Xylem (NYSE:XYL) Price Target Cut to $162.00 by Analysts at Royal Bank Of Canada

Xylem (NYSE:XYL) had its price target trimmed by Royal Bank Of Canada from $176.00 to $162.00 in a report issued on Wednesday morning,Benzinga reports. The brokerage currently has an outperform rating on the industrial products company’s stock.

XYL has been the subject of a number of other research reports. Robert W. Baird set a $161.00 price objective on Xylem in a research note on Wednesday. Zacks Research downgraded Xylem from a “strong-buy” rating to a “hold” rating in a research note on Tuesday, November 18th. Weiss Ratings restated a “buy (b-)” rating on shares of Xylem in a research note on Monday, December 29th. Argus set a $170.00 target price on Xylem in a report on Wednesday, October 29th. Finally, Citigroup decreased their target price on shares of Xylem from $182.00 to $174.00 and set a “buy” rating for the company in a research note on Wednesday. Nine investment analysts have rated the stock with a Buy rating and four have given a Hold rating to the stock. According to data from MarketBeat, the stock has a consensus rating of “Moderate Buy” and a consensus price target of $159.75.

Xylem Price Performance

Xylem stock traded up $0.64 during mid-day trading on Wednesday, hitting $127.41. 951,861 shares of the company were exchanged, compared to its average volume of 1,663,848. The company has a debt-to-equity ratio of 0.12, a current ratio of 1.62 and a quick ratio of 1.50. Xylem has a 12-month low of $100.47 and a 12-month high of $154.27. The business’s 50 day simple moving average is $138.99 and its two-hundred day simple moving average is $142.11. The company has a market capitalization of $31.02 billion, a P/E ratio of 32.50, a PEG ratio of 1.84 and a beta of 1.17.

Xylem (NYSE:XYL) last released its quarterly earnings data on Tuesday, February 10th. The industrial products company reported $1.42 EPS for the quarter, hitting analysts’ consensus estimates of $1.42. Xylem had a return on equity of 11.11% and a net margin of 10.59%.The company had revenue of $2.40 billion for the quarter, compared to the consensus estimate of $2.37 billion. During the same period last year, the business posted $1.18 EPS. The company’s quarterly revenue was up 6.3% compared to the same quarter last year. Xylem has set its FY 2026 guidance at 5.350-5.560 EPS. Analysts forecast that Xylem will post 4.65 earnings per share for the current fiscal year.

Xylem Increases Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Tuesday, March 24th. Shareholders of record on Tuesday, February 24th will be issued a dividend of $0.43 per share. The ex-dividend date of this dividend is Tuesday, February 24th. This represents a $1.72 annualized dividend and a yield of 1.3%. This is an increase from Xylem’s previous quarterly dividend of $0.40. Xylem’s dividend payout ratio (DPR) is presently 41.13%.

Institutional Investors Weigh In On Xylem

Several large investors have recently made changes to their positions in XYL. Impax Asset Management Group plc grew its holdings in shares of Xylem by 13.7% during the second quarter. Impax Asset Management Group plc now owns 5,499,688 shares of the industrial products company’s stock worth $709,183,000 after purchasing an additional 663,191 shares in the last quarter. Ferguson Wellman Capital Management Inc. purchased a new stake in Xylem during the 3rd quarter valued at about $1,148,000. Vanguard Personalized Indexing Management LLC increased its stake in shares of Xylem by 19.0% in the third quarter. Vanguard Personalized Indexing Management LLC now owns 56,216 shares of the industrial products company’s stock worth $8,292,000 after buying an additional 8,960 shares during the period. XXEC Inc. raised its stake in shares of Xylem by 66.0% during the second quarter. XXEC Inc. now owns 33,698 shares of the industrial products company’s stock valued at $4,359,000 after acquiring an additional 13,404 shares during the last quarter. Finally, Covea Finance raised its stake in shares of Xylem by 25.5% during the third quarter. Covea Finance now owns 231,547 shares of the industrial products company’s stock valued at $34,153,000 after acquiring an additional 47,000 shares during the last quarter. Institutional investors own 87.96% of the company’s stock.

Key Stories Impacting Xylem

Here are the key news stories impacting Xylem this week:

• Positive Sentiment: Raised dividend and shareholder return — Xylem declared a quarterly dividend of $0.43 (7.5% increase), reinforcing cash flow and shareholder returns which is supportive for the stock.
• Positive Sentiment: Operational momentum in Measurement & Control — Analysts (e.g., William Blair) highlighted continued strength in Measurement & Control and kept a Buy stance, citing business momentum that could underpin longer?term growth. Xylem: Strong Measurement & Control Momentum and Conservative 2026 Outlook Underpin Buy Rating
• Neutral Sentiment: 2026 revenue guidance set — Management outlined revenue guidance of $9.1B–$9.2B for 2026 with an emphasis on margin expansion via portfolio simplification; the range provides a framework but is conservative relative to some street expectations. Xylem outlines 2026 revenue guidance of $9.1B–$9.2B
• Neutral Sentiment: Quarterly results mixed — Company reported a strong revenue print/record 2025 results and issued FY 2026 EPS guidance (management range noted elsewhere), but transcripts show some variance in EPS beats/misses across sources — investors should focus on management’s guidance and margin commentary. Xylem Inc. 2025 Q4 – Results – Earnings Call Presentation
• Negative Sentiment: Cautious 2026 outlook drove a sharp selloff — The conservative tone in the full?year outlook prompted a large intraday decline (reports noted a ~9% drop), as investors repriced future growth/earnings assumptions. Xylem (XYL) Is Down 9.3% After Cautious 2026 Guidance Despite Record 2025 Results And Dividend Hike
• Negative Sentiment: Analysts trimmed forecasts and price targets — Multiple brokers lowered earnings forecasts and cut price targets (e.g., RBC $176?$162, Barclays $166?$156), reflecting the more conservative outlook and reducing near?term upside expectations. Xylem Analysts Lower Their Forecasts After Q4 Results
• Negative Sentiment: Short interest rose ahead of the print — Short interest jumped ~47% in January, increasing potential downside pressure and volatility around quarterly news and guidance.
• Negative Sentiment: Mixed signals on EPS — Some transcripts and newsfeeds indicate an EPS miss versus consensus in Q4, which, combined with cautious guidance, amplified investor concern about near?term growth. Xylem Inc. (XYL) Q4 2025 Earnings Call Transcript

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.