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

Redwood Grove Capital LLC acquired a new position in Xylem Inc. (NYSE:XYL) in the 1st quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission. The firm acquired 146,094 shares of the industrial products company’s stock, valued at approximately $17,458,000. Xylem makes up approximately 5.6% of Redwood Grove Capital LLC’s portfolio, making the stock its 8th largest position. Redwood Grove Capital LLC owned approximately 0.06% of Xylem as of its most recent filing with the Securities and Exchange Commission.

Other hedge funds and other institutional investors also recently made changes to their positions in the company. J. Stern & Co. LLP grew its stake in Xylem by 12,326.6% during 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 purchasing an additional 45,082,435 shares during the period. Vanguard Group Inc. lifted its stake in Xylem by 0.5% in 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 buying an additional 152,507 shares during the period. State Street Corp boosted its holdings in shares of Xylem by 2.6% during the 4th quarter. State Street Corp now owns 11,233,427 shares of the industrial products company’s stock worth $1,529,768,000 after buying an additional 280,221 shares in the last quarter. Geode Capital Management LLC boosted its holdings in shares of Xylem by 2.4% during the 4th quarter. Geode Capital Management LLC now owns 6,357,278 shares of the industrial products company’s stock worth $862,364,000 after buying an additional 151,754 shares in the last quarter. Finally, Swedbank AB grew its position in shares of Xylem by 0.3% during the 1st quarter. Swedbank AB now owns 5,526,725 shares of the industrial products company’s stock worth $660,444,000 after buying an additional 18,759 shares during the period. 87.96% of the stock is owned by institutional investors and hedge funds.

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.

Insider Transactions at Xylem

In other Xylem news, Director Jerome A. Peribere bought 1,210 shares of the stock in a transaction that occurred on Monday, May 4th. The shares were bought at an average price of $116.61 per share, for a total transaction of $141,098.10. Following the acquisition, the director directly owned 27,209 shares of the company’s stock, valued at approximately $3,172,841.49. The trade was a 4.65% increase in their position. The acquisition was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, CAO Geri-Michelle Mcshane sold 4,269 shares of the firm’s stock in a transaction dated Thursday, May 7th. The shares were sold at an average price of $117.46, for a total transaction of $501,436.74. Following the completion of the transaction, the chief accounting officer directly owned 3,605 shares in the company, valued at approximately $423,443.30. The trade was a 54.22% decrease in their position. The SEC filing for this sale provides additional information. 0.32% of the stock is owned by company insiders.

Analyst Ratings Changes

Several research firms have recently weighed in on XYL. Royal Bank Of Canada lifted their price objective on shares of Xylem from $157.00 to $159.00 and gave the company an “outperform” rating in a research note on Thursday, July 16th. Stifel Nicolaus reduced their price target on shares of Xylem from $159.00 to $157.00 and set a “buy” rating for the company in a report on Monday, July 20th. CLSA upgraded shares of Xylem to a “hold” rating in a report on Thursday, June 25th. JPMorgan Chase & Co. decreased their price target on shares of Xylem from $170.00 to $160.00 and set an “overweight” rating for the company in a research note on Thursday, April 16th. Finally, UBS Group upped their price objective on shares of Xylem from $132.00 to $133.00 and gave the company a “neutral” rating in a report on Wednesday, April 29th. Eight research analysts have rated the stock with a Buy rating and six have issued a Hold rating to the company’s stock. Based on data from MarketBeat.com, the company currently has an average rating of “Moderate Buy” and an average target price of $153.15.

Xylem Price Performance

Shares of NYSE:XYL opened at $124.87 on Wednesday. The company has a quick ratio of 1.10, a current ratio of 1.46 and a debt-to-equity ratio of 0.13. Xylem Inc. has a twelve month low of $105.29 and a twelve month high of $154.27. The stock’s 50 day moving average is $114.64 and its 200-day moving average is $122.45. The firm has a market capitalization of $29.68 billion, a price-to-earnings ratio of 31.06, a PEG ratio of 1.71 and a beta of 1.03.

Xylem (NYSE:XYL) last issued its earnings results on Tuesday, July 28th. The industrial products company reported $1.46 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $1.34 by $0.12. The company had revenue of $2.34 billion for the quarter, compared to analysts’ expectations of $2.34 billion. Xylem had a return on equity of 11.26% and a net margin of 10.79%.Xylem’s quarterly revenue was up 1.5% compared to the same quarter last year. During the same period last year, the business earned $1.26 EPS. Xylem has set its FY 2026 guidance at 5.550-5.700 EPS. Sell-side analysts forecast that Xylem Inc. will post 5.52 EPS for the current fiscal year.

Xylem Dividend Announcement

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

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.