Redwood Grove Capital LLC Makes New Investment in Xylem Inc. $XYL

Redwood Grove Capital LLC bought a new position in Xylem Inc. (NYSE:XYL) in the 1st quarter, according to the company in its most recent filing with the SEC. The institutional investor bought 146,094 shares of the industrial products company’s stock, valued at approximately $17,458,000. Xylem makes up 5.6% of Redwood Grove Capital LLC’s portfolio, making the stock its 8th biggest holding.

Other institutional investors and hedge funds also recently made changes to their positions in the company. Callahan Advisors LLC bought a new position in shares of Xylem in the fourth quarter valued at approximately $1,721,000. Northwestern Mutual Wealth Management Co. increased its position in shares of Xylem by 2,309.7% during the fourth quarter. Northwestern Mutual Wealth Management Co. now owns 431,824 shares of the industrial products company’s stock valued at $54,314,000 after acquiring an additional 413,904 shares during the last quarter. Boston Common Asset Management LLC lifted its holdings in Xylem by 15.3% during the fourth quarter. Boston Common Asset Management LLC now owns 143,740 shares of the industrial products company’s stock worth $19,575,000 after acquiring an additional 19,073 shares during the period. Abacus Wealth Partners LLC bought a new stake in Xylem during the fourth quarter worth $1,663,000. Finally, Norges Bank purchased a new position in Xylem in the fourth quarter worth $361,012,000. Hedge funds and other institutional investors own 87.96% of the company’s stock.

Insider Activity at Xylem

In related news, CAO Geri-Michelle Mcshane sold 4,269 shares of the company’s stock in a transaction that occurred on Thursday, May 7th. The shares were sold at an average price of $117.46, for a total transaction of $501,436.74. Following the sale, the chief accounting officer directly owned 3,605 shares in the company, valued at approximately $423,443.30. This represents a 54.22% decrease in their position. The sale was disclosed in a filing with the SEC, which can be accessed through this hyperlink. Also, Director Jerome A. Peribere acquired 1,210 shares of the business’s stock in a transaction that occurred on Monday, May 4th. The stock was acquired at an average cost of $116.61 per share, with a total value of $141,098.10. Following the completion of the acquisition, the director owned 27,209 shares in the company, valued at $3,172,841.49. This trade represents a 4.65% increase in their position. The disclosure for this purchase is available in the SEC filing. Insiders own 0.32% of the company’s stock.

Analyst Upgrades and Downgrades

Several equities research analysts have recently issued reports on XYL shares. Oppenheimer decreased their target price on Xylem from $160.00 to $158.00 and set an “outperform” rating for the company in a research report on Wednesday, April 29th. UBS Group boosted their price target on shares of Xylem from $132.00 to $133.00 and gave the stock a “neutral” rating in a report on Wednesday, April 29th. JPMorgan Chase & Co. reduced their price target on shares of Xylem from $170.00 to $160.00 and set an “overweight” rating for the company in a research report on Thursday, April 16th. Weiss Ratings downgraded shares of Xylem from a “hold (c+)” rating to a “hold (c)” rating in a report on Friday, May 8th. Finally, Barclays lowered their price objective on shares of Xylem from $156.00 to $154.00 and set an “overweight” rating on the stock in a research report on Wednesday, April 29th. Eight research analysts have rated the stock with a Buy rating and six have given a Hold rating to the company’s stock. Based on data from MarketBeat, the stock presently has an average rating of “Moderate Buy” and a consensus price target of $153.15.

Xylem Stock Up 3.9%

Shares of NYSE XYL opened at $124.87 on Wednesday. Xylem Inc. has a one year low of $105.29 and a one year high of $154.27. 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 business’s fifty day moving average price is $114.64 and its 200-day moving average price is $122.45. The stock has a market capitalization of $29.68 billion, a PE ratio of 31.06, a P/E/G ratio of 1.71 and a beta of 1.03.

Xylem (NYSE:XYL) last announced its quarterly earnings data on Tuesday, July 28th. The industrial products company reported $1.46 earnings per share for the quarter, topping the consensus estimate of $1.34 by $0.12. Xylem had a return on equity of 11.26% and a net margin of 10.79%.The company had revenue of $2.34 billion during the quarter, compared to analyst estimates of $2.34 billion. During the same quarter last year, the firm posted $1.26 EPS. The firm’s revenue for the quarter was up 1.5% on a year-over-year basis. Xylem has set its FY 2026 guidance at 5.550-5.700 EPS. On average, equities research analysts anticipate that Xylem Inc. will post 5.52 EPS for the current year.

Xylem Announces Dividend

The firm also recently announced a quarterly dividend, which was paid on Thursday, June 25th. Shareholders of record on Thursday, May 28th were given a dividend of $0.43 per share. This represents a $1.72 dividend on an annualized basis and a yield of 1.4%. The ex-dividend date was Thursday, May 28th. Xylem’s dividend payout ratio (DPR) is currently 42.79%.

More Xylem News

Here are the key news stories impacting Xylem this week:

• Positive Sentiment: Adjusted second-quarter earnings were $1.46 per share, exceeding the $1.34 analyst consensus and rising from $1.26 a year earlier. Net income increased to $263 million from $226 million. Xylem Q2 Earnings and Revenues Top Estimates
• Positive Sentiment: Xylem raised its 2026 adjusted EPS guidance to $5.55-$5.70 from $5.35-$5.60, above the roughly $5.53 analyst estimate. Full-year revenue guidance was maintained at approximately $9.2 billion. Xylem raises annual profit forecast
• Positive Sentiment: Adjusted EBITDA margin expanded 150 basis points year over year to 23.3%, supported by productivity savings, price realization and favorable business mix. Orders surged 42% year over year on a reported basis, or 41% organically.
• Positive Sentiment: Management said AI infrastructure is increasing water-treatment and water-management demand across semiconductor manufacturing, power generation, mining, food and beverage, and life sciences. Xylem Reports Second Quarter 2026 Results
• Neutral Sentiment: Revenue totaled $2.336 billion, up about 1.5% year over year and broadly in line with expectations, indicating that the main upside came from profitability and orders rather than significant sales growth.
• Neutral Sentiment: Recent analyst price targets have a median of $158.50, suggesting potential upside, although institutional activity was mixed, with more reported position reductions than additions.

Xylem 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.