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

Xylem Inc. (NYSE:XYL) saw unusually large options trading on Friday. Investors purchased 3,809 call options on the stock. This is an increase of approximately 250% compared to the average volume of 1,087 call options.

Xylem Stock Performance

Shares of Xylem stock opened at $122.96 on Friday. The company has a market capitalization of $29.23 billion, a PE ratio of 30.59, a P/E/G ratio of 1.75 and a beta of 1.03. The company has a 50-day simple moving average of $113.23 and a two-hundred day simple moving average of $123.48. Xylem has a one year low of $105.29 and a one year high of $154.27. The company has a debt-to-equity ratio of 0.13, a quick ratio of 1.10 and a current ratio of 1.46.

Xylem (NYSE:XYL) last released its quarterly earnings results on Tuesday, April 28th. The industrial products company reported $1.12 earnings per share for the quarter, beating analysts’ consensus estimates of $1.09 by $0.03. The business had revenue of $2.12 billion for the quarter, compared to analysts’ expectations of $2.11 billion. Xylem had a net margin of 10.79% and a return on equity of 11.26%. The company’s revenue was up 2.7% compared to the same quarter last year. During the same period last year, the business earned $1.03 EPS. Xylem has set its FY 2026 guidance at 5.350-5.600 EPS. Research analysts expect that Xylem will post 5.51 EPS for the current fiscal year.

Xylem Announces Dividend

The company also recently announced 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 annualized dividend and a yield of 1.4%. The ex-dividend date was Thursday, May 28th. Xylem’s dividend payout ratio (DPR) is 42.79%.

Analysts Set New Price Targets

XYL has been the topic of a number of research reports. Citigroup cut their target price on shares of Xylem from $174.00 to $168.00 and set a “buy” rating on the stock in a research report on Wednesday, April 29th. Stifel Nicolaus lowered their price target on shares of Xylem from $163.00 to $159.00 and set a “buy” rating for the company in a research report on Wednesday, April 29th. Weiss Ratings downgraded shares of Xylem from a “hold (c+)” rating to a “hold (c)” rating in a research note on Friday, May 8th. JPMorgan Chase & Co. cut their price objective on shares of Xylem from $170.00 to $160.00 and set an “overweight” rating on the stock in a report on Thursday, April 16th. Finally, Barclays lowered their target price on Xylem from $156.00 to $154.00 and set an “overweight” rating for the company in a report on Wednesday, April 29th. Eight analysts have rated the stock with a Buy rating and six have issued a Hold rating to the company’s stock. According to data from MarketBeat, the stock currently has a consensus rating of “Moderate Buy” and an average price target of $153.31.

Insider Buying and Selling at Xylem

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

Hedge Funds Weigh In On Xylem

Large investors have recently made changes to their positions in the business. Tema ETFs LLC lifted its holdings in shares of Xylem by 8.6% during the 2nd quarter. Tema ETFs LLC now owns 3,663 shares of the industrial products company’s stock valued at $433,000 after purchasing an additional 290 shares during the last quarter. Dudley & Shanley Inc. grew its stake in Xylem by 124.0% during the 2nd quarter. Dudley & Shanley Inc. now owns 181,050 shares of the industrial products company’s stock worth $21,402,000 after buying an additional 100,220 shares during the last quarter. Norman Fields Gottscho Capital Management LLC grew its stake in Xylem by 87.6% during the 2nd quarter. Norman Fields Gottscho Capital Management LLC now owns 4,370 shares of the industrial products company’s stock worth $517,000 after buying an additional 2,040 shares during the last quarter. Thurston Springer Miller Herd & Titak Inc. increased its position in Xylem by 6.0% during the 2nd quarter. Thurston Springer Miller Herd & Titak Inc. now owns 4,202 shares of the industrial products company’s stock valued at $497,000 after buying an additional 239 shares in the last quarter. Finally, Czech National Bank raised its stake in Xylem by 2.0% in the second quarter. Czech National Bank now owns 67,657 shares of the industrial products company’s stock valued at $7,998,000 after buying an additional 1,314 shares during the last quarter. 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.