Badger Meter (NYSE:BMI) Sees Large Volume Increase - Here's Why

Key Points

• Q1 results missed estimates: Sales fell about 9% and EPS declined, triggering analyst forecast cuts and sending the stock to a new 12‑month low as shares trade down roughly 1.9%.
• Securities‑class action investigation: A probe into potential executive disclosure issues has been launched, creating additional legal risk that could weigh on the stock while unresolved.
• Management cites a solid backlog and the UDlive acquisition as longer‑term growth drivers, and several analysts still maintain buy/hold ratings with a consensus target of $166.38, implying double‑digit upside from current levels.

Badger Meter, Inc. (NYSE:BMI - Get Free Report) saw strong trading volume on Monday . 430,332 shares were traded during mid-day trading, a decline of 4% from the previous session's volume of 446,719 shares.The stock last traded at $115.4010 and had previously closed at $115.54.

Key Stories Impacting Badger Meter

Here are the key news stories impacting Badger Meter this week:

• Positive Sentiment: Management highlights a solid backlog and the UDlive acquisition as evidence of longer‑term growth potential, which could support recovery if project pacing normalizes. Badger Meter's Q1 Earnings & Revenues Miss Estimates, Stock Dips
• Positive Sentiment: Several firms kept buy/outperform ratings despite lowering targets, signaling analyst conviction that multiple quarters of weakness may be followed by recovery — these reiterated ratings can limit selling pressure. Analyst Coverage Summary
• Neutral Sentiment: Analyst price-target resets (RBC to $169, Stifel to $140, Baird to $145) reduce near-term valuation support but still imply double‑digit upside from current levels; the cuts reflect revised earnings forecasts rather than rating downgrades. Price Target Updates
• Neutral Sentiment: Deep-dive coverage notes that short‑cycle project pacing and timing drove the quarter’s weakness; monitoring project execution and order timing will be key for near‑term revenue visibility. BMI Q1 deep dive
• Negative Sentiment: Q1 results missed estimates: sales down ~9% and diluted EPS declined, prompting analyst cuts to forecasts and weighing on near‑term growth expectations. Analysts Slash Forecasts After Q1
• Negative Sentiment: A securities‑class action investigation has been launched alleging potential issues with executive disclosures; this raises legal risk and could pressure the stock while unresolved. Johnson Fistel Investigation Notice
• Negative Sentiment: Shares set a new 12‑month low following the disappointing earnings print and subsequent analyst revisions, reflecting elevated near‑term investor caution. New 12-Month Low on Disappointing Earnings

Wall Street Analyst Weigh In

A number of equities research analysts have recently issued reports on BMI shares. JPMorgan Chase & Co. cut their price objective on shares of Badger Meter from $190.00 to $160.00 and set an "overweight" rating for the company in a research note on Friday. Stifel Nicolaus cut their price target on shares of Badger Meter from $174.00 to $140.00 and set a "buy" rating for the company in a research report on Monday. Zacks Research upgraded Badger Meter from a "strong sell" rating to a "hold" rating in a research report on Friday, April 3rd. Deutsche Bank Aktiengesellschaft reissued a "hold" rating and set a $167.00 price objective on shares of Badger Meter in a research note on Thursday, January 29th. Finally, Argus downgraded shares of Badger Meter from a "buy" rating to a "hold" rating in a research note on Monday, February 2nd. Five analysts have rated the stock with a Buy rating, five have given a Hold rating and one has assigned a Sell rating to the company's stock. According to MarketBeat, Badger Meter presently has a consensus rating of "Hold" and a consensus target price of $166.38.

Badger Meter Trading Down 1.9%

The business's 50 day moving average price is $152.42 and its two-hundred day moving average price is $167.43. The stock has a market cap of $3.31 billion, a P/E ratio of 25.63, a price-to-earnings-growth ratio of 1.87 and a beta of 0.90.

Badger Meter (NYSE:BMI - Get Free Report) last released its quarterly earnings results on Tuesday, February 17th. The scientific and technical instruments company reported $1.14 earnings per share (EPS) for the quarter. The company had revenue of $220.71 million during the quarter. Badger Meter had a net margin of 14.56% and a return on equity of 18.76%. As a group, analysts expect that Badger Meter, Inc. will post 4.65 earnings per share for the current year.

Badger Meter Announces Dividend

The company also recently disclosed a quarterly dividend, which was paid on Friday, March 13th. Shareholders of record on Friday, February 27th were given a dividend of $0.40 per share. The ex-dividend date of this dividend was Friday, February 27th. This represents a $1.60 annualized dividend and a yield of 1.4%. Badger Meter's dividend payout ratio (DPR) is currently 36.12%.

Insider Buying and Selling

In other news, VP Kimberly K. Stoll sold 1,634 shares of the stock in a transaction on Tuesday, March 3rd. The stock was sold at an average price of $149.01, for a total value of $243,482.34. Following the sale, the vice president directly owned 3,256 shares of the company's stock, valued at approximately $485,176.56. This represents a 33.42% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is accessible through this link. Also, CEO Kenneth Bockhorst bought 3,300 shares of Badger Meter stock in a transaction on Tuesday, February 10th. The stock was acquired at an average cost of $152.42 per share, with a total value of $502,986.00. Following the acquisition, the chief executive officer owned 40,013 shares in the company, valued at approximately $6,098,781.46. This represents a 8.99% increase in their position. The SEC filing for this purchase provides additional information. In the last 90 days, insiders sold 3,989 shares of company stock valued at $596,002. 1.00% of the stock is owned by company insiders.

Institutional Trading of Badger Meter

Large investors have recently modified their holdings of the company. Norges Bank bought a new position in Badger Meter in the fourth quarter valued at about $83,819,000. UBS Group AG increased its position in shares of Badger Meter by 89.2% during the 4th quarter. UBS Group AG now owns 712,650 shares of the scientific and technical instruments company's stock valued at $124,293,000 after purchasing an additional 335,953 shares during the last quarter. Bamco Inc. NY purchased a new stake in shares of Badger Meter during the 3rd quarter valued at about $45,435,000. Pictet Asset Management Holding SA lifted its stake in shares of Badger Meter by 39.2% in the 4th quarter. Pictet Asset Management Holding SA now owns 754,402 shares of the scientific and technical instruments company's stock worth $131,592,000 after purchasing an additional 212,448 shares during the period. Finally, Amundi lifted its stake in shares of Badger Meter by 99.5% in the 3rd quarter. Amundi now owns 401,668 shares of the scientific and technical instruments company's stock worth $72,203,000 after purchasing an additional 200,330 shares during the period. Institutional investors own 89.01% of the company's stock.

About Badger Meter

Badger Meter, founded in 1905 and headquartered in Milwaukee, Wisconsin, is a global leader in flow measurement and control solutions. The company's core business centers on the design, manufacture and sale of water meters, control valves and related accessories for municipal and industrial water utilities. Over its more than a century of operation, Badger Meter has built a reputation for precision engineering, durability and compliance with international regulatory standards.

The company's product portfolio includes mechanical and ultrasonic water meters, electromagnetic flow meters for industrial applications, and a range of control valves that help utilities manage pressure and flow in distribution networks.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.