XYLEM INC (XY6.DE) Stock Fundamental Analysis
FRA:XY6 - Deutsche Boerse Ag - US98419M1009 - Common Stock - Currency: EUR
XY6 gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 106 industry peers in the Machinery industry. While XY6 has a great health rating, its profitability is only average at the moment. XY6 is quite expensive at the moment. It does show a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year XY6 was profitable.
XY6 had a positive operating cash flow in the past year.
Each year in the past 5 years XY6 has been profitable.
XY6 had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
The Return On Assets of XY6 (5.47%) is better than 71.70% of its industry peers.
XY6 has a Return On Equity (8.38%) which is in line with its industry peers.
The Return On Invested Capital of XY6 (5.40%) is comparable to the rest of the industry.
Measured over the past 3 years, the Average Return On Invested Capital for XY6 is below the industry average of 8.48%.
| 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
XY6's Profit Margin of 10.54% is amongst the best of the industry. XY6 outperforms 88.68% of its industry peers.
In the last couple of years the Profit Margin of XY6 has grown nicely.
The Operating Margin of XY6 (12.84%) is better than 85.85% of its industry peers.
In the last couple of years the Operating Margin of XY6 has remained more or less at the same level.
With a Gross Margin value of 37.54%, XY6 perfoms like the industry average, outperforming 50.94% of the companies in the same industry.
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.
The number of shares outstanding for XY6 has been increased compared to 1 year ago.
The number of shares outstanding for XY6 has been increased compared to 5 years ago.
The debt/assets ratio for XY6 has been reduced compared to a year ago.
2.2 Solvency
An Altman-Z score of 4.49 indicates that XY6 is not in any danger for bankruptcy at the moment.
XY6's Altman-Z score of 4.49 is amongst the best of the industry. XY6 outperforms 88.68% of its industry peers.
XY6 has a debt to FCF ratio of 2.27. This is a good value and a sign of high solvency as XY6 would need 2.27 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 2.27, XY6 belongs to the top of the industry, outperforming 81.13% 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.
XY6's Debt to Equity ratio of 0.18 is fine compared to the rest of the industry. XY6 outperforms 68.87% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.18 | ||
| Debt/FCF | 2.27 | ||
| Altman-Z | 4.49 |
ROIC/WACC0.56
WACC9.61%
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.
Looking at the Current ratio, with a value of 1.89, XY6 is in the better half of the industry, outperforming 66.98% 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 77.36% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.89 | ||
| Quick Ratio | 1.41 |
3. Growth
3.1 Past
XY6 shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 14.25%, which is quite good.
XY6 shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 7.22% yearly.
XY6 shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 8.16%.
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 9.50% yearly.
XY6 is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 5.45% yearly.
EPS Next Y9.2%
EPS Next 2Y10.14%
EPS Next 3Y10.22%
EPS Next 5Y9.5%
Revenue Next Year3.1%
Revenue Next 2Y3.94%
Revenue Next 3Y4.5%
Revenue Next 5Y5.45%
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
The Price/Earnings ratio is 29.83, which means the current valuation is very expensive for XY6.
XY6's Price/Earnings ratio is in line with the industry average.
XY6's Price/Earnings ratio indicates a similar valuation than the S&P500 average which is at 27.29.
A Price/Forward Earnings ratio of 25.33 indicates a quite expensive valuation of XY6.
Based on the Price/Forward Earnings ratio, XY6 is valued a bit more expensive than the industry average as 70.75% of the companies are valued more cheaply.
XY6's Price/Forward Earnings ratio indicates a similar valuation than the S&P500 average which is at 21.74.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 29.83 | ||
| Fwd PE | 25.33 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, XY6 is valued a bit more expensive than 72.64% of the companies in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of XY6 indicates a slightly more expensive valuation: XY6 is more expensive than 62.26% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 36 | ||
| EV/EBITDA | 19.66 |
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.
XY6 has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)3.24
PEG (5Y)4.13
EPS Next 2Y10.14%
EPS Next 3Y10.22%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 1.21%, XY6 has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 2.89, XY6 has a dividend in line with its industry peers.
With a Dividend Yield of 1.21, XY6 pays less dividend than the S&P500 average, which is at 2.37.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.21% |
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 2Y10.14%
EPS Next 3Y10.22%
FRA:XY6 (7/7/2025, 7:00:00 PM)
112.15
-0.6 (-0.53%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryMachinery
Earnings (Last)
Earnings (Next)
Inst Owners97.23%
Inst Owner ChangeN/A
Ins Owners0.24%
Ins Owner ChangeN/A
Market Cap27.29B
Analysts79.23
Price Target123.99 (10.56%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.21% |
Yearly Dividend1.23
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)-1.86%
PT rev (3m)-9.35%
EPS NQ rev (1m)0.29%
EPS NQ rev (3m)1.02%
EPS NY rev (1m)0.29%
EPS NY rev (3m)-0.6%
Revenue NQ rev (1m)0.09%
Revenue NQ rev (3m)0.95%
Revenue NY rev (1m)0.05%
Revenue NY rev (3m)0.25%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 29.83 | ||
| Fwd PE | 25.33 | ||
| P/S | 3.72 | ||
| P/FCF | 36 | ||
| P/OCF | 26.52 | ||
| P/B | 2.96 | ||
| P/tB | 75.67 | ||
| EV/EBITDA | 19.66 |
EPS(TTM)3.76
EY3.35%
EPS(NY)4.43
Fwd EY3.95%
FCF(TTM)3.11
FCFY2.78%
OCF(TTM)4.23
OCFY3.77%
SpS30.13
BVpS37.9
TBVpS1.48
PEG (NY)3.24
PEG (5Y)4.13
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 | 4.49 |
F-Score8
WACC9.61%
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 Y9.2%
EPS Next 2Y10.14%
EPS Next 3Y10.22%
EPS Next 5Y9.5%
Revenue 1Y (TTM)8.16%
Revenue growth 3Y18.12%
Revenue growth 5Y10.28%
Sales Q2Q%1.77%
Revenue Next Year3.1%
Revenue Next 2Y3.94%
Revenue Next 3Y4.5%
Revenue Next 5Y5.45%
EBIT growth 1Y30.04%
EBIT growth 3Y21.85%
EBIT growth 5Y8.97%
EBIT Next Year40.55%
EBIT Next 3Y19.05%
EBIT Next 5Y13.03%
FCF growth 1Y97.56%
FCF growth 3Y41.3%
FCF growth 5Y8.72%
OCF growth 1Y83.43%
OCF growth 3Y32.52%
OCF growth 5Y8.33%