XYZ Corp (XYZ) reported robust financial results for the first quarter of 2025, surpassing analyst expectations. The company recorded a revenue of $389 million, exceeding the consensus estimate of $383.56 million. This performance indicates a positive start to the year, with core sales experiencing a 5% growth.
In addition to revenue growth, XYZ Corp achieved a significant improvement in adjusted EBITDA margins, which widened to 25.2%, representing an increase of 110 basis points compared to the previous year. This enhanced profitability highlights the company's operational efficiency and strategic management.
XYZ Corp also demonstrated commitment to shareholder value by returning substantial capital. The company conducted share repurchases amounting to $77 million and distributed $15 million in dividends. Meanwhile, the firm's leverage remained steady at 0.9x, indicating a balanced approach to financial management.
Wall Street Analysts Forecast
Based on the one-year price targets offered by 7 analysts, the average target price for Zurn Elkay Water Solutions Corp (ZWS, Financial) is $35.29 with a high estimate of $42.00 and a low estimate of $29.00. The average target implies an upside of 13.35% from the current price of $31.13. More detailed estimate data can be found on the Zurn Elkay Water Solutions Corp (ZWS) Forecast page.
Based on the consensus recommendation from 8 brokerage firms, Zurn Elkay Water Solutions Corp's (ZWS, Financial) average brokerage recommendation is currently 2.4, 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 Zurn Elkay Water Solutions Corp (ZWS, Financial) in one year is $33.13, suggesting a upside of 6.42% from the current price of $31.13. 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 Zurn Elkay Water Solutions Corp (ZWS) Summary page.
