Xylem (NYSE:XYL) Releases Earnings Results, Beats Estimates By $0.12 EPS

Key Points

• Xylem exceeded quarterly earnings expectations, reporting $1.46 in EPS versus the $1.34 consensus estimate. Revenue totaled $2.34 billion, in line with forecasts, and the company updated its fiscal 2026 EPS guidance to $5.55–$5.70.
• The company declared a quarterly dividend of $0.43 per share, equivalent to $1.72 annually and a 1.4% yield, with a 42.79% payout ratio.
• Analysts maintain a generally positive outlook, with a consensus “Moderate Buy” rating and an average price target of $153.15, compared with the stock’s opening price of $120.20.

Xylem (NYSE:XYL - Get Free Report) posted its earnings results on Tuesday. The industrial products company reported $1.46 EPS for the quarter, beating the consensus estimate of $1.34 by $0.12, Zacks reports. Xylem had a return on equity of 11.26% and a net margin of 10.79%.The firm had revenue of $2.34 billion for the quarter, compared to analyst estimates of $2.34 billion. Xylem updated its FY 2026 guidance to 5.550-5.700 EPS.

Xylem Stock Performance

NYSE:XYL opened at $120.20 on Tuesday. The company has a debt-to-equity ratio of 0.13, a current ratio of 1.46 and a quick ratio of 1.10. The firm has a market cap of $28.57 billion, a price-to-earnings ratio of 29.90, a price-to-earnings-growth ratio of 1.70 and a beta of 1.03. The firm's fifty day moving average price is $114.27 and its 200 day moving average price is $122.55. Xylem has a 1-year low of $105.29 and a 1-year high of $154.27.

Xylem Announces Dividend

The business also recently declared a quarterly dividend, which was paid on Thursday, June 25th. Investors of record on Thursday, May 28th were issued a dividend of $0.43 per share. The ex-dividend date of this dividend was Thursday, May 28th. This represents a $1.72 annualized dividend and a dividend yield of 1.4%. Xylem's dividend payout ratio (DPR) is currently 42.79%.

Analysts Set New Price Targets

XYL has been the subject of a number of recent analyst reports. Barclays lowered their price objective on Xylem from $156.00 to $154.00 and set an "overweight" rating for the company in a research report on Wednesday, April 29th. CLSA raised Xylem to a "hold" rating in a research report on Thursday, June 25th. Stifel Nicolaus decreased their target price on Xylem from $159.00 to $157.00 and set a "buy" rating for the company in a research note on Monday, July 20th. Royal Bank Of Canada upped their price target on Xylem from $157.00 to $159.00 and gave the company an "outperform" rating in a report on Thursday, July 16th. Finally, Weiss Ratings lowered shares of Xylem from a "hold (c+)" rating to a "hold (c)" rating in a research note on Friday, May 8th. Eight investment analysts have rated the stock with a Buy rating and six have issued a Hold rating to the company's stock. According to MarketBeat, the company has a consensus rating of "Moderate Buy" and an average price target of $153.15.

Insiders Place Their Bets

In other news, CAO Geri-Michelle Mcshane sold 4,269 shares of the business's stock in a transaction dated Thursday, May 7th. The shares were sold at an average price of $117.46, for a total transaction of $501,436.74. Following the transaction, the chief accounting officer directly owned 3,605 shares in the company, valued at $423,443.30. The trade was a 54.22% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available through this link. Also, Director Jerome A. Peribere purchased 1,210 shares of the company's stock in a transaction dated Monday, May 4th. The shares were purchased at an average price of $116.61 per share, for a total transaction of $141,098.10. Following the completion of the purchase, the director owned 27,209 shares of the company's stock, valued at approximately $3,172,841.49. This trade represents a 4.65% increase in their ownership of the stock. Additional details regarding this purchase are available in the official SEC disclosure. 0.32% of the stock is currently owned by corporate insiders.

Institutional Investors Weigh In On Xylem

A number of hedge funds have recently added to or reduced their stakes in XYL. Compound Planning Inc. raised its stake in shares of Xylem by 4.2% during the 4th quarter. Compound Planning Inc. now owns 2,258 shares of the industrial products company's stock worth $308,000 after buying an additional 91 shares in the last quarter. Axxcess Wealth Management LLC purchased a new stake in shares of Xylem in the fourth quarter valued at approximately $538,000. Corient Private Wealth LLC boosted its stake in shares of Xylem by 152.4% in the fourth quarter. Corient Private Wealth LLC now owns 110,578 shares of the industrial products company's stock valued at $15,059,000 after buying an additional 66,761 shares in the last quarter. Achmea Investment Management B.V. grew its holdings in Xylem by 2.1% during the fourth quarter. Achmea Investment Management B.V. now owns 306,723 shares of the industrial products company's stock worth $41,770,000 after acquiring an additional 6,189 shares during the period. Finally, Beacon Pointe Advisors LLC raised its position in Xylem by 27.1% in the fourth quarter. Beacon Pointe Advisors LLC now owns 3,596 shares of the industrial products company's stock worth $490,000 after acquiring an additional 766 shares in the last quarter. Institutional investors and hedge funds own 87.96% of the company's stock.

Xylem Company Profile

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.

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.