Xylem Inc. (XYL) is a leading global water-technology company that designs, manufactures, and services engineered products and solutions for public utilities, industrial, residential, commercial, and agricultural clients worldwide. Headquartered in Washington, District of Columbia, the company operates through key segments such as Water Infrastructure; Applied Water; Measurement & Control Solutions; and Water Solutions & Services. It has a market cap of $33.7 billion. Companies worth $10 billion or more a ...

Group 1: Seagate Technology Holdings plc (STX) - Seagate Technology Holdings plc is a data storage devices and solutions company with a Zacks Rank 1 [1] - The Zacks Consensus Estimate for its current year earnings has increased by 7% over the last 60 days [1] - The company has a PEG ratio of 1.10 compared to the industry average of 1.53, indicating strong growth potential [1] - Seagate possesses a Growth Score of B, reflecting its favorable growth characteristics [1] Group 2: Zurn Elkay Water Solutions Corporation (ZWS) - Zurn Elkay Water Solutions Corporation is a water management solutions provider with a Zacks Rank 1 [2] - The Zacks Consensus Estimate for its current year earnings has increased by 4.2% over the last 60 days [2] - The company has a PEG ratio of 2.26 compared to the industry average of 2.67, suggesting competitive growth prospects [2] - Zurn Elkay also possesses a Growth Score of B, indicating solid growth characteristics [2] Group 3: H World Group Limited (HTHT) - H World Group Limited is a hotel management company with a Zacks Rank 1 [3] - The Zacks Consensus Estimate for its current year earnings has increased by 3.1% over the last 60 days [3] - The company has a PEG ratio of 1.25 compared to the industry average of 1.95, highlighting its growth potential [3] - H World Group possesses a Growth Score of B, reflecting its strong growth characteristics [3]

Core Insights - The article discusses stocks trading near their 52-week highs, indicating positive developments but warns of potential corrections for overhyped stocks [1] AMETEK (AME) - AMETEK has a one-month return of +7.3% and manufactures electronic devices for industries such as aerospace, power, and healthcare [2] - AMETEK is currently trading at $196.31 per share with a forward P/E of 25.4x, suggesting caution for potential investors [3] WESCO (WCC) - WESCO has a one-month return of +16.4% and provides electrical, industrial, and communications products along with supply chain management services [4] - WESCO is trading at $255.42 per share with a forward P/E of 16.3x, indicating a need for careful consideration before investment [6] Zurn Elkay (ZWS) - Zurn Elkay has a one-month return of +1% and claims to have saved over 30 billion gallons of water through its water management solutions [7] - The company has experienced 5.1% annual revenue growth over the last two years, which is slower than its industrial peers [9] - Zurn Elkay's organic revenue has underperformed, suggesting a reliance on acquisitions for growth [10] - Earnings per share have decreased by 11.2% annually over the past two years, raising concerns about long-term stock price performance [10] - The company has a weak free cash flow margin of 1.6% over the last five years, limiting its ability to invest or return capital to shareholders [10] - Organic sales performance indicates a need for strategic adjustments or M&A to stimulate growth [11] - Free cash flow margin has shrunk by 16.5 percentage points over the last five years, indicating increased capital consumption to remain competitive [12]

Core Insights - Carillon Eagle Small Cap Growth Fund's third-quarter 2025 investor letter indicates a sustained upward rally in equity markets, driven by AI acceleration, reduced inflationary impacts from tariffs, and prospects for interest rate cuts from the U.S. Federal Reserve [1] - The Russell 2000® Growth Index increased by 12.19% in the quarter, slightly underperforming the Russell 2000 Value Index, which rose by 12.60% [1] Company Highlights - Zurn Elkay Water Solutions Corporation (NYSE:ZWS) is identified as a key stock in the fund's portfolio, with a one-month return of -1.65% and a 52-week gain of 28.22% [2] - As of October 28, 2025, Zurn Elkay's stock closed at $46.03 per share, with a market capitalization of $7.712 billion [2] - The company has outperformed broader non-residential construction trends and has effectively navigated tariff challenges, as noted in its recent earnings report, which exceeded investor expectations [3] - Recent product launches and favorable legislative trends are expected to positively impact Zurn Elkay's core institutional end markets, providing growth momentum [3] Market Position - Zurn Elkay Water Solutions Corporation is not among the 30 most popular stocks among hedge funds, with 24 hedge fund portfolios holding the stock at the end of the second quarter, down from 26 in the previous quarter [4] - While Zurn Elkay is recognized for its potential, certain AI stocks are considered to offer greater upside potential and less downside risk [4]

Core Insights - Ecolab Inc. is recognized as a leading company in water management, sanitation, and pest control, serving millions of locations globally [2] - The company emphasizes sustainability, digital innovation, and operational efficiency, supported by value-based pricing and advanced technologies [3] - Ecolab has a strong dividend history, paying a quarterly dividend of $0.65 per share, with a yield of 0.96% and 33 consecutive years of increasing payouts [4] Company Overview - Ecolab operates across various sectors, including data centers, electronics manufacturing, hospitals, and hospitality, which helps mitigate risks from demand fluctuations in any single industry [2][3] - The company's focus on sustainability and digital solutions positions it well for future growth and resilience in the market [3] Investment Appeal - Ecolab is included among the best rising dividend stocks, making it attractive for income-focused investors [1][4]

Company Overview - WaterBridge Infrastructure LLC is a leading integrated, pure-play water infrastructure company primarily operating in the Delaware Basin, which is the most prolific oil and natural gas basin in North America [4] - The company also has assets in the Eagle Ford and Arkoma Basins, operating the largest produced water infrastructure network in the United States [4] - As of August 31, 2025, WaterBridge's infrastructure network included approximately 2,500 miles of pipelines and 197 produced water handling facilities, managing over 2.6 million barrels per day (bpd) of produced water with a total handling capacity exceeding 4.5 million bpd [4] Financial Events - WaterBridge will release its financial results for the third quarter of 2025 after market close on November 12, 2025, followed by a conference call on November 13, 2025, at 10:30 a.m. Central Time [1] - The company has announced a pricing of an upsized offering of $1,425 million in senior notes, which includes $825 million of 6.25% senior unsecured notes due 2030 and $600 million of 6.50% senior unsecured notes due 2033 [7] - WaterBridge intends to use the net proceeds from the offering of the notes, along with cash on hand, to repay all outstanding borrowings under its credit facility [8]

Core Insights - The performance of sustainable energy investments is more influenced by economic conditions than political factors, as seen in the contrasting trends from the Biden administration in 2021 to the Trump administration in 2025 [1][2]. Group 1: Market Trends - In 2025, sustainable investments initially faced pressure, with record outflows of $11.8 billion from global sustainable energy funds at the start of the Trump administration, but this trend reversed with approximately $5 billion inflowing in the subsequent quarter [2]. - The demand for energy driven by artificial intelligence is expected to support the renewable energy sector, necessitating a comprehensive approach to energy solutions [2]. Group 2: Company Performance - Hubbell Inc. (NYSE: HUBB) is positioned as a critical supplier for utility companies, focusing on products necessary for upgrading the electrical grid, although its stock has declined by 0.8% in 2025 and 8.8% over the past year [6]. - Despite modest top-line growth, Hubbell's bottom line has shown improvement, with double-digit EPS growth in the latest quarter and strong demand from data centers [7]. - Analysts project a 13.5% increase in HUBB stock price and earnings growth of around 7.5% over the next 12 months, with the stock trading at approximately 23 times earnings, which is below its historical average [7]. Group 3: Renewable Energy Leaders - NextEra Energy Inc. (NYSE: NEE) is a leading player in renewable energy, being the largest generator from wind and solar sources, despite facing challenges under the Trump administration [8][9]. - The company has a growing backlog of wind and solar projects and is well-positioned to provide nuclear energy solutions, which are increasingly recognized as clean energy options [9]. - NEE stock is trading near its 52-week high, with analysts raising price targets ahead of the upcoming earnings report, and a forward P/E of around 22 times suggests an attractive valuation [10]. Group 4: Water Management and Sustainability - Xylem Inc. (NYSE: XYL) focuses on innovative solutions for critical water challenges, including those related to cooling data centers, and is benefiting from the shift to digital water management [12][13]. - While not a pure renewable energy play, Xylem aligns with broader sustainability trends, making it appealing for investors interested in climate-resilient infrastructure [14]. - The stock is trading within 5% of its consensus target, and Citigroup has recently issued an upgrade, indicating potential for valuation expansion with a forward P/E of around 31 times [14].

Company Overview - WaterBridge Infrastructure (WBI) is a Houston-based company that has launched its initial public offering (IPO) on the New York Stock Exchange under the ticker WBI, with plans to sell 27 million shares priced between $17 to $20, aiming to raise approximately $540 million [3][4] - The company is seeking an overall valuation of around $2.3 billion [4] Industry Context - The global water supply is under significant pressure, with less than 1% of it being fresh and accessible, highlighting the importance of water management solutions [2] - WaterBridge operates the largest produced water infrastructure network in the U.S., providing essential water management services to oil and natural gas exploration and production companies [4] Revenue Model - WaterBridge generates revenue through produced water handling fees for transporting water to disposal facilities and by providing raw or recycled produced water for reuse in drilling and completion operations [5] - The company's revenue is linked to the long-life production of oil and natural gas wells, which offers a more stable income stream compared to the cyclical nature of drilling activities [5]

Core Insights - Advanced Drainage Systems, Inc. (WMS) reported disappointing fourth-quarter results for fiscal 2025, with adjusted earnings and net sales falling short of expectations and declining year-over-year due to higher interest rates and economic uncertainties [1][3] - The company’s outlook for fiscal 2026 remains sluggish, but its diversified market exposure and innovative strategies may help it navigate market challenges [2] Financial Performance - Adjusted earnings per share (EPS) for the fourth quarter were $1.03, missing the Zacks Consensus Estimate of $1.09 by 5.5%, and down from $1.23 in the same quarter last year [3] - Net sales for the quarter were $615.8 million, missing the consensus mark of $659 million by 6.5% and declining 5.8% year-over-year, primarily due to weather-related demand weakness in construction and agriculture [3] - Gross profit decreased 10.2% to $226.3 million, influenced by unfavorable volume and price mix, while SG&A expenses as a percentage of net sales contracted 70 basis points year-over-year to 14.8% [4] Segment Performance - The Pipe segment's net sales fell 11.3% year-over-year to $318.1 million, while Infiltrator Water Technologies saw a 15.3% increase in net sales to $122.3 million [6] - The International segment's net sales dropped 17.6% to $30 million, and the Allied Products & Other segment's net sales decreased 4.8% to $145.4 million [7] Annual Overview - For fiscal 2025, WMS generated net sales of $2.9 billion, a slight increase of 1% from fiscal 2024, with adjusted EPS decreasing from $6.39 to $5.89 [8] - Adjusted EBITDA for the year fell 3.7% to $889.2 million, with an adjusted EBITDA margin of 30.6%, down 150 basis points year-over-year [9] Liquidity and Capital Management - As of March 31, 2025, WMS had total liquidity of $1.1 billion, including cash of $463.3 million, and long-term debt slightly decreased to $1.25 billion [10] - During fiscal 2025, the company repurchased 0.4 million shares for $69.9 million, with $147.7 million remaining under its share repurchase authorization [11] Fiscal 2026 Guidance - WMS expects net sales for fiscal 2026 to range between $2.825 billion and $2.975 billion, with adjusted EBITDA projected between $850 million and $910 million, and capital expenditures around $275 million [12]