Parnassus Investments LLC Lowers Position in Xylem Inc. $XYL

Parnassus Investments LLC lessened its holdings in Xylem Inc. (NYSE:XYL) by 7.8% during the fourth quarter, according to its most recent disclosure with the SEC. The institutional investor owned 445,104 shares of the industrial products company’s stock after selling 37,800 shares during the period. Parnassus Investments LLC owned 0.18% of Xylem worth $60,614,000 as of its most recent SEC filing.

A number of other institutional investors and hedge funds also recently made changes to their positions in the business. Vanguard Group Inc. raised its position in shares of Xylem by 0.5% in the fourth quarter. Vanguard Group Inc. now owns 30,054,743 shares of the industrial products company’s stock worth $4,092,855,000 after buying an additional 152,507 shares in the last quarter. State Street Corp raised its position in Xylem by 1.2% during the third quarter. State Street Corp now owns 10,953,206 shares of the industrial products company’s stock valued at $1,615,598,000 after purchasing an additional 133,173 shares in the last quarter. Geode Capital Management LLC raised its position in Xylem by 2.4% during 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 purchasing an additional 151,754 shares in the last quarter. Swedbank AB raised its position in Xylem by 6.0% during the fourth quarter. Swedbank AB now owns 5,507,966 shares of the industrial products company’s stock valued at $750,075,000 after purchasing an additional 310,213 shares in the last quarter. Finally, Northern Trust Corp raised its position in Xylem by 1.6% during the third quarter. Northern Trust Corp now owns 3,259,233 shares of the industrial products company’s stock valued at $480,737,000 after purchasing an additional 51,343 shares in the last quarter. Hedge funds and other institutional investors own 87.96% of the company’s stock.

Xylem Stock Up 1.7%

XYL opened at $108.97 on Friday. The company has a market cap of $25.90 billion, a P/E ratio of 27.11, a P/E/G ratio of 1.52 and a beta of 1.04. The business’s 50-day moving average price is $116.03 and its 200-day moving average price is $127.48. The company has a current ratio of 1.46, a quick ratio of 1.10 and a debt-to-equity ratio of 0.13. Xylem Inc. has a 12 month low of $105.29 and a 12 month high of $154.27.

Xylem (NYSE:XYL) last released its quarterly earnings data on Tuesday, April 28th. The industrial products company reported $1.12 EPS for the quarter, topping the consensus estimate of $1.09 by $0.03. The firm had revenue of $2.13 billion for the quarter, compared to the consensus estimate of $2.11 billion. Xylem had a return on equity of 11.26% and a net margin of 10.79%.The company’s quarterly revenue was up 2.7% on a year-over-year basis. During the same quarter in the previous year, the business earned $1.03 earnings per share. Xylem has set its FY 2026 guidance at 5.350-5.600 EPS. On average, equities analysts expect that Xylem Inc. will post 5.51 EPS for the current year.

Xylem Announces Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Thursday, June 25th. Stockholders of record on Thursday, May 28th will be issued a $0.43 dividend. The ex-dividend date is Thursday, May 28th. This represents a $1.72 annualized dividend and a dividend yield of 1.6%. Xylem’s payout ratio is currently 42.79%.

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

Wall Street Analysts Forecast Growth

A number of equities research analysts have weighed in on the company. Citigroup lowered their price target on Xylem from $174.00 to $168.00 and set a “buy” rating on the stock in a research report on Wednesday, April 29th. Jefferies Financial Group restated a “hold” rating and set a $130.00 price target (down from $140.00) on shares of Xylem in a research report on Tuesday, March 31st. Oppenheimer lowered their price target on Xylem from $160.00 to $158.00 and set an “outperform” rating on the stock in a research report on Wednesday, April 29th. Barclays lowered their price target on Xylem from $156.00 to $154.00 and set an “overweight” rating on the stock in a research report on Wednesday, April 29th. Finally, UBS Group raised their price target on Xylem from $132.00 to $133.00 and gave the company a “neutral” rating in a research report on Wednesday, April 29th. Seven research analysts have rated the stock with a Buy rating and six have issued a Hold rating to the company. Based on data from MarketBeat, the stock has a consensus rating of “Moderate Buy” and a consensus price target of $152.77.

Insider Activity

In related news, Director Jerome A. Peribere acquired 1,210 shares of the firm’s stock in a transaction dated Monday, May 4th. The shares were purchased at an average price of $116.61 per share, for a total transaction of $141,098.10. Following the completion of the acquisition, the director owned 27,209 shares in the company, valued at approximately $3,172,841.49. This represents a 4.65% increase in their ownership of the stock. The purchase was disclosed in a filing with the SEC, which is available at this link. Also, CAO Geri-Michelle Mcshane sold 4,269 shares of Xylem stock in a transaction dated Thursday, May 7th. The stock was sold at an average price of $117.46, for a total value of $501,436.74. Following the completion of the transaction, the chief accounting officer owned 3,605 shares in the company, valued at approximately $423,443.30. This represents a 54.22% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. 0.32% of the stock is currently owned by insiders.

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.