Traders Buy Large Volume of Call Options on Xylem (NYSE:XYL)

Xylem Inc. (NYSE:XYL) saw some unusual options trading on Thursday. Investors bought 19,255 call options on the company. This represents an increase of 1,138% compared to the typical volume of 1,555 call options.

Xylem Stock Performance

NYSE:XYL opened at $111.44 on Friday. The company has a debt-to-equity ratio of 0.23, a quick ratio of 1.24 and a current ratio of 1.61. Xylem has a fifty-two week low of $105.29 and a fifty-two week high of $154.27. The company has a 50 day simple moving average of $118.20 and a two-hundred day simple moving average of $118.87. The company has a market capitalization of $26.02 billion, a PE ratio of 26.53, a P/E/G ratio of 1.66 and a beta of 1.02.

Xylem (NYSE:XYL) last issued its quarterly 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. Xylem had a net margin of 11.15% and a return on equity of 11.77%. The firm had revenue of $2.34 billion for the quarter, compared to the consensus estimate of $2.34 billion. During the same quarter in the previous year, the company earned $1.26 EPS. The company’s revenue for the quarter was up 1.5% on a year-over-year basis. Xylem has set its FY 2026 guidance at 5.550-5.700 EPS. Research analysts anticipate that Xylem will post 5.66 earnings per share for the current year.

Xylem Announces Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Thursday, September 24th. Stockholders of record on Thursday, August 27th will be paid a $0.43 dividend. This represents a $1.72 dividend on an annualized basis and a dividend yield of 1.5%. The ex-dividend date of this dividend is Thursday, August 27th. Xylem’s payout ratio is currently 40.95%.

Institutional Investors Weigh In On Xylem

Several large investors have recently added to or reduced their stakes in XYL. Wexford Capital LP acquired a new stake in shares of Xylem during the 3rd quarter worth approximately $27,000. Commonwealth Retirement Investments LLC acquired a new position in shares of Xylem during the 4th quarter valued at $27,000. Dunhill Financial LLC acquired a new position in shares of Xylem during the 2nd quarter valued at $30,000. Avalon Trust Co bought a new position in Xylem during the second quarter worth $35,000. Finally, Orion Capital Management LLC bought a new position in Xylem during the second quarter worth $35,000. Institutional investors and hedge funds own 87.96% of the company’s stock.

Analyst Ratings Changes

A number of equities analysts have issued reports on XYL shares. Citigroup reaffirmed a “buy” rating on shares of Xylem in a report on Wednesday, July 29th. Robert W. Baird lifted their price target on Xylem from $163.00 to $165.00 and gave the company an “outperform” rating in a research note on Wednesday, July 29th. Royal Bank Of Canada upped their price objective on Xylem from $159.00 to $164.00 and gave the company an “outperform” rating in a research note on Wednesday, July 29th. Jefferies Financial Group raised their price objective on shares of Xylem from $145.00 to $150.00 and gave the company a “buy” rating in a report on Monday. Finally, Stifel Nicolaus lifted their target price on shares of Xylem from $157.00 to $160.00 and gave the stock a “buy” rating in a research report on Wednesday, July 29th. Nine investment analysts have rated the stock with a Buy rating and six have assigned a Hold rating to the stock. Based on data from MarketBeat.com, the stock has a consensus rating of “Moderate Buy” and a consensus price target of $155.00.

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.