Mizuho's financial analyst Brett Linzey has adjusted his outlook for Xylem (XYL, Financial), reducing the company's price target from $135 to $115. Linzey maintains a Neutral stance on the stock amid concerns over slowing demand and the potential negative impact of tariffs on financial outcomes.
As the earnings season approaches, the firm has revised its forecasts for electrical equipment and the broader multi-industry sectors to reflect these near-term challenges. According to Linzey, while the first-quarter performance appears to be aligning with expectations, investor attention remains subdued due to a series of recent developments.
The primary concern centers around escalating tariffs, especially those involving China, which are anticipated to present significant challenges. Although companies have been quick to increase prices in response to these tariff pressures, Mizuho forecasts some financial burdens will remain unaddressed, resulting in unmitigated headwinds for corporations like Xylem.
Wall Street Analysts Forecast
Based on the one-year price targets offered by 14 analysts, the average target price for Xylem Inc (XYL, Financial) is $136.87 with a high estimate of $164.00 and a low estimate of $115.00. The average target implies an upside of 26.13% from the current price of $108.52. More detailed estimate data can be found on the Xylem Inc (XYL) Forecast page.
Based on the consensus recommendation from 20 brokerage firms, Xylem Inc's (XYL, Financial) average brokerage recommendation is currently 2.0, indicating "Outperform" status. The rating scale ranges from 1 to 5, where 1 signifies Strong Buy, and 5 denotes Sell.
Based on GuruFocus estimates, the estimated GF Value for Xylem Inc (XYL, Financial) in one year is $125.87, suggesting a upside of 15.99% from the current price of $108.52. GF Value is GuruFocus' estimate of the fair value that the stock should be traded at. It is calculated based on the historical multiples the stock has traded at previously, as well as past business growth and the future estimates of the business' performance. More detailed data can be found on the Xylem Inc (XYL) Summary page.