At a glance
Xylem Inc is worth $22.31B, about 25 times its fiscal 2025 earnings. Revenue grew 5.5% to $9.04B in fiscal 2025, with 10.6% kept as profit; over 5 years it has grown 13.1% a year. It pays a 1.74% dividend yield, raised every year for at least 9 years, and returned $1.64B to shareholders in dividends and buybacks over FY2021–FY2025. The stock returned −34.6% over the past year with dividends reinvested and −4.3% a year over five years, against +11.5% and +11.7% for the S&P 500. At its worst it fell 35.9% in the 2020 crash (S&P 500: 33.7%) and 37.8% in the 2022 bear market (S&P 500: 24.5%), and was back at its earlier high 7 months after the low.
The business in plain English
Xylem designs, makes and services equipment that moves, treats and measures water, from drinking water supply to wastewater collection and treatment. In fiscal 2025 it had $9.0 billion of revenue, about 22,000 employees and customers in roughly 150 countries. Its main customers are water and wastewater utilities and the engineering firms and contractors that build their networks. It also sells to farms, mines, power plants, factories such as food and drug makers, and residential and commercial customers.
Revenue comes from four business segments of similar size. Water Infrastructure (29% of fiscal 2025 revenue) sells pumps and treatment equipment under brands such as Flygt and Wedeco. Water Solutions and Services (27%) offers treatment systems, maintenance, rapid-response mobile services and outsourced solutions. Measurement and Control Solutions (23%) is mostly smart metering, under brands such as Sensus, plus analytics and test instruments. Applied Water (21%) sells pumps, valves and heat exchangers for buildings and industry under brands including Bell & Gossett and Goulds Water Technology.
About 83% of revenue comes from products and 17% from services. Equipment already installed at customer sites brings steady sales of parts, replacements and service. By region, 58% of fiscal 2025 revenue came from the United States, 20% from Europe, 14% from Asia Pacific and the rest from other regions.
Price history
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XYL -34.6% over the year to Nov 2, 2026, total return with dividends reinvested.
How it makes money
By product or service
| Product | $7.47B | 82.7% |
| Service | $1.56B | 17.3% |
By business segment
| Water Infrastructure | $2.64B | 29.2% |
| Water Solutions and Services | $2.46B | 27.3% |
| Measurement and Control Solutions | $2.09B | 23.1% |
| Applied Water | $1.85B | 20.5% |
By geography
| United States | $5.21B | 57.7% |
| Europe | $1.84B | 20.4% |
| Asia Pacific | $1.22B | 13.5% |
| Other | $766.0M | 8.5% |
Latest results
- In Q3 FY2026 (ended Sep 30, 2026), revenue was $2.20B, down 3% from a year earlier, and net income was $291.0M (+28.2%).
- For fiscal 2025, revenue was $9.04B (+5.5% year over year; +13.1% a year from FY2020 to FY2025) with a 10.6% net margin.
Financial health check
| Revenue growth a year (FY2020–FY2025) | +13.1% good |
|---|---|
| Operating margin | 13.5% watch |
| Free cash flow margin | 10.1% good |
| Return on equity (FY2025) | 8.3% watch |
| Return on assets (FY2025) | 5.4% watch |
| Net cash (cash minus debt) | $-2.23B weak |
| Fiscal year | Revenue | Net income | Free cash flow |
|---|---|---|---|
| FY2020 | $4.88B | $254.0M | $641.0M |
| FY2021 | $5.20B | $427.0M | $330.0M |
| FY2022 | $5.52B | $355.0M | $388.0M |
| FY2023 | $7.36B | $609.0M | $566.0M |
| FY2024 | $8.56B | $890.0M | $942.0M |
| FY2025 | $9.04B | $957.0M | $910.0M |
Valuation snapshot
| Market value | $22.31B |
|---|---|
| P/E ratio | 24.8 |
| Dividend yield | 1.74% |
Rank among 1514 US companies
Market value at each year end
Xylem’s market value went from $8.88B at the end of 2016 to $22.31B on Nov 2, 2026, about 2.5 times as much; since the end of 2025 it is down 33%.
Show as a table
| Year end | Market value | Change |
|---|---|---|
| Nov 2, 2026 | $22.31B | -32.7% |
| 2025 | $33.16B | +17.6% |
| 2024 | $28.19B | +2.2% |
| 2023 | $27.57B | +38.4% |
| 2022 | $19.93B | -7.8% |
| 2021 | $21.62B | +17.9% |
| 2020 | $18.35B | +29.3% |
| 2019 | $14.19B | +18.3% |
| 2018 | $11.99B | -2.1% |
| 2017 | $12.25B | +37.9% |
| 2016 | $8.88B |
Price behavior
| YTD | 1 yr | 3 yr | 5 yr | 10 yr | |
|---|---|---|---|---|---|
| XYL price data to Nov 2, 2026 | -27.8% | -34.6% | +2.3% | -4.3% | +8.9% |
Show as a table
| Year | Price data |
|---|---|
| 2026 (to date) | -27.8% |
| 2025 | +18.8% |
| 2024 | +2.6% |
| 2023 | +4.8% |
| 2022 | -6.6% |
| 2021 | +18.9% |
| 2020 | +30.9% |
| 2019 | +19.6% |
| 2018 | -1.0% |
| 2017 | +39.5% |
| 2016 | +37.5% |
| 2015 | -2.6% |
| 2014 | +11.6% |
| 2013 | +29.9% |
| 2012 | +7.2% |
| 2008 financial crisis stocks fell Oct 9, 2007 – Mar 9, 2009 | Before this security existed |
|---|---|
| 2020 COVID crash stocks fell Feb 19, 2020 – Mar 23, 2020 | Lost 35.4% over that stretch · deepest drop along the way 35.9%, back to its old high 6.5 months after the low |
| 2022 bear market stocks fell Jan 3, 2022 – Oct 12, 2022 | Lost 24.6% over that stretch · deepest drop along the way 37.8%, back to its old high 6.9 months after the low |
Insider activity
Form 4 filings from 2025-10-30 to 2026-10-30 (25 read): 2 open-market purchases ($1.1M) and 1 sales ($501K).
| Date | Insider | Type | Value |
|---|---|---|---|
| Oct 29, 2026 | D Christian Koch Director | buy | $986K |
| May 7, 2026 | Geri-Michelle McShane SVP, CAO | sell | $501K |
| May 4, 2026 | Jerome A Peribere Director | buy | $141K |
Who owns it
Large shareholders (13G filings)
| Vanguard Capital Management | 7.48% | Mar 31, 2026 |
| Vanguard Portfolio Management | 5.26% | Mar 31, 2026 |
ETFs with the most weight in XYL
| CGW Invesco S&P Global Water Index ETF | 7.55% |
| AQWA Global X Clean Water ETF | 7.26% |
| PHO Invesco Water Resources ETF | 6.06% |
| IWTR iShares MSCI Water Management Multisector ETF | 5.95% |
| EFRA iShares Environmental Infrastructure and Industrials ETF | 5.46% |
| LOPP Gabelli Love Our Planet & People ETF | 4.18% |
| FIW First Trust Water ETF | 3.64% |
| TBLU Tortoise Global Water ESG Fund | 3.63% |
What could go wrong
- Smart meters depend on radio spectrum. A significant part of the Measurement and Control Solutions segment, which sells smart meters and network devices, uses radio spectrum. Limits on access, new rules or signal interference could hurt these products.
- Treatment work can bring contamination liabilities. Xylem's water and wastewater treatment work, including on emerging contaminants (newly identified pollutants), involves hazardous materials. Contamination or a release could bring environmental or injury claims, cleanup costs and reputational harm.
- Large projects can run late or over budget. Some contracts are large projects with strict timeline, budget, performance and safety requirements. Delays, cost overruns or equipment that underperforms could reduce profits and hurt Xylem's reputation with customers.
- Hacks could disrupt connected products and software. Utilities rely on Xylem's connected products, software and managed services. A cyberattack, data breach or troubled system rollout could disrupt customers, expose data and damage the business.
- Tariffs, inflation and global trade risks. Xylem says inflation, tariffs and other cost increases have already hurt its cash flow and results. Many factories and suppliers are abroad, and 42% of fiscal 2025 revenue came from outside the United States.
- Demand depends on utility and public spending. Orders rely on spending by utilities, governments and industry. A recession, tighter public budgets or less funding for water infrastructure could delay or shrink demand for Xylem's equipment and services.
Recent events
- Quarterly results released; Executive or board change
- Other company announcement
- Major agreement signed; Major agreement ended; New debt or financial obligation
- Executive or board change; Investor presentation or announcement
- Executive or board change
- Quarterly results released
- Major agreement signed; New debt or financial obligation; Other company announcement
- Shareholder vote results
- Quarterly results released
- Other company announcement
For income and retirement investors
Xylem pays a modest, growing dividend. Regular dividends per share rose from $1.04 in fiscal 2020 to $1.60 in fiscal 2025, about 9% a year, and have increased at least nine years in a row. In fiscal 2025 dividends used 40.9% of earnings and 43% of free cash flow (cash left after capital spending). The yield was 1.92% as of October 28, 2026. Share buybacks are small: $180 million over fiscal 2021–2025, versus $1.46 billion in dividends, and the share count rose 27.2% over roughly five years to October 2026.
The shares have fallen hard in past downturns. They dropped 35.9% in the 2020 COVID crash and took about six and a half months to regain their previous high. In the 2022 bear market they fell 37.8% and took about seven months to recover. As of October 28, 2026, the stock was down 40.6% over one year. Single stocks carry more risk than diversified funds, which spread money across many companies.
Questions investors ask
How does Xylem make money?
Xylem makes money mainly by selling water equipment, plus related services. In fiscal 2025, products brought in 83% of its $9.0 billion revenue and services 17%. It sells pumps, treatment systems, smart meters, valves, analytics tools and maintenance services, chiefly to water and wastewater utilities, contractors and industrial customers. Its four segments are Water Infrastructure (29%), Water Solutions and Services (27%), Measurement and Control Solutions (23%) and Applied Water (21%).
Does Xylem raise its dividend every year?
Yes, based on its record so far. Xylem has increased its dividend per share for at least nine straight years through fiscal 2025. Regular dividends grew from $1.04 per share in fiscal 2020 to $1.60 in fiscal 2025, about 9% a year. The fiscal 2025 dividend used 40.9% of earnings and 43% of free cash flow. The yield was 1.92% as of October 28, 2026. Past increases do not guarantee future ones.
How has Xylem stock performed?
Over the long run Xylem's share price has roughly doubled, but the past year has been weak. As of October 28, 2026, the price was up 105% over 10 years (7.5% a year), down 28% over five years and down 40.6% over one year, including a 34.5% drop year to date. These figures track the share price and leave out dividends. The stock also fell 35.9% in the 2020 COVID crash and 37.8% in the 2022 bear market.
How much debt does Xylem have?
Xylem had $2.94 billion of total debt as of September 30, 2026, against $708 million of cash and investments, leaving net debt of about $2.24 billion. Shareholders' equity was $10.27 billion. For scale, fiscal 2025 free cash flow (cash left after running the business and paying for equipment) was $910 million. Xylem filed reports of new debt or financial obligations in May and September 2026.
Which ETFs hold Xylem stock?
About 205 ETFs hold Xylem, and it carries the most weight in water-themed funds. The ETFs giving it the largest weights include Invesco S&P Global Water Index ETF (CGW, about 7.6%), Global X Clean Water ETF (AQWA, 7.3%), Invesco Water Resources ETF (PHO, 6.1%), iShares MSCI Water Management Multisector ETF (IWTR, 6.0%) and iShares Environmental Infrastructure and Industrials ETF (EFRA, 5.5%). Weights change as prices move and funds rebalance.