Xylem Inc. (NYSE:XYL) Given Average Rating of "Moderate Buy" by Analysts

Key Points

• Xylem Inc. has received a consensus rating of "Moderate Buy" from twelve analysts, with seven recommending to buy and five recommending to hold the stock.
• Recent target price adjustments include UBS Group raising it to $168.00 and Stifel Nicolaus increasing it to $175.00, both indicating positive sentiment towards the company.
• The company reported a 6.1% increase in revenue year-over-year, totaling $2.30 billion, and its latest quarterly earnings exceeded analyst expectations by $0.11.

Shares of Xylem Inc. (NYSE:XYL - Get Free Report) have earned an average rating of "Moderate Buy" from the twelve ratings firms that are presently covering the firm, Marketbeat Ratings reports. Five investment analysts have rated the stock with a hold rating and seven have given a buy rating to the company. The average 12-month price target among brokerages that have issued ratings on the stock in the last year is $152.3333.

XYL has been the topic of a number of recent analyst reports. Citigroup reiterated a "buy" rating and issued a $152.00 target price (up previously from $137.00) on shares of Xylem in a research note on Monday, July 14th. Barclays assumed coverage on shares of Xylem in a research note on Friday. They issued an "overweight" rating and a $165.00 price target on the stock. Cowen reissued a "hold" rating on shares of Xylem in a research report on Tuesday, August 26th. 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 research report on Tuesday, August 26th. Finally, Mizuho boosted their price target on Xylem from $125.00 to $140.00 and gave the company a "neutral" rating in a report on Friday, September 12th.

Xylem Trading Up 0.5%

Shares of XYL stock traded up $0.67 during trading hours on Friday, reaching $143.55. 1,002,944 shares of the stock were exchanged, compared to its average volume of 1,442,338. The firm has a market capitalization of $34.94 billion, a price-to-earnings ratio of 37.29, a price-to-earnings-growth ratio of 2.47 and a beta of 1.09. Xylem has a 12-month low of $100.47 and a 12-month high of $145.33. The company's 50-day moving average price is $139.24 and its 200-day moving average price is $128.04. The company has a current ratio of 1.90, a quick ratio of 1.43 and a debt-to-equity ratio of 0.17.

Xylem (NYSE:XYL - Get Free Report) last announced its earnings results on Thursday, July 31st. The industrial products company reported $1.26 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.15 by $0.11. The business had revenue of $2.30 billion during the quarter, compared to analyst estimates of $2.20 billion. Xylem had a return on equity of 10.33% and a net margin of 10.74%.The company's revenue for the quarter was up 6.1% compared to the same quarter last year. During the same quarter in the previous year, the business earned $1.09 earnings per share. Xylem has set its FY 2025 guidance at 4.700-4.850 EPS. As a group, equities analysts anticipate that Xylem will post 4.65 earnings per share for the current year.

Xylem Dividend Announcement

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

Insiders Place Their Bets

In other Xylem news, CAO Geri-Michelle Mcshane sold 1,000 shares of the stock in a transaction dated 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 $413,861.72. This represents a 25.27% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. 0.27% of the stock is currently owned by company insiders.

Hedge Funds Weigh In On Xylem

Several institutional investors have recently bought and sold shares of XYL. USS Investment Management Ltd increased its holdings in shares of Xylem by 51.0% in the 4th quarter. USS Investment Management Ltd now owns 26,694 shares of the industrial products company's stock valued at $3,098,000 after acquiring an additional 9,017 shares during the period. Focus Partners Advisor Solutions LLC purchased a new position in Xylem in the fourth quarter valued at about $381,000. Toronto Dominion Bank raised its holdings in Xylem by 6.4% in the fourth quarter. Toronto Dominion Bank now owns 129,998 shares of the industrial products company's stock worth $15,082,000 after purchasing an additional 7,869 shares in the last quarter. Wormser Freres Gestion lifted its position in shares of Xylem by 11.9% during the fourth quarter. Wormser Freres Gestion now owns 6,947 shares of the industrial products company's stock valued at $829,000 after buying an additional 740 shares during the last quarter. Finally, Forum Financial Management LP boosted its holdings in shares of Xylem by 54.2% in the 4th quarter. Forum Financial Management LP now owns 3,401 shares of the industrial products company's stock valued at $395,000 after buying an additional 1,195 shares in the last quarter. 87.96% of the stock is owned by hedge funds and other institutional investors.

About Xylem

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.