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The information provided on EL7.AI is for educational and informational purposes only and does not constitute financial advice.
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Sign InAmid the rapid expansion of artificial intelligence infrastructure, Xylem reported strong results reflecting how the water technology sector is benefiting from increasing cooling requirements. The company raised its 2026 adjusted EPS guidance to a range of $5.55 to $5.70, after reporting Q2 adjusted earnings of $1.46 per share, beating analyst estimates of $1.34. Orders surged 42% year-over-year to reach $3.09 billion, highlighting robust demand for data center cooling systems.
These results have bolstered institutional confidence, with Barclays raising its price target for Xylem to $159 while maintaining an Overweight rating. Per market data, this optimistic outlook reflects the company's ability to convert rising demand for water treatment and infrastructure cooling into sustainable revenue growth, with full-year revenues projected by the company to reach approximately $9.20 billion.
At the close on July 28, 2026, Xylem (XYL) stood at $124.97, having reached a day high of $127.16. Investors will be watching the company's ability to maintain order momentum in the coming quarters, especially as investment continues to flow into AI data centers, and in the absence of major upcoming industrial-specific catalysts in the immediate economic calendar.