Xylem Inc

XYL: XNYS (USA)

Morningstar Rating for Stocks	Fair Value	Economic Moat	Capital Allocation
	$334.00	Mdghn	Tdfxblml

Xylem Earnings: Healthy Demand and Supply Chain Improvement Drive Strong Revenue Growth

Krzysztof Smalec

May 4, 2023

Narrow-moat-rated Xylem reported strong first-quarter results, featuring a 53% year-over-year increase in adjusted EPS, from $0.47 to $0.72, driven by robust demand across all segments as well as improvement in chip supply. We’ve increased our fair value estimate to $97 from $95, which reflects our slightly more optimistic near-term revenue growth projections as well as time value of money.

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