Zurn Elkay Water Solutions Cor (NYSE:ZWS) Stock Now Rated "Moderate Buy" by Sell-Side Analysts

Key Points

• Analyst sentiment is moderately positive: Nine analysts rate Zurn Elkay Water Solutions a consensus “Moderate Buy,” with five buys, three holds and one strong buy. The average 12-month price target is $57.44 versus a recent price of $47.65.
• Quarterly results exceeded expectations: The company reported EPS of $0.50, beating estimates by $0.03, while revenue rose 10.5% year over year to $491 million, above the $483.04 million consensus.
• Zurn Elkay maintains shareholder returns and strong institutional backing: It declared a quarterly dividend of $0.11 per share, representing a 0.9% yield, while institutional investors own 83.33% of outstanding shares.

Zurn Elkay Water Solutions Cor (NYSE:ZWS - Get Free Report) has been given a consensus rating of "Moderate Buy" by the nine ratings firms that are presently covering the stock, MarketBeat.com reports. Three research analysts have rated the stock with a hold rating, five have given a buy rating and one has issued a strong buy rating on the company. The average 1-year target price among analysts that have issued ratings on the stock in the last year is $57.44.

Several equities analysts have recently weighed in on ZWS shares. Royal Bank Of Canada increased their price objective on shares of Zurn Elkay Water Solutions Cor from $56.00 to $58.00 and gave the company a "sector perform" rating in a research report on Thursday, July 30th. Oppenheimer lifted their target price on shares of Zurn Elkay Water Solutions Cor from $58.00 to $60.00 and gave the stock an "outperform" rating in a report on Wednesday, September 9th. The Goldman Sachs Group reiterated a "neutral" rating and issued a $55.00 price target on shares of Zurn Elkay Water Solutions Cor in a research note on Wednesday, July 29th. Robert W. Baird set a $58.00 price target on shares of Zurn Elkay Water Solutions Cor in a report on Thursday, July 30th. Finally, Barclays raised their price objective on shares of Zurn Elkay Water Solutions Cor from $59.00 to $61.00 and gave the stock an "overweight" rating in a research report on Friday, July 31st.

Zurn Elkay Water Solutions Cor Stock Up 1.0%

ZWS stock opened at $47.65 on Friday. Zurn Elkay Water Solutions Cor has a 1-year low of $43.06 and a 1-year high of $55.00. The business's 50 day simple moving average is $48.50 and its 200 day simple moving average is $48.24. The company has a current ratio of 3.05, a quick ratio of 2.13 and a debt-to-equity ratio of 0.30. The firm has a market capitalization of $7.90 billion, a PE ratio of 29.41, a PEG ratio of 1.75 and a beta of 1.07.

Zurn Elkay Water Solutions Cor (NYSE:ZWS - Get Free Report) last announced its quarterly earnings results on Tuesday, July 28th. The company reported $0.50 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.47 by $0.03. Zurn Elkay Water Solutions Cor had a return on equity of 18.01% and a net margin of 15.45%.The business had revenue of $491.00 million during the quarter, compared to the consensus estimate of $483.04 million. During the same quarter last year, the firm posted $0.42 EPS. The company's quarterly revenue was up 10.5% on a year-over-year basis. As a group, research analysts anticipate that Zurn Elkay Water Solutions Cor will post 1.82 EPS for the current year.

Zurn Elkay Water Solutions Cor Dividend Announcement

The company also recently declared a quarterly dividend, which was paid on Friday, September 4th. Investors of record on Thursday, August 20th were issued a dividend of $0.11 per share. This represents a $0.44 annualized dividend and a yield of 0.9%. The ex-dividend date of this dividend was Thursday, August 20th. Zurn Elkay Water Solutions Cor's dividend payout ratio (DPR) is presently 27.16%.

Insider Transactions at Zurn Elkay Water Solutions Cor

In other news, Director Jacques Butler purchased 2,016 shares of Zurn Elkay Water Solutions Cor stock in a transaction that occurred on Wednesday, August 19th. The stock was acquired at an average cost of $49.60 per share, for a total transaction of $99,993.60. Following the purchase, the director directly owned 37,487 shares of the company's stock, valued at $1,859,355.20. This trade represents a 5.68% increase in their position. The transaction was disclosed in a legal filing with the SEC, which is accessible through this hyperlink. 2.40% of the stock is owned by company insiders.

Institutional Inflows and Outflows

Several large investors have recently added to or reduced their stakes in the company. BlackRock Inc. bought a new stake in shares of Zurn Elkay Water Solutions Cor in the second quarter valued at about $1,241,345,000. Bank of America Corp DE bought a new position in Zurn Elkay Water Solutions Cor during the second quarter worth about $278,160,000. Jupiter Topco LLC bought a new position in Zurn Elkay Water Solutions Cor during the second quarter worth about $172,287,000. Dimensional Fund Advisors LP raised its stake in Zurn Elkay Water Solutions Cor by 0.3% in the 1st quarter. Dimensional Fund Advisors LP now owns 2,563,031 shares of the company's stock worth $114,913,000 after purchasing an additional 8,752 shares in the last quarter. Finally, Bank of New York Mellon Corp acquired a new stake in Zurn Elkay Water Solutions Cor in the 2nd quarter worth about $55,207,000. Institutional investors own 83.33% of the company's stock.

About Zurn Elkay Water Solutions Cor

Zurn Elkay Water Solutions Corporation NYSE: ZWS is a water management and plumbing products company serving commercial, institutional, industrial and residential markets. Its products are designed to support the collection, control, conservation, treatment and delivery of water in buildings and other infrastructure.

The company offers plumbing and drainage products, including drains, fixtures, faucets, flush valves, backflow prevention devices, water control systems and related accessories.

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