Xylem Inc. (NYSE:XYL) Increases Dividend to $0.40 Per Share

Xylem Inc. (NYSE:XYL) announced a quarterly dividend on Wednesday, February 5th,Wall Street Journal reports. Shareholders of record on Tuesday, February 18th will be paid a dividend of 0.40 per share by the industrial products company on Wednesday, March 19th. This represents a $1.60 dividend on an annualized basis and a yield of 1.23%. The ex-dividend date of this dividend is Tuesday, February 18th. This is a boost from Xylem’s previous quarterly dividend of $0.36.

Xylem has raised its dividend by an average of 8.7% per year over the last three years. Xylem has a dividend payout ratio of 27.4% meaning its dividend is sufficiently covered by earnings. Equities research analysts expect Xylem to earn $4.66 per share next year, which means the company should continue to be able to cover its $1.44 annual dividend with an expected future payout ratio of 30.9%.

Xylem Trading Up 0.3 %

XYL traded up $0.38 during mid-day trading on Wednesday, hitting $129.62. The stock had a trading volume of 1,370,659 shares, compared to its average volume of 1,314,096. The firm has a market capitalization of $31.49 billion, a price-to-earnings ratio of 37.90, a price-to-earnings-growth ratio of 2.11 and a beta of 1.07. The company has a debt-to-equity ratio of 0.19, a current ratio of 1.96 and a quick ratio of 1.42. Xylem has a 1-year low of $113.26 and a 1-year high of $146.08. The stock’s fifty day simple moving average is $120.66 and its 200-day simple moving average is $127.57.

Xylem (NYSE:XYL) last issued its quarterly earnings results on Tuesday, February 4th. The industrial products company reported $1.18 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $1.12 by $0.06. Xylem had a return on equity of 9.61% and a net margin of 9.85%. The business had revenue of $2.30 billion for the quarter, compared to the consensus estimate of $2.18 billion. During the same quarter in the prior year, the business posted $0.99 earnings per share. The firm’s quarterly revenue was up 8.6% compared to the same quarter last year. As a group, research analysts forecast that Xylem will post 4.22 EPS for the current fiscal year.

Analysts Set New Price Targets

A number of research firms recently commented on XYL. TD Cowen lowered their price target on Xylem from $138.00 to $125.00 and set a “hold” rating for the company in a research report on Wednesday, November 6th. Royal Bank of Canada decreased their target price on Xylem from $163.00 to $162.00 and set an “outperform” rating on the stock in a research note on Friday, November 1st. Robert W. Baird increased their price target on shares of Xylem from $139.00 to $148.00 and gave the company an “outperform” rating in a research report on Wednesday. Stifel Nicolaus cut their price target on shares of Xylem from $166.00 to $150.00 and set a “buy” rating on the stock in a report on Friday, January 24th. Finally, Wolfe Research restated a “peer perform” rating on shares of Xylem in a research note on Thursday, December 12th. Three analysts have rated the stock with a hold rating and eight have given a buy rating to the company. Based on data from MarketBeat, the company has a consensus rating of “Moderate Buy” and an average price target of $149.90.

About Xylem

Xylem Inc, together with its subsidiaries, engages in the design, manufacture, and servicing of engineered products and solutions worldwide. It operates through four segments: Water Infrastructure, Applied Water, Measurement & Control Solutions, and Integrated Solutions and Services. The Water Infrastructure segment offers products, including water, storm water, and wastewater pumps; controls and systems; filtration, disinfection, and biological treatment equipment; and mobile dewatering equipment and rental services under the ADI, Flygt, Godwin, Sanitaire, Magneto, Neptune Benson, Ionpure, Leopold, Wedeco, and Xylem Vue brands.