XYL Stock Analysis: Xylem | NYSE
Specialty Industrial Machinery | NYSE, USA | Market Cap: 28.813m USD | 12M Return: -6.1% | Charts, Fundamentals & Technical Analysis
Avg Turnover: 227M
EPS Trend: 99.7%
Qual. Beats: 0
Rev. Trend: 89.3%
Qual. Beats: 0
Warnings
Tailwinds
Seasonality 10.5 years of data
How good or bad each month usually is (without trend). The score below shows how much you can trust it: 0 = pure chance, >40 gets interesting and >55 is strong.
Xylem Inc. (NYSE: XYL) is a U.S.-based industrial company that designs, manufactures, and services engineered water-related products and solutions for utility, industrial, and residential/commercial customers worldwide. Incorporated in 2011 (originally as ITT WCO, Inc.) and headquartered in Washington, D.C., the company completed its IPO in October 2011 and is classified within the Industrials sector (sub-industry: Industrial Machinery & Supplies & Components).
The business is organized into four segments-Water Infrastructure, Applied Water, Measurement and Control Solutions, and Water Solutions and Services. Its offering spans pumps and controls, filtration, disinfection and biological treatment equipment, heat exchangers, valves, and dispensing systems for water handling, as well as smart meters, network communications, sensors, data analytics, and cloud-based remote monitoring and asset management software.
Xylem markets these products under a broad brand portfolio, including Flygt, Wedeco, Wallace & Tiernan, Leopold, Goulds Water Technology, Bell & Gossett, Lowara, Jabsco, Sensus, YSI, and Xylem Vue. It also delivers preventative maintenance, mobile field services, environmental remediation, odor and corrosion control, and rental/dewatering services under brands such as Grindex, Mar Cor, and Godwin.
Sector context: Xylem operates in the global water technology and equipment industry, where long-term demand is shaped by population growth, urbanization, climate-related water stress, and the replacement of aging municipal water and wastewater infrastructure. The company serves both regulated utility customers and private industrial users, and sits within a competitive landscape that includes other diversified water technology and metering providers serving the same infrastructure-renewal and efficiency-driven end markets.
- Evoqua integration expands water treatment margins and recurring revenue
- US infrastructure bill funding boosts Water Infrastructure segment orders
- Smart metering adoption accelerates amid utility digitalization mandates
| Net Income: 973.0m TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.06 > 0.02 and ΔFCF/TA 0.33 > 1.0 |
| NWC/Revenue: 14.02% < 20% (prev 22.31%; Δ -8.29% < -1%) |
| CFO/TA 0.08 > 3% & CFO 1.32b > Net Income 973.0m |
| Net Debt (1.38b) to EBITDA (1.80b): 0.76 < 3 |
| Current Ratio: 1.46 > 1.5 & < 3 |
| Outstanding Shares: last quarter (243.4m) vs 12m ago -0.18% < -2% |
| Gross Margin: 38.61% > 18% (prev 37.54%; Δ 1.07% > 0.5%) |
| Asset Turnover: 54.25% > 50% (prev 51.92%; Δ 2.34% > 0%) |
| Interest Coverage Ratio: 49.32 > 6 (EBIT TTM 1.23b / Interest Expense TTM 25.0m) |
| A: 0.08 (Total Current Assets 4.03b - Total Current Liabilities 2.75b) / Total Assets 17.0b |
| B: 0.22 (Retained Earnings 3.79b / Total Assets 17.0b) |
| C: 0.07 (EBIT TTM 1.23b / Avg Total Assets 16.8b) |
| D: 1.92 (Book Value of Equity 11.0b / Total Liabilities 5.72b) |
| Altman-Z'' = 3.73 = AA |
| DSRI: 0.97 (Receivables 1.80b/1.74b, Revenue 9.09b/8.60b) |
| GMI: 0.97 (GM 37.54% / 38.61%) |
| AQI: 1.02 (AQ_t 0.69 / AQ_t-1 0.68) |
| SGI: 1.06 (Revenue 9.09b / 8.60b) |
| TATA: -0.02 (NI 973.0m - CFO 1.32b) / TA 17.0b) |
| Beneish M = -3.02 (Cap -4..+1) = AA |
As of July 18, 2026, the stock is trading at USD 122.78 with a total of 2,735,888 shares traded. Over the past week, the price has changed by +1.29%, over one month by +11.32%, over three months by +1.78% and over the past year by -6.11%.
Current recommended Stop Loss: 116.90 (which is 4.8% or 2.1 ATR below the current price).
Xylem has received a consensus analysts rating of 4.05. Therefore, it is recommended to buy XYL.
- StrongBuy: 9
- Buy: 5
- Hold: 8
- Sell: 0
- StrongSell: 0
| Analysts Target Price | 150.7 | 22.7% |
P/E Trailing = 30.1542
P/E Forward = 21.8341
P/S = 3.1694
P/B = 2.6261
P/EG = 1.7198
Revenue TTM = 9.09b USD
EBIT TTM = 1.23b USD
EBITDA TTM = 1.80b USD
Long Term Debt = 1.41b USD (from longTermDebt, last quarter)
Short Term Debt = 654.0m USD (from shortTermDebt, last quarter)
Debt = 2.18b USD (from shortLongTermDebtTotal, last quarter) + Leases 123.0m
Net Debt = 1.38b USD (calculated: Debt 2.18b - CCE 808.0m)
Enterprise Value = 30.2b USD (28.8b + Debt 2.18b - CCE 808.0m)
Interest Coverage Ratio = 49.32 (Ebit TTM 1.23b / Interest Expense TTM 25.0m)
EV/FCF = 31.25x (Enterprise Value 30.2b / FCF TTM 966.0m)
FCF Yield = 3.20% (FCF TTM 966.0m / Enterprise Value 30.2b)
FCF Margin = 10.63% (FCF TTM 966.0m / Revenue TTM 9.09b)
Net Margin = 10.70% (Net Income TTM 973.0m / Revenue TTM 9.09b)
Gross Margin = 38.61% ((Revenue TTM 9.09b - Cost of Revenue TTM 5.58b) / Revenue TTM)
Gross Margin QoQ = 37.79% (prev 38.88%)
Tobins Q-Ratio = 1.78 (Enterprise Value 30.2b / Total Assets 17.0b)
Interest Expense / Debt = 1.14% (Interest Expense 25.0m / Debt 2.18b)
Taxrate = 19.54% (236.0m / 1.21b)
NOPAT = 992.1m (EBIT 1.23b * (1 - 19.54%))
Current Ratio = 1.46 (Total Current Assets 4.03b / Total Current Liabilities 2.75b)
Debt / Equity = 0.20 (Debt 2.18b / totalStockholderEquity, last quarter 11.0b)
Debt / EBITDA = 0.76 (Net Debt 1.38b / EBITDA 1.80b)
Debt / FCF = 1.42 (Net Debt 1.38b / FCF TTM 966.0m)
Total Stockholder Equity = 11.2b (last 4 quarters mean from totalStockholderEquity)
RoA = 5.81% (Net Income 973.0m / Total Assets 17.0b)
RoE = 8.70% (Net Income TTM 973.0m / Total Stockholder Equity 11.2b)
RoCE = 9.79% (EBIT 1.23b / Capital Employed (Equity 11.2b + L.T.Debt 1.41b))
RoIC = 6.89% (NOPAT 992.1m / Invested Capital 14.4b)
WACC = 8.29% (E(28.8b)/V(31.0b) * Re(8.85%) + D(2.18b)/V(31.0b) * Rd(1.14%) * (1-Tc(0.20)))
Discount Rate = 8.85% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: 64.39 | Cagr: 0.34%
[DCF] Terminal Value 76.51% ; FCFF base≈935.2m ; Y1≈1.01b ; Y5≈1.22b
[DCF] Fair Price = 73.20 (EV 18.8b - Net Debt 1.38b = Equity 17.4b / Shares 237.7m; r=8.35% [WACC [floored]]; 5y FCF grow 8.66% → 2.50% )
EPS Correlation: 99.75 | EPS CAGR: 16.28% | SUE: 0.84 | # QB: 0
Revenue Correlation: 89.31 | Revenue CAGR: 13.36% | SUE: 0.31 | # QB: 0
EPS current Quarter (2026-06-30): EPS=1.34 | Chg30d=-0.06% | Revisions=-59% | Analysts=19
EPS next Quarter (2026-09-30): EPS=1.46 | Chg30d=+0.21% | Revisions=+19% | Analysts=18
EPS current Year (2026-12-31): EPS=5.54 | Chg30d=+0.17% | Revisions=+25% | GrowthEPS=+9.0% | GrowthRev=+2.4%
EPS next Year (2027-12-31): EPS=6.10 | Chg30d=+0.13% | Revisions=-25% | GrowthEPS=+10.1% | GrowthRev=+3.9%
[Analyst] Revisions Ratio: -22% (up=11, down=18)