What is Xylem Inc. worth?
With the base-case assumptions below, a discounted cash flow model on Xylem Inc.'s reported free cash flow gives $102.93 per share. The share price was $102.63 on September 25, 2026, 0% below that value.
Inputs from the filings
Three sets of assumptions
| Case | Growth yrs 1-5 | Discount rate | Value per share | Value vs price |
|---|---|---|---|---|
| Bear | 8.0% | 10.0% | $60.02 | -42% |
| Base | 13.0% | 9.0% | $102.93 | +0% |
| Bull | 18.0% | 8.0% | $182.91 | +78% |
Sensitivity: base case value per share
| 1.5% | 2.0% | 2.5% | 3.0% | 3.5% | |
|---|---|---|---|---|---|
| 7.0% | $135.09 | $145.08 | $157.28 | $172.54 | $192.15 |
| 8.0% | $110.97 | $117.44 | $125.09 | $134.28 | $145.50 |
| 9.0% | $93.40 | $97.82 | $102.93 | $108.89 | $115.94 |
| 10.0% | $80.06 | $83.21 | $86.78 | $90.86 | $95.56 |
| 11.0% | $69.62 | $71.93 | $74.51 | $77.41 | $80.70 |
Where the presets come from
Base: years 1 to 5 grow at Xylem Inc.'s revenue growth rate over the last 5 fiscal years (13.1% a year), held between -5% and 15%. Years 6 to 10 grow halfway between that and the long-run rate of 2.5%. Future cash is discounted at 9% a year.
Bear: 5 points less growth, 2% long-run growth, 10% discount rate. Bull: 5 points more growth (at most 25%), 3% long-run growth, 8% discount rate.
Value per share = (present value of 10 years of free cash flow + present value of everything after + cash - debt) / diluted shares.
This is a model run on assumptions, not a recommendation or a price target. Small changes in the discount rate or growth move the result a lot, as the table above shows. Change them yourself in the calculator.
Adjust the assumptions
Move the sliders for growth, long-run growth and discount rate, or switch to average free cash flow, and see the value per share change.
Adjust the assumptions