Xylem Inc.

NYSE:XYL Stock Report

Market Cap: US$28.1b

Xylem Dividends and Buybacks

Dividend criteria checks 5/6

Xylem is a dividend paying company with a current yield of 1.46% that is well covered by earnings.

Key information

1.5%

Dividend yield

2.0%

Buyback Yield

Total Shareholder Yield3.4%
Future Dividend Yield1.7%
Dividend Growth9.7%
Next dividend pay daten/a
Ex dividend daten/a
Dividend per sharen/a
Payout ratio40%

Recent dividend and buyback updates

Analysis Article Feb 13

Xylem's (NYSE:XYL) Upcoming Dividend Will Be Larger Than Last Year's

Xylem Inc. ( NYSE:XYL ) will increase its dividend from last year's comparable payment on the 24th of March to $0.43...

Recent updates

Narrative Update Jul 01

XYL: Utility Recurring Revenue And Water Partnerships Will Drive 2026 Upside

The updated Xylem analyst price target edges lower to about $182 from $186, as analysts balance a slightly higher discount rate with modestly adjusted assumptions around growth, margins, recurring utility driven revenue, and future P/E expectations. Analyst Commentary Recent Street research on Xylem paints a mixed picture, but there are clear pockets of optimism that focus on the company’s role across the water value chain, its margin profile, and the stability of utility driven demand.
Analysis Article Jun 21

Xylem (XYL) Stock Could Be 26% Undervalued After Dow And Moleaer Water Deals

Moleaer and Xylem (XYL) have agreed to roll out chemical free nanobubble water treatment across impaired lakes and waterways, connecting Xylem’s water quality monitoring with practical restoration projects for municipal and environmental clients. See our latest analysis for Xylem. Despite fresh agreements with Moleaer and Dow that underline Xylem’s focus on water reuse and treatment projects, the stock’s short-term momentum has cooled. The 90 day share price return is down 7.1% and the year...
Narrative Update Jun 16

XYL: Long-Term Water Partnership Expansion Will Support Future Returns

Analysts have trimmed their average price target on Xylem by several dollars, reflecting a period of broad target reductions from firms such as Stifel, Citi, Barclays, UBS, JPMorgan, Oppenheimer and Jefferies, while assumptions around discount rate, profit margin and future P/E have been modestly adjusted. Analyst Commentary Recent research on Xylem points to a more cautious stance overall, with several firms trimming price targets and, in some cases, ratings.
Narrative Update Jun 02

XYL: Essential Water Infrastructure Demand And Buybacks Will Support Future Returns

Xylem's analyst price target has been nudged down by about $2 to roughly $151. Analysts are factoring in slightly higher discount rates, modestly adjusted profit margin expectations, and a lower future P/E multiple, while still reflecting steady revenue growth assumptions.
Seeking Alpha May 24

Xylem: Turn Water Into Cash Flow

Summary Xylem offers a compelling, discounted entry into water technology, transitioning from hardware to high-margin, digital-first service solutions. XYL's growth is underpinned by federal infrastructure funding, recurring software revenues, and a robust 9.2% annual EPS growth consensus through 2028. Trading at a forward PE of 19.6, nearly two standard deviations below its 10-year average, XYL provides a margin of safety with strong dividend growth. Key risks include municipal budget constraints and regulatory headwinds, but XYL's efficiency solutions and recurring revenues mitigate these challenges for long-term investors. Read the full article on Seeking Alpha
Narrative Update Apr 29

XYL: Water Infrastructure Exposure And Buybacks Will Support Future Upside

Xylem's analyst price target has been revised lower by about $6 to reflect a reduced assumed future P/E multiple, while analysts keep their revenue growth and profit margin expectations relatively steady. Analyst Commentary Recent Street research on Xylem has centered on resetting price targets and ratings, with several firms revising targets lower and at least one downgrade.
Narrative Update Apr 14

XYL: Future Returns Will Rely On Execution As Market Scrutiny Increases

Analysts have lowered the Xylem price target by about $3, reflecting slightly reduced fair value estimates and P/E assumptions, even as they factor in modestly stronger revenue growth and profit margins. Analyst Commentary Recent Street commentary on Xylem has leaned cautious, with several Bearish analysts trimming price targets and rethinking how much they are willing to pay for the stock relative to current earnings.
Narrative Update Mar 30

XYL: Higher Fair Value Will Rely On 2026 Execution And Margins

The analyst fair value estimate for Xylem has moved from $164.00 to $186.00, reflecting analysts' updated view on margins and long term P/E assumptions following a wave of recent price target resets and a fresh bullish initiation. Analyst Commentary Recent Street research on Xylem has centered on resetting price targets while refining expectations for margins and long term P/E assumptions.
Narrative Update Mar 16

XYL: Water Infrastructure Demand And Buybacks Will Support Future Upside

The analyst price target for Xylem has been reduced by $13. This change reflects a series of recent target cuts across the Street as analysts factor in updated expectations for funding conditions and growth across the water technology sector.
Narrative Update Mar 02

XYL: Future Returns Will Depend On Execution And Evolving Funding Conditions

Narrative Update on Xylem We are trimming our analyst price target for Xylem by about $11 to reflect slightly lower modeled fair value, modestly softer revenue growth and profit margin assumptions, and a reduced future P/E that is in line with recent target cuts from multiple covering firms. Analyst Commentary Recent Street research on Xylem reflects a more cautious tone, with several bearish analysts reducing their price targets by a wide range of amounts.
Narrative Update Feb 16

XYL: Water Infrastructure Demand And Margin Gains Will Support Future Upside

Our updated narrative on Xylem reflects a lower fair value estimate of $158.41, with analysts generally trimming price targets as they factor in more tempered revenue growth expectations, a slightly higher discount rate, and a softer future P/E, partly balanced by modestly stronger projected profit margins. Analyst Commentary Recent Street research on Xylem has centered on recalibrated price targets, with several firms trimming their views and one initiating coverage with a constructive stance on the business.
Analysis Article Feb 13

Xylem's (NYSE:XYL) Upcoming Dividend Will Be Larger Than Last Year's

Xylem Inc. ( NYSE:XYL ) will increase its dividend from last year's comparable payment on the 24th of March to $0.43...
Narrative Update Feb 02

XYL: Steady Water Exposure Will Rely On Execution And Evolving Funding Dynamics

Analysts have made a modest trim to their price target on Xylem, reflecting a slightly lower fair value estimate of about $138 per share, alongside updated assumptions for revenue, profit margins, and future P/E, while still highlighting the company’s diversified water technology exposure. Analyst Commentary Recent Street research around Xylem offers a mixed picture, with some optimism on the long term water technology theme, but also a clear signal that expectations are being fine tuned.
Narrative Update Jan 19

XYL: Margin Execution And Funding Trends Will Shape Steady Water Exposure

Analysts have raised their price target on Xylem, with the updated fair value estimate moving from $116.00 to about $138.46 as they factor in research that points to steady growth expectations, improving profit margins and support from diversified water technology exposure. Analyst Commentary Recent Street research on Xylem reflects a mix of confidence and caution, with price targets clustered in a relatively tight range and ratings spanning from Neutral to Overweight.
Narrative Update Jan 05

XYL: Business Optimization And Data Center Demand Will Support Future Margin Strength

Analysts have nudged their targets on Xylem higher into a roughly $160 to $173 range, citing better than expected margin progress tied to business optimization efforts and expectations for solid data center related demand. This supports only minor tweaks to our valuation inputs and keeps our fair value estimate at about $167.41.
Analysis Article Jan 05

Is It Time To Consider Buying Xylem Inc. (NYSE:XYL)?

Let's talk about the popular Xylem Inc. ( NYSE:XYL ). The company's shares received a lot of attention from a...
Analysis Article Dec 23

Investors Appear Satisfied With Xylem Inc.'s (NYSE:XYL) Prospects

With a price-to-earnings (or "P/E") ratio of 35.7x Xylem Inc. ( NYSE:XYL ) may be sending very bearish signals at the...
Narrative Update Dec 22

XYL: Business Optimization Will Drive Future Margin Expansion And Data Center Demand

Our Xylem price target edges slightly lower to approximately $167.41 from $168.06, as analysts balance modestly softer long term growth assumptions against improving margin trajectories, highlighted in recent target increases to $160, $172, and $173. Analyst Commentary Recent Street research reflects a generally constructive stance on Xylem, with multiple upward revisions to price targets anchored in improving profitability and resilient end market drivers, particularly around digital and data centric water infrastructure demand.
Narrative Update Dec 08

XYL: Business Optimization Will Drive Future Margin Expansion And Demand Resilience

Xylem's updated analyst price target has inched higher, with fair value estimates rising by about $0.30 to $168.06 as analysts point to better than expected margin progression, ongoing business optimization, and resilient, cycle resistant water infrastructure demand that is supporting gradually higher future multiples. Analyst Commentary Recent Street research skews constructive on Xylem, with a series of price target increases reflecting stronger execution on margins and confidence in the durability of water infrastructure demand.
Narrative Update Nov 23

XYL: Business Optimization Will Drive Margin Expansion And Increased Demand Resilience

The analyst price target for Xylem has risen from approximately $163.24 to $167.76. This reflects analysts' recognition of the company's business optimization efforts and improved margin outlook in recent reports.
Narrative Update Nov 06

XYL: Margin Progression And Business Optimization Will Drive Resilient Share Performance

Xylem's analyst price target has risen from approximately $158.67 to $163.24 per share, as analysts cite steady margin improvements, continued business optimization, and resilient demand supporting their upbeat outlook. Analyst Commentary Recent Street research activity for Xylem reflects both increasing optimism regarding the company's execution and select areas of caution.
Narrative Update Oct 22

Analysts Grow Cautiously Optimistic on Xylem as Price Targets and Valuation Expectations Inch Higher

Xylem's analyst price target has increased slightly to $158.67 from $157.89. Analysts cite ongoing resilience, stable demand in water infrastructure, and positive momentum from simplification efforts supporting a constructive outlook, despite mixed trends across some market segments.
Narrative Update Oct 08

Smart Metering And Water Infrastructure Will Secure Lasting Value

Xylem's analyst price target has increased modestly by nearly $2 to $157.89. Analysts cite resilient sector demand, simplification momentum, and strong quarterly results as supporting factors for the new valuation.
Analysis Article Aug 01

Is Xylem Inc. (NYSE:XYL) Potentially Undervalued?

Let's talk about the popular Xylem Inc. ( NYSE:XYL ). The company's shares led the NYSE gainers with a relatively large...
Analysis Article Jul 16

Xylem (NYSE:XYL) Seems To Use Debt Rather Sparingly

Some say volatility, rather than debt, is the best way to think about risk as an investor, but Warren Buffett famously...
Seeking Alpha Apr 29

Xylem: An Undervalued Stock With Secular Tailwinds

Summary Xylem is now a $27 billion (by market cap) major player in water technology. To date, XYL increased its dividend for 15 consecutive years, with a 10-year dividend growth rate of 10.9%. With the payout ratio sitting at 43.8%, Xylem has plenty of dividend firepower in order to keep that low-double-digit dividend growth coming. Xylem advanced its revenue from $3.7 billion in FY 2015 to $8.6 billion in FY 2024, with a compound annual growth rate of 9.8%. Read the full article on Seeking Alpha
Seeking Alpha Mar 28

Xylem Inc.: Bubbling For Long-Term Growth

Summary Our assessment is that Xylem Inc. stock is a hold, but add it to a watch list for potential buy under $120 per share. We anticipate a FY'25 target price in the mid-to-high $140 range if the EPS hits $5.25 or higher; the stock enjoys momentum but is volatile. Steady growth with robust financials: increasing EPS, strong cash flow, low debt, and consistent dividend; minimal immediate risks, low short interest. The water infrastructure industry has tremendous growth potential. Xylem is well-positioned with improving margins, solid management, and positive earnings. Read the full article on Seeking Alpha
Seeking Alpha Jan 14

Xylem: A Strong Water Play Starts To Look More Compelling

Summary Xylem shares have pulled back 20% from 2024 highs due to high valuations, a slight correction in outlook, and rising interest rates. Despite the pullback, Xylem remains a solid operator in a well-positioned industry, with valuation multiples becoming more appealing on further dips. Xylem's growth is driven by acquisitions like Evoqua, complementing a sound positioning of the business itself, with sales doubling over a decade and margins improving. While earnings multiples are demanding, Xylem's strong balance sheet and focus on innovation and M&A justify premium valuations, making it attractive around the $100 mark. Read the full article on Seeking Alpha
Seeking Alpha Nov 04

Xylem: Healthy Dividend Growth With Strong Long-Term Tailwinds

Summary Xylem provides water technology solutions for commercial and residential customers. The company benefits from an extremely favorable supply-demand setup and its roster of products designed to help with these water-related issues. Already, Xylem has increased its dividend for 14 consecutive years. The 10-year dividend growth rate is 11%, which is strong. Xylem has a very solid financial position. The long-term debt/equity ratio is 0.2, while the interest coverage ratio is nearly 17. The stock is about fairly priced, but it is possibly 3% undervalued. Read the full article on Seeking Alpha
Seeking Alpha Sep 07

Xylem: Good Performance Likely To Be Fully Priced In

Summary Xylem has seen a 45% share price increase since November 2023, supported by strong financial results and the smooth integration of Evoqua Water Technologies. Despite strong Q2 results and raised guidance, headwinds include a decline in orders from China due to infrastructure project delays and demand softness in the US and Europe. High valuation ratios, including EV/EBITDA and price to sales are above the sector median, indicating that Xylem may be overvalued, and contributing to a 10% share price decline since May. Due to risks from infrastructure delays and shareholders excitement cooling off, I rate Xylem as Hold. Read the full article on Seeking Alpha
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New Narrative Aug 20

Evoqua Acquisition And MCS Expansion Propel Earnings And Revenue Surge

Xylem's strong market demand and the successful integration of Evoqua are improving revenue growth and net margins through operational efficiencies.

Stability and Growth of Payments

Fetching dividends data

Stable Dividend: XYL's dividends per share have been stable in the past 10 years.

Growing Dividend: XYL's dividend payments have increased over the past 10 years.


Dividend Yield vs Market

Xylem Dividend Yield vs Market
How does XYL dividend yield compare to the market?
SegmentDividend Yield
Company (XYL)1.5%
Market Bottom 25% (US)1.3%
Market Top 25% (US)4.1%
Industry Average (Machinery)1.0%
Analyst forecast (XYL) (up to 3 years)1.7%

Notable Dividend: XYL's dividend (1.46%) is higher than the bottom 25% of dividend payers in the US market (1.35%).

High Dividend: XYL's dividend (1.46%) is low compared to the top 25% of dividend payers in the US market (4.12%).


Earnings Payout to Shareholders

Earnings Coverage: With its reasonably low payout ratio (40.4%), XYL's dividend payments are well covered by earnings.


Cash Payout to Shareholders

Cash Flow Coverage: With its reasonably low cash payout ratio (44.1%), XYL's dividend payments are well covered by cash flows.


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Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2026/07/06 05:49
End of Day Share Price 2026/07/02 00:00
Earnings2026/03/31
Annual Earnings2025/12/31

Data Sources

The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.

PackageDataTimeframeExample US Source *
Company Financials10 years
  • Income statement
  • Cash flow statement
  • Balance sheet
Analyst Consensus Estimates+3 years
  • Forecast financials
  • Analyst price targets
Market Prices30 years
  • Stock prices
  • Dividends, Splits and Actions
Ownership10 years
  • Top shareholders
  • Insider trading
Management10 years
  • Leadership team
  • Board of directors
Key Developments10 years
  • Company announcements

* Example for US securities, for non-US equivalent regulatory forms and sources are used.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more.

Analysis Model and Snowflake

Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.

Learn about the world class team who designed and built the Simply Wall St analysis model.

Industry and Sector Metrics

Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on Github.

Analyst Sources

Xylem Inc. is covered by 37 analysts. 21 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
null nullArgus Research Company
Michael HalloranBaird
Scott DavisBarclays