Short Interest in Xylem Inc. (NYSE:XYL) Decreases By 16.5%

Xylem Inc. (NYSE:XYL) was the target of a large decrease in short interest in the month of March. As of March 13th, there was short interest totaling 4,037,620 shares, a decrease of 16.5% from the February 26th total of 4,836,020 shares. Based on an average daily volume of 1,875,202 shares, the days-to-cover ratio is presently 2.2 days. Approximately 1.7% of the shares of the stock are sold short.

Hedge Funds Weigh In On Xylem

Institutional investors and hedge funds have recently modified their holdings of the stock. J. Stern & Co. LLP lifted its position in Xylem by 12,326.6% in the fourth quarter. J. Stern & Co. LLP now owns 45,448,168 shares of the industrial products company’s stock worth $6,189,132,000 after buying an additional 45,082,435 shares during the last quarter. Vanguard Group Inc. increased its position in Xylem by 0.5% during the fourth quarter. Vanguard Group Inc. now owns 30,054,743 shares of the industrial products company’s stock valued at $4,092,855,000 after acquiring an additional 152,507 shares during the last quarter. State Street Corp increased its position in Xylem by 2.6% during the fourth quarter. State Street Corp now owns 11,233,427 shares of the industrial products company’s stock valued at $1,529,768,000 after acquiring an additional 280,221 shares during the last quarter. Geode Capital Management LLC raised its stake in shares of Xylem by 2.4% in the fourth quarter. Geode Capital Management LLC now owns 6,357,278 shares of the industrial products company’s stock valued at $862,364,000 after acquiring an additional 151,754 shares during the period. Finally, Amundi lifted its holdings in shares of Xylem by 17.0% in the 2nd quarter. Amundi now owns 5,714,576 shares of the industrial products company’s stock worth $730,717,000 after acquiring an additional 830,337 shares during the last quarter. Hedge funds and other institutional investors own 87.96% of the company’s stock.

Xylem Price Performance

NYSE:XYL traded up $2.35 during trading hours on Wednesday, reaching $121.85. The stock had a trading volume of 223,287 shares, compared to its average volume of 1,842,866. The stock has a market capitalization of $29.63 billion, a PE ratio of 31.06, a PEG ratio of 1.66 and a beta of 1.17. Xylem has a 52 week low of $100.47 and a 52 week high of $154.27. The company has a 50 day moving average price of $128.81 and a two-hundred day moving average price of $138.08. The company has a debt-to-equity ratio of 0.12, a quick ratio of 1.28 and a current ratio of 1.62.

Xylem (NYSE:XYL) last posted its earnings results on Tuesday, February 10th. The industrial products company reported $1.42 EPS for the quarter, meeting analysts’ consensus estimates of $1.42. Xylem had a return on equity of 11.11% and a net margin of 10.59%.During the same quarter in the prior year, the company posted $1.18 earnings per share. The firm’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. As a group, sell-side analysts anticipate that Xylem will post 4.65 earnings per share for the current fiscal year.

Xylem announced that its Board of Directors has authorized a stock buyback program on Wednesday, February 25th that authorizes the company to buyback $1.50 billion in outstanding shares. This buyback authorization authorizes the industrial products company to purchase up to 4.8% of its shares through open market purchases. Shares buyback programs are typically a sign that the company’s board of directors believes its stock is undervalued.

Xylem Increases Dividend

The firm also recently announced a quarterly dividend, which was paid on Tuesday, March 24th. Stockholders of record on Tuesday, February 24th were issued a $0.43 dividend. This is a boost from Xylem’s previous quarterly dividend of $0.40. The ex-dividend date was Tuesday, February 24th. This represents a $1.72 dividend on an annualized basis and a dividend yield of 1.4%. Xylem’s payout ratio is presently 43.88%.

Analyst Ratings Changes

A number of brokerages have issued reports on XYL. Jefferies Financial Group reaffirmed a “hold” rating and set a $130.00 price objective (down from $140.00) on shares of Xylem in a report on Tuesday. Mizuho set a $138.00 target price on shares of Xylem in a research note on Wednesday, February 11th. William Blair initiated coverage on shares of Xylem in a report on Monday, January 26th. They issued an “outperform” rating on the stock. UBS Group reiterated a “buy” rating and issued a $155.00 price target on shares of Xylem in a research note on Friday, February 13th. Finally, Oppenheimer set a $165.00 price objective on shares of Xylem in a report on Thursday, February 12th. Nine analysts have rated the stock with a Buy rating and five have given a Hold rating to the company. According to MarketBeat, Xylem currently has an average rating of “Moderate Buy” and a consensus price target of $155.92.

About Xylem

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.