Industrials · Industrial Machinery & Supplies & Components · US stock · price as of 16 Oct 2026
Key indicators
Price
$104.05
52-week range
$98.58 – $152.14
Market cap
$24.6B
P/E (trailing)
24.7×
EV / EBITDA
19.9×
Free-cash-flow yield
3.9%
Dividend yield
1.6%
Revenue (last 12 months)
$9.1B
Revenue growth (3y a year)
17.8%
Operating margin
14.5%
Return on invested capital
8.7%
Net debt / EBITDA
1.2×
Fair value
Blended fair value$124.59 range $120 – $131
Versus priceFair+20% to fair value
Peer multiples
$114.67
Fundamentals-adjusted multiple
$142.23
10-year DCF (market-scaled)
$116.88
Earnings power value (floor, not blended)
$32.75
Model uncertainty
Medium
X-Ray Score
56/ 100 · High confidence · ahead of 68% of sector peers
Valuation61
Growth80
Profitability32
Financial health56
Dividends61
Five-year price chart navy: price · brown: 200-day average · blue band: fair value range
Executive summary
Xylem provides technology for water, including pumps, treatment systems, meters, and software used to move, measure, treat and monitor water. Its customers are utilities, industrial companies and commercial and residential users. The company earns money from selling equipment, from replacement parts and services, and from digital solutions that help utilities reduce leaks and manage networks. Municipal budgets and industrial activity influence demand.
Over the latest twelve months the company reported revenue of $9.1 billion, and annual revenue rose by 17.8% on average across three years. Profitability at the operating level stands at 14.5%, and return on invested capital came to 9%. The company carries net debt of 1.2 times its EBITDA. A dividend is paid, with a yield of 1.6%.
StocksXray gives Xylem Inc. an X-Ray Score of 56 out of 100 (high confidence), ahead of 68% of the S&P 500 stocks in its sector. Its strongest lens is growth (80) and its weakest is profitability (32).
Our fair value blend is $124.59 (range $119.74 to $130.54). At $104.05 the stock trades 16% below that blend, so the label is "Fair" with medium model uncertainty. Fair value is a range, not a price target.
XStocksXray
Xylem Inc. (XYL)
Valuation history multiples at each fiscal year-end price; the last column uses today's price and the last twelve months
FY2021
FY2022
FY2023
FY2024
FY2025
Now
Price
$112.96
$105.51
$110.54
$113.38
$134.68
$104.05
Market cap
$20.5B
$19.1B
$24.1B
$27.6B
$32.9B
$24.6B
P/E
48.1×
53.8×
39.6×
31.1×
34.4×
24.7×
EV / revenue
4.2×
3.6×
3.5×
3.3×
3.7×
2.9×
EV / EBITDA
26.0×
23.4×
23.4×
18.2×
18.8×
19.9×
Price / free cash flow
62.1×
49.2×
42.6×
29.3×
36.1×
25.6×
Free-cash-flow yield
1.6%
2.0%
2.3%
3.4%
2.8%
3.9%
Price / book
6.4×
5.5×
2.4×
2.6×
2.9×
2.4×
Dividend yield
0.99%
1.14%
1.19%
1.27%
1.19%
1.62%
Fundamentals checklist ● 6 Good · ● 6 Average · ● 4 Bad · each check graded against the sector
Cash quality
Earnings backed by cash−1.6%Bad
Free-cash-flow yield3.9%Average
Risk models
Altman Z score3.5×Average
Piotroski F-Score5 of 9Bad
Growth
EPS growth (3y)26.0%Good
Free-cash-flow growth (3y)32.9%Good
Revenue growth (3y)17.8%Good
Growth consistency100%Good
Balance sheet
Current ratio1.6×Good
Net debt / EBITDA1.2×Average
Interest coverno interest costGood
Valuation
Fair value vs price1.2×Average
EBIT / EV yield5.0%Average
Profitability
Return on invested capital8.7%Bad
Operating margin14.5%Average
Gross profitability20.6%Bad
XStocksXray
Xylem Inc. (XYL)
Financials US$ millions, from SEC filings; last column is the last twelve months
Income statement
FY21
FY22
FY23
FY24
FY25
LTM
Revenue
5,195
5,522
7,364
8,562
9,035
9,126
Gross profit
1,975
2,084
2,717
3,212
3,475
3,581
Operating income
585
622
652
1,009
1,223
1,321
Net income
427
355
609
890
957
1,018
Diluted EPS ($)
2.35
1.96
2.79
3.65
3.92
4.21
Free cash flow
330
388
566
942
910
960
Gross margin
38.0%
37.7%
36.9%
37.5%
38.5%
39.2%
Operating margin
11.3%
11.3%
8.9%
11.8%
13.5%
14.5%
Net margin
8.2%
6.4%
8.3%
10.4%
10.6%
11.2%
Balance sheet
FY21
FY22
FY23
FY24
FY25
LTM
Total assets
8,276
7,952
16,112
16,493
17,634
17,342
Cash
1,349
944
1,019
1,121
1,479
1,276
Total debt
2,440
1,880
2,300
2,054
2,476
2,926
Equity
3,218
3,494
10,166
10,642
11,480
10,421
Dividend per share ($)
1.12
1.20
1.32
1.44
1.60
–
Revenue and net income US$ billions: navy revenue, teal net income
Margins blue gross, teal operating, brown net
Latest quarters
Mar 2025
Jun 2025
Sep 2025
Dec 2025
Mar 2026
Jun 2026
Revenue ($M)
2,069
2,301
2,268
2,397
2,125
2,336
Growth vs a year earlier
+1.8%
+6.1%
+7.8%
+6.3%
+2.7%
+1.5%
Net income ($M)
169
226
227
335
193
263
Diluted EPS ($)
0.69
0.93
0.93
–
0.79
1.11
XStocksXray
Xylem Inc. (XYL)
Peers in Industrial Machinery & Supplies & Components
Every number comes from SEC filings, end-of-day prices and the StocksXray models described on the methodology page. The X-Ray Score ranks each metric against the company's own sector. Fair value blends three models and carries a typical error of about 40%, so treat it as a range. Analyst ratings, price targets and earnings-call summaries are not part of this report. Educational research, not financial advice; read the disclaimer.