XYLEM INC (XY6.DE) Stock Fundamental Analysis
FRA:XY6 - Deutsche Boerse Ag - US98419M1009 - Common Stock - Currency: EUR
Overall XY6 gets a fundamental rating of 5 out of 10. We evaluated XY6 against 109 industry peers in the Machinery industry. While XY6 has a great health rating, its profitability is only average at the moment. While showing a medium growth rate, XY6 is valued expensive at the moment.
1. Profitability
1.1 Basic Checks
XY6 had positive earnings in the past year.
XY6 had a positive operating cash flow in the past year.
In the past 5 years XY6 has always been profitable.
Each year in the past 5 years XY6 had a positive operating cash flow.
1.2 Ratios
XY6 has a Return On Assets of 5.47%. This is in the better half of the industry: XY6 outperforms 74.31% of its industry peers.
XY6 has a Return On Equity (8.38%) which is in line with its industry peers.
XY6 has a Return On Invested Capital of 5.40%. This is comparable to the rest of the industry: XY6 outperforms 50.46% of its industry peers.
XY6 had an Average Return On Invested Capital over the past 3 years of 5.50%. This is below the industry average of 8.05%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.47% | ||
| ROE | 8.38% | ||
| ROIC | 5.4% |
ROA(3y)4.55%
ROA(5y)4.34%
ROE(3y)8.17%
ROE(5y)9.27%
ROIC(3y)5.5%
ROIC(5y)5.55%
1.3 Margins
Looking at the Profit Margin, with a value of 10.54%, XY6 belongs to the top of the industry, outperforming 90.83% of the companies in the same industry.
In the last couple of years the Profit Margin of XY6 has grown nicely.
XY6's Operating Margin of 12.84% is amongst the best of the industry. XY6 outperforms 88.07% of its industry peers.
XY6's Operating Margin has been stable in the last couple of years.
XY6 has a Gross Margin (37.54%) which is in line with its industry peers.
XY6's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 12.84% | ||
| PM (TTM) | 10.54% | ||
| GM | 37.54% |
OM growth 3Y3.16%
OM growth 5Y-1.19%
PM growth 3Y8.14%
PM growth 5Y6.35%
GM growth 3Y-0.44%
GM growth 5Y-0.76%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), XY6 is destroying value.
Compared to 1 year ago, XY6 has more shares outstanding
The number of shares outstanding for XY6 has been increased compared to 5 years ago.
XY6 has a better debt/assets ratio than last year.
2.2 Solvency
XY6 has an Altman-Z score of 4.36. This indicates that XY6 is financially healthy and has little risk of bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 4.36, XY6 belongs to the top of the industry, outperforming 90.83% of the companies in the same industry.
The Debt to FCF ratio of XY6 is 2.27, which is a good value as it means it would take XY6, 2.27 years of fcf income to pay off all of its debts.
With an excellent Debt to FCF ratio value of 2.27, XY6 belongs to the best of the industry, outperforming 80.73% of the companies in the same industry.
XY6 has a Debt/Equity ratio of 0.18. This is a healthy value indicating a solid balance between debt and equity.
Looking at the Debt to Equity ratio, with a value of 0.18, XY6 is in the better half of the industry, outperforming 71.56% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.18 | ||
| Debt/FCF | 2.27 | ||
| Altman-Z | 4.36 |
ROIC/WACC0.56
WACC9.56%
2.3 Liquidity
XY6 has a Current Ratio of 1.89. This is a normal value and indicates that XY6 is financially healthy and should not expect problems in meeting its short term obligations.
With a decent Current ratio value of 1.89, XY6 is doing good in the industry, outperforming 66.06% of the companies in the same industry.
A Quick Ratio of 1.41 indicates that XY6 should not have too much problems paying its short term obligations.
Looking at the Quick ratio, with a value of 1.41, XY6 is in the better half of the industry, outperforming 77.06% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.89 | ||
| Quick Ratio | 1.41 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 14.25% over the past year.
The Earnings Per Share has been growing slightly by 7.22% on average over the past years.
The Revenue has grown by 8.16% in the past year. This is quite good.
The Revenue has been growing by 10.28% on average over the past years. This is quite good.
EPS 1Y (TTM)14.25%
EPS 3Y19.95%
EPS 5Y7.22%
EPS Q2Q%14.44%
Revenue 1Y (TTM)8.16%
Revenue growth 3Y18.12%
Revenue growth 5Y10.28%
Sales Q2Q%1.77%
3.2 Future
XY6 is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 9.53% yearly.
XY6 is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 5.47% yearly.
EPS Next Y8.89%
EPS Next 2Y10.47%
EPS Next 3Y10.18%
EPS Next 5Y9.53%
Revenue Next Year3.01%
Revenue Next 2Y3.94%
Revenue Next 3Y4.59%
Revenue Next 5Y5.47%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 28.60, XY6 can be considered very expensive at the moment.
XY6's Price/Earnings ratio is in line with the industry average.
When comparing the Price/Earnings ratio of XY6 to the average of the S&P500 Index (26.29), we can say XY6 is valued inline with the index average.
The Price/Forward Earnings ratio is 24.15, which indicates a rather expensive current valuation of XY6.
69.72% of the companies in the same industry are cheaper than XY6, based on the Price/Forward Earnings ratio.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.17, XY6 is valued at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 28.6 | ||
| Fwd PE | 24.15 |
4.2 Price Multiples
71.56% of the companies in the same industry are cheaper than XY6, based on the Enterprise Value to EBITDA ratio.
Based on the Price/Free Cash Flow ratio, XY6 is valued a bit more expensive than the industry average as 61.47% of the companies are valued more cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 34.53 | ||
| EV/EBITDA | 18.88 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates XY6 does not grow enough to justify the current Price/Earnings ratio.
The decent profitability rating of XY6 may justify a higher PE ratio.
PEG (NY)3.22
PEG (5Y)3.96
EPS Next 2Y10.47%
EPS Next 3Y10.18%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 1.27%, XY6 has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 2.75, XY6 has a dividend in line with its industry peers.
With a Dividend Yield of 1.27, XY6 pays less dividend than the S&P500 average, which is at 2.38.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.27% |
5.2 History
The dividend of XY6 is nicely growing with an annual growth rate of 8.34%!
Dividend Growth(5Y)8.34%
Div Incr Years4
Div Non Decr Years4
5.3 Sustainability
39.74% of the earnings are spent on dividend by XY6. This is a low number and sustainable payout ratio.
XY6's earnings are growing around the same pace than its dividend. As long as the earnings growth is kept the dividend growth is sustainable.
DP39.74%
EPS Next 2Y10.47%
EPS Next 3Y10.18%
FRA:XY6 (5/30/2025, 7:00:00 PM)
111.25
+1.05 (+0.95%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryMachinery
Earnings (Last)
Earnings (Next)
Inst Owners96.3%
Inst Owner ChangeN/A
Ins Owners0.23%
Ins Owner ChangeN/A
Market Cap27.07B
Analysts80
Price Target126.34 (13.56%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.27% |
Yearly Dividend1.27
Dividend Growth(5Y)8.34%
DP39.74%
Div Incr Years4
Div Non Decr Years4
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)5.39%
Min EPS beat(2)3.8%
Max EPS beat(2)6.98%
EPS beat(4)3
Avg EPS beat(4)3.09%
Min EPS beat(4)-0.98%
Max EPS beat(4)6.98%
EPS beat(8)7
Avg EPS beat(8)6.59%
EPS beat(12)11
Avg EPS beat(12)10.27%
EPS beat(16)15
Avg EPS beat(16)9.26%
Revenue beat(2)2
Avg Revenue beat(2)1.4%
Min Revenue beat(2)0.44%
Max Revenue beat(2)2.36%
Revenue beat(4)3
Avg Revenue beat(4)-0.3%
Min Revenue beat(4)-4.15%
Max Revenue beat(4)2.36%
Revenue beat(8)7
Avg Revenue beat(8)1.07%
Revenue beat(12)11
Avg Revenue beat(12)2.12%
Revenue beat(16)13
Avg Revenue beat(16)1.67%
PT rev (1m)4.75%
PT rev (3m)-9.85%
EPS NQ rev (1m)0.31%
EPS NQ rev (3m)0.59%
EPS NY rev (1m)-0.64%
EPS NY rev (3m)-0.79%
Revenue NQ rev (1m)0.14%
Revenue NQ rev (3m)0.86%
Revenue NY rev (1m)0.07%
Revenue NY rev (3m)0.18%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 28.6 | ||
| Fwd PE | 24.15 | ||
| P/S | 3.57 | ||
| P/FCF | 34.53 | ||
| P/OCF | 25.43 | ||
| P/B | 2.84 | ||
| P/tB | 72.57 | ||
| EV/EBITDA | 18.88 |
EPS(TTM)3.89
EY3.5%
EPS(NY)4.61
Fwd EY4.14%
FCF(TTM)3.22
FCFY2.9%
OCF(TTM)4.37
OCFY3.93%
SpS31.16
BVpS39.2
TBVpS1.53
PEG (NY)3.22
PEG (5Y)3.96
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.47% | ||
| ROE | 8.38% | ||
| ROCE | 7.67% | ||
| ROIC | 5.4% | ||
| ROICexc | 5.83% | ||
| ROICexgc | 26.43% | ||
| OM | 12.84% | ||
| PM (TTM) | 10.54% | ||
| GM | 37.54% | ||
| FCFM | 10.34% |
ROA(3y)4.55%
ROA(5y)4.34%
ROE(3y)8.17%
ROE(5y)9.27%
ROIC(3y)5.5%
ROIC(5y)5.55%
ROICexc(3y)6.18%
ROICexc(5y)6.64%
ROICexgc(3y)24.67%
ROICexgc(5y)26.87%
ROCE(3y)7.81%
ROCE(5y)7.88%
ROICexcg growth 3Y5.31%
ROICexcg growth 5Y-3.31%
ROICexc growth 3Y-8.41%
ROICexc growth 5Y-8.35%
OM growth 3Y3.16%
OM growth 5Y-1.19%
PM growth 3Y8.14%
PM growth 5Y6.35%
GM growth 3Y-0.44%
GM growth 5Y-0.76%
F-Score8
Asset Turnover0.52
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.18 | ||
| Debt/FCF | 2.27 | ||
| Debt/EBITDA | 1.18 | ||
| Cap/Depr | 55.5% | ||
| Cap/Sales | 3.7% | ||
| Interest Coverage | 16.73 | ||
| Cash Conversion | 71.97% | ||
| Profit Quality | 98.12% | ||
| Current Ratio | 1.89 | ||
| Quick Ratio | 1.41 | ||
| Altman-Z | 4.36 |
F-Score8
WACC9.56%
ROIC/WACC0.56
Cap/Depr(3y)69.14%
Cap/Depr(5y)73.04%
Cap/Sales(3y)3.73%
Cap/Sales(5y)3.79%
Profit Quality(3y)102.28%
Profit Quality(5y)127.3%
High Growth Momentum
Growth
EPS 1Y (TTM)14.25%
EPS 3Y19.95%
EPS 5Y7.22%
EPS Q2Q%14.44%
EPS Next Y8.89%
EPS Next 2Y10.47%
EPS Next 3Y10.18%
EPS Next 5Y9.53%
Revenue 1Y (TTM)8.16%
Revenue growth 3Y18.12%
Revenue growth 5Y10.28%
Sales Q2Q%1.77%
Revenue Next Year3.01%
Revenue Next 2Y3.94%
Revenue Next 3Y4.59%
Revenue Next 5Y5.47%
EBIT growth 1Y30.04%
EBIT growth 3Y21.85%
EBIT growth 5Y8.97%
EBIT Next Year40.55%
EBIT Next 3Y19.05%
EBIT Next 5Y13.1%
FCF growth 1Y97.56%
FCF growth 3Y41.3%
FCF growth 5Y8.72%
OCF growth 1Y83.43%
OCF growth 3Y32.52%
OCF growth 5Y8.33%