Big Money Flows to Xylem – Up 350% Since 2014

Xylem is a water and wastewater treatment company offering services for treatment/testing, water transportation, conservation, and more for commercial and residential customers. XYL’s second-quarter fiscal 2025 report showed $2.3 billion in revenue (6% year-over-year gain), per-share earnings of $0.93 (16% jump), and increased guidance for revenue (up to $9 billion) and EPS (up to $4.85). It reports earnings again on Oct. 28.

It’s no wonder XYL shares are up 25% this year – and they could rise more. MoneyFlows data shows how Big Money investors are betting heavily on the forward picture of the stock.

Big Money Flows to Xylem

Institutional volumes reveal plenty. In the last year, XYL has enjoyed strong investor demand, which we believe to be institutional support.

Each green bar signals unusually large volumes in XYL shares. They reflect our proprietary inflow signal, pushing the stock higher:

Plenty of industrials names are under accumulation right now. But there’s a powerful fundamental story happening with Xylem.

Xylem Fundamental Analysis

Institutional support and a healthy fundamental backdrop make this company worth investigating. As you can see, XYL has had strong sales and earnings growth:

• 3-year sales growth rate (+18.6%)
• 3-year EPS growth rate (+18.8%)

Source: FactSet

Also, EPS is estimated to ramp higher this year by +11.5%.

Now it makes sense why the stock has been powering to new heights. XYL has a track record of strong financial performance.

Marrying great fundamentals with our proprietary software has found some big winning stocks over the long term.

Xylem has been a top-rated stock at MoneyFlows. That means the stock has unusual buy pressure and growing fundamentals. We have a ranking process that showcases stocks like this on a weekly basis.

It’s made the rare Outlier 20 report 11 times since February 2014 and is up 350% since Big Money first bought big. The blue bar below shows when XYL was a top pick…lifted by Big Money:

Tracking unusual volumes reveals the power of money flows.

This is a trait that most outlier stocks exhibit…the best of the best. Big Money demand drives stocks upward.

Xylem Price Prediction

The XYL rally isn’t new at all. Big Money buying in the shares is signaling to take notice. Given the historical gains in share price and strong fundamentals, this stock could be worth a spot in a diversified portfolio.

Disclosure: the author holds no position in XYL at the time of publication.

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