Lumida
/XYL
⌘K
Xylem Inc

Xylem Inc

XYL
$106.96USD↑+0.38%+0.41 today

MARKET CAP

25.0B

P/E (TTM)

26.6x

FWD P/E

—

DAY RANGE

$106 – $109

52W RANGE

$105
$154

AI Summary

Stalk
TrimMedium

XYL is in a clear Stage 4 declining phase, trading below all major EMAs and the 200-day SMA, with a sequence of lower highs and lower lows intact. A recent Bearish Exhaustion pattern at the recent low points to potential seller fatigue and a relief bounce, but medium- and long-term bias remain bearish. Price is extreme oversold and extended below EMAs, so execution is best deferred until a bounce into the declining 9- and 20-day EMAs for a potential rejection. Trimming into such a relief rally offers the most structurally sound sell interaction.

  • ↑Q2 revenue $2.3B (+1% YoY) supported by $5.3B backlog.
  • ↑EBITDA margin rose 150 bps to 23.3% via productivity, pricing.
  • ↓Organic revenue growth guided to 2–3%, below historical pace.
Full analysis →

The case for & against

Bull & Bear analysis

Bearish

Xylem Inc. (NYSE: XYL) is a leading global water technology company focused on developing innovative solutions for water and wastewater management. The company operates across several segments, including measurement and control solutions, water infrastructure, and applied water, thereby addressing the critical challenges of water scarcity and quality in an increasingly water-sensitive world. Positioned at the forefront of technological advancements in water management, Xylem aims to meet growing demands for sustainable water solutions across various sectors, notably industrial markets influenced by the rise of AI and related technologies.

Bull says

  • ↑Q2 revenue $2.3B (+1% YoY) supported by $5.3B backlog.
  • ↑EBITDA margin rose 150 bps to 23.3% via productivity, pricing.
  • ↑Applied Water orders grew 9% organically; book-to-bill >1.
  • ↑Waterfleet acquisition expands mobile treatment and AI infrastructure wins.
  • ↑Institutional investors added $5.5M cash and 269K shares.
  • ↑High earnings yield and strong profitability factor support value.

Bear says

  • ↓Organic revenue growth guided to 2–3%, below historical pace.
  • ↓China revenue fell 27%, pressuring overall top-line growth.
  • ↓Tariff headwinds expected to compress margins via higher costs.
  • ↓Electric meter deployment delays hinder near-term revenue recognition.
  • ↓High short interest and weak earnings revision factors imply skepticism.
  • ↓Low dividend yield and poor quality factors deter income investors.

Investment themes with XYL

High Dividend Yield↓ -0.51%

Companies paying above-average dividends

AVGO · JPM · XOM

Earnings Call · Q2 2025 · Mgmt. Guidance

Updated 07-31-2026neutral

Transcript signals

Bull points

  • MCS sequentially improve and will improve in both quarters year over year, but sequentially improve for Q4.
  • Congress will appropriate money and get back to healthy SRF levels, even though there's been, you know, a lot of chatter about that not happening. So I think Congress will do that. And we should see SRF levels kind of back to kind of norms going forward.
  • I would say first, kind of our expectations for water meters have been right in line. You know, we said it'd be down in the first half and start to ramp in the second half. We see that, you know, with an exit rate back at kind of high single digits as we exit 2025 on the water side. On the energy side, yeah, there's significant growth driven by both gas and electric. I think the refresh cycle that you're talking about is kind of early stages and will evolve and be a big tailwind over the next couple of years.

Bear points

  • I'd say 50 to 100 basis points in that kind of ballpark.
  • there's a little bit of dilutive nature of the tariffs, right? It's not the incremental is on that. You know, we're not making a significant amount of money at somewhere between 10 and 25 basis points of pressure on our year over year EBITDA margin expansion in the back half.
  • we expect a slightly dilutive impact on margin.
Read full transcript analysis ›