Xylem (XYL)
Industrials · $25.1B market cap · SEC CIK 0001524472
fundamentals score out of 100
Next reports on Oct 26, 2026, before the open, with analysts expecting $1.47 in earnings per share.
The case for XYL
- Holds more cash ($1.5B) than long-term debt ($1.4B).
- Has compounded revenue at 13.1% a year over five years.
- Pays a modest 1.5% dividend.
The case against
- Down 24.9% over the past year.
- Growth is slowing: revenue up 4.5% this year against 13.1% a year over five.
- Near the bottom of its 52-week range, 30% below the high. Falling prices usually have a reason; find it first.
- Return on equity of 9% is lower than 93% of Industrials companies.
What the score is made of
Each factor is half a curve over reported figures and half a rank among the other Industrials companies (momentum is judged against fixed thresholds only), and the five are blended by weight. It describes the last filing and the current price. It is not a forecast.
| Valuewhat you pay for the earnings, sales, assets and cash | 63 |
|---|---|
| Growthhow fast revenue and earnings are moving, this year and over five | 66 |
| Profitabilityhow much of the revenue becomes profit, and how much of that is cash | 40 |
| Momentumhow the price has behaved lately | 22 |
| Stabilityhow violently it moves, what it owes and what it pays you | 73 |
- Each factor except momentum is half fixed thresholds, half rank among the 79 Industrials companies.
Key numbers
| Price / earnings | 24.7× |
|---|---|
| Price / book | 2.70× |
| Price / sales | 2.8× |
| Revenue growth (YoY) | +4.5% |
| EPS growth (YoY) | +9.3% |
| Gross margin | 39% |
| Operating margin | 14% |
| Net margin | 11% |
| Return on equity | 9% |
| Debt / equity | 0.28× |
| Current ratio | 1.61 |
| Dividend yield | 1.46% |
| Beta | 0.99 |
| 52-week range | $105.29 – $154.27 |
| Position in that range | 5% of the way up |
| 3-month return | -3.8% |
| 1-year return | -24.9% |
Five years of financials, as filed
Pulled from Xylem's XBRL filings on SEC EDGAR. Italic rows are derived from the rows above.
| FY2025 | FY2024 | FY2023 | FY2022 | FY2021 | |
|---|---|---|---|---|---|
| Revenue | $9.0B | $8.6B | $7.4B | $5.5B | $5.2B |
| Gross profit | $3.5B | $3.2B | $2.7B | $2.1B | $2.0B |
| Operating income | $1.2B | $1.0B | $652M | $622M | $585M |
| Net income | $957M | $890M | $609M | $355M | $427M |
| Operating cash flow | $1.2B | $1.3B | $837M | $596M | $538M |
| Capital expenditure | $331M | $321M | $271M | $208M | $208M |
| Total assets | $17.6B | $16.5B | $16.1B | $8.0B | $8.3B |
| Total liabilities | $5.9B | $5.6B | $5.9B | $4.4B | $5.0B |
| Shareholder equity | $11.5B | $10.6B | $10.2B | $3.5B | $3.2B |
| Cash | $1.5B | $1.1B | $1.0B | $944M | $1.3B |
| Long-term debt | $1.4B | $2.0B | $2.3B | $1.9B | $2.4B |
| Free cash flow | $910M | $942M | $566M | $388M | $330M |
| Gross margin | 38.5% | 37.5% | 36.9% | 37.7% | 38.0% |
| Operating margin | 13.5% | 11.8% | 8.9% | 11.3% | 11.3% |
| Net margin | 10.6% | 10.4% | 8.3% | 6.4% | 8.2% |
| Diluted shares | 244M | 244M | 218M | 181M | 182M |
Share count is up 34.4% over 4 years. Your slice has been diluted.
What Xylem says it does
Business Overview Xylem is a leading global water technology company with 2025 revenues of $9.0 billion and approximately 22,000 employees worldwide. We design, manufacture and service engineered products and solutions across a wide variety of critical applications, primarily in the water sector. Our broad portfolio of products, services and solutions addresses customer needs of scarcity, resilience, quality, and affordability across the water cycle, from the delivery, treatment, measurement and use of drinking water, to the collection, testing, analysis and treatment of wastewater, to the return of water to the environment. We have differentiated market positions in core applications including transport and dewatering, process water and wastewater treatment, analytics, smart metering, digital software solutions and comprehensive services. Setting us apart is a unique set of global assets that include: • Market-leading brands,…
Risk factors XYL lists in its 10-K
- Foreign Currency Exchange Rate Risk
- Opinion on the Financial Statements
- Internal Control — Integrated Framework (2013)
- Goodwill — Annual impairment test for one Reporting Unit within Water Solutions and Services Segment — Refer to Note 12 to the financial statements
- How the Critical Audit Matter Was Addressed in the Audit
- Redeemable non-controlling interest
- Total liabilities, redeemable non-controlling interest, and stockholders’ equity
- Effect of exchange rate changes on cash
- Cash classified within assets held for sale
- Cash and cash equivalents at end of year
- Supplemental disclosure of cash flow information
- Note 1. Summary of Significant Accounting Policies
- Receivables and Allowance for Credit Losses and Discounts
- Note 2. Recently Issued Accounting Pronouncements