room for interpretation. Xylem: Strong Quarter, But Weak Guidance
• Negative Sentiment: The company issued cautious 2026 guidance (revenue roughly $9.1B–$9.2B and conservative margin outlook tied to portfolio simplification), which underwhelmed investors and is the primary driver of the sell-off. Xylem outlines 2026 revenue guidance of $9.1B–$9.2B with margin expansion driven by portfolio simplification
• Negative Sentiment: Market reaction: headlines report a sharp intraday decline after the cautious guidance, reflecting investor disappointment that strong 2025 results and a dividend raise did not translate into a more aggressive 2026 outlook. Xylem (XYL) Is Down 9.3% After Cautious 2026 Guidance Despite Record 2025 Results And Dividend Hike
• Negative Sentiment: Analysts trimmed estimates and lowered price targets after the print — some firms kept bullish ratings but pulled targets lower, increasing short-term selling pressure and raising uncertainty on near-term earnings. Xylem Analysts Lower Their Forecasts After Q4 Results
• Negative Sentiment: Earnings call/transcript showed mixed execution on EPS vs. some expectations, adding to investor concern around margin cadence and near-term cadence. Xylem Inc. (NYSE:XYL) Q4 2025 Earnings Call Transcript

About Xylem

Xylem Inc (NYSE: XYL) is a global water technology company that designs, manufactures and services engineered systems and equipment for the transport, treatment, testing and efficient use of water. Its product portfolio spans pumps and pumping systems, valves, filtration and disinfection equipment, sensors and analytical instruments, and digital solutions for monitoring and control of water infrastructure. Xylem serves the full water cycle with offerings for water and wastewater utilities, industrial customers, commercial and residential buildings, and agricultural applications.

The company was established as an independent publicly traded company in 2011 following a corporate spin-off from ITT Corporation and is headquartered in Rye Brook, New York.