Xylem Target of Unusually High Options Trading (NYSE:XYL)

Xylem Inc. (NYSE:XYL) was the recipient of some unusual options trading on Monday. Investors purchased 6,132 call options on the stock. This represents an increase of approximately 408% compared to the typical daily volume of 1,208 call options.

Analyst Upgrades and Downgrades

Several brokerages have recently commented on XYL. UBS Group lifted their target price on Xylem from $129.00 to $135.00 and gave the stock a “neutral” rating in a research report on Thursday, July 30th. JPMorgan Chase & Co. dropped their price target on Xylem from $170.00 to $160.00 and set an “overweight” rating on the stock in a research report on Thursday, April 16th. Barclays raised their price objective on Xylem from $154.00 to $159.00 and gave the stock an “overweight” rating in a research note on Wednesday, July 29th. Jefferies Financial Group raised shares of Xylem from a “hold” rating to a “buy” rating and lifted their price objective for the stock from $130.00 to $140.00 in a report on Thursday, June 25th. Finally, Citigroup reiterated a “buy” rating on shares of Xylem in a research note on Wednesday, July 29th. Nine 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.com, Xylem currently has a consensus rating of “Moderate Buy” and an average price target of $154.00.

Xylem Stock Performance

NYSE:XYL traded up $2.04 during midday trading on Monday, reaching $122.36. 266,597 shares of the company traded hands, compared to its average volume of 2,000,525. The firm has a market capitalization of $28.57 billion, a price-to-earnings ratio of 29.13, a price-to-earnings-growth ratio of 1.67 and a beta of 1.02. The company has a fifty day moving average price of $116.32 and a 200 day moving average price of $121.21. The company has a debt-to-equity ratio of 0.23, a current ratio of 1.61 and a quick ratio of 1.24. Xylem has a twelve month low of $105.29 and a twelve month high of $154.27.

Xylem (NYSE:XYL) last issued its earnings results 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. The firm had revenue of $2.34 billion for the quarter, compared to analyst estimates of $2.34 billion. Xylem had a return on equity of 11.77% and a net margin of 11.15%.The firm’s revenue for the quarter was up 1.5% on a year-over-year basis. During the same period last year, the company earned $1.26 earnings per share. Xylem has set its FY 2026 guidance at 5.550-5.700 EPS. On average, analysts expect that Xylem will post 5.67 EPS for the current fiscal year.

Xylem Announces Dividend

The company also recently disclosed a quarterly dividend, which was paid on Thursday, June 25th. Investors of record on Thursday, May 28th were issued 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 40.95%.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently bought and sold shares of the company. BOK Financial Private Wealth Inc. bought a new position in Xylem in the 2nd quarter worth about $1,164,000. Danica Pension Livsforsikringsaktieselskab bought a new stake in shares of Xylem during the second quarter valued at approximately $13,359,000. Wealthfront Advisers LLC acquired a new position in shares of Xylem during the second quarter worth approximately $2,772,000. Figure 8 Investment Strategies LLC bought a new position in Xylem in the 2nd quarter worth approximately $2,124,000. Finally, M. Kulyk & Associates LLC bought a new position in Xylem in the 2nd quarter worth approximately $6,942,000. 87.96% of the stock is owned by institutional investors and hedge funds.

Xylem Company 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.