Trexquant Investment LP Boosts Stake in Xylem Inc. $XYL

Key Points

• Trexquant Investment LP significantly increased its holdings in Xylem Inc. by 122.6% in Q1, owning 52,947 shares valued at approximately $6.33 million.
• Several analyst firms have raised their price targets for Xylem, with UBS increasing it to $168.00 and Citigroup to $152.00, maintaining a "buy" rating.
• Xylem reported a net profit margin of 10.74% for its last quarter, with revenue of $2.30 billion, exceeding analysts' expectations, and it also declared a quarterly dividend of $0.40 per share.

Trexquant Investment LP increased its holdings in shares of Xylem Inc. (NYSE:XYL - Free Report) by 122.6% during the first quarter, according to the company in its most recent disclosure with the SEC. The institutional investor owned 52,947 shares of the industrial products company's stock after purchasing an additional 29,160 shares during the period. Trexquant Investment LP's holdings in Xylem were worth $6,325,000 as of its most recent SEC filing.

A number of other hedge funds and other institutional investors have also recently modified their holdings of XYL. Landscape Capital Management L.L.C. acquired a new stake in Xylem in the first quarter valued at approximately $544,000. J. Stern & Co. LLP boosted its stake in Xylem by 6.6% in the first quarter. J. Stern & Co. LLP now owns 342,881 shares of the industrial products company's stock valued at $40,961,000 after acquiring an additional 21,134 shares in the last quarter. Mirova boosted its stake in Xylem by 2.7% in the first quarter. Mirova now owns 86,221 shares of the industrial products company's stock valued at $10,300,000 after acquiring an additional 2,238 shares in the last quarter. ICONIQ Capital LLC acquired a new stake in Xylem in the first quarter valued at approximately $201,000. Finally, Samjo Management LLC boosted its stake in Xylem by 2.1% in the first quarter. Samjo Management LLC now owns 20,665 shares of the industrial products company's stock valued at $2,469,000 after acquiring an additional 425 shares in the last quarter. 87.96% of the stock is currently owned by institutional investors.

Xylem Stock Performance

Shares of Xylem stock traded down $1.42 during trading on Friday, hitting $140.52. 1,170,902 shares of the company's stock were exchanged, compared to its average volume of 998,635. The company has a debt-to-equity ratio of 0.17, a quick ratio of 1.43 and a current ratio of 1.90. The business has a 50-day simple moving average of $137.36 and a 200-day simple moving average of $127.22. Xylem Inc. has a 52-week low of $100.47 and a 52-week high of $145.33. The stock has a market capitalization of $34.20 billion, a price-to-earnings ratio of 36.50, a PEG ratio of 2.43 and a beta of 1.09.

Xylem (NYSE:XYL - Get Free Report) last issued its earnings results on Thursday, July 31st. The industrial products company reported $1.26 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.15 by $0.11. Xylem had a net margin of 10.74% and a return on equity of 10.33%. The firm had revenue of $2.30 billion during the quarter, compared to analysts' expectations of $2.20 billion. During the same quarter last year, the company posted $1.09 earnings per share. The firm's revenue was up 6.1% compared to the same quarter last year. Xylem has set its FY 2025 guidance at 4.700-4.850 EPS. On average, research analysts forecast that Xylem Inc. will post 4.65 EPS for the current year.

Xylem Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Thursday, September 25th. Investors of record on Thursday, August 28th will be issued a dividend of $0.40 per share. This represents a $1.60 annualized dividend and a dividend yield of 1.1%. The ex-dividend date of this dividend is Thursday, August 28th. Xylem's dividend payout ratio (DPR) is 41.56%.

Insider Activity

In related news, CAO Geri-Michelle Mcshane sold 1,000 shares of the firm's stock in a transaction 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 completion of the transaction, the chief accounting officer owned 2,957 shares of the company's stock, valued at $413,861.72. This trade represents a 25.27% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available at this hyperlink. 0.27% of the stock is currently owned by company insiders.

Analyst Upgrades and Downgrades

Several equities research analysts have weighed in on XYL shares. UBS Group raised their target price on shares of Xylem from $164.00 to $168.00 and gave the company a "buy" rating in a research note on Tuesday, August 5th. JPMorgan Chase & Co. started coverage on shares of Xylem in a research note on Friday, May 30th. They issued an "overweight" rating and a $148.00 target price for the company. Citigroup restated a "buy" rating and issued a $152.00 target price (up from $137.00) on shares of Xylem in a research note on Monday, July 14th. Wall Street Zen upgraded shares of Xylem from a "hold" rating to a "buy" rating in a research note on Saturday, August 9th. Finally, Cowen reaffirmed a "hold" rating on shares of Xylem in a report on Tuesday, August 26th. Six research analysts have rated the stock with a Buy rating and four have assigned a Hold rating to the company. According to MarketBeat, the company has an average rating of "Moderate Buy" and an average target price of $152.29.

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.