Shares of Zurn Water Solutions have surged to a fresh 52-week high, continuing a remarkable upward trend. The company’s latest quarterly results significantly outperformed market forecasts, fueling strong investor demand.
Impressive Financial Performance Drives Rally
The recent stock appreciation is supported by robust fundamental performance. For the second quarter of 2025, Zurn Water Solutions delivered exceptional results that exceeded analyst projections across key metrics:
- Adjusted earnings per share: $0.42 (versus $0.36 expected)
- Revenue: $444.5 million (compared to $424.5 million forecast)
- Core revenue growth: +8% year-over-year
- Adjusted EBITDA: Increased 13% to $118 million
- Free cash flow: Exceeded $100 million for the first time in any second quarter
These figures underscore the company’s operational excellence and consistent ability to surpass financial expectations.
Record-Breaking Share Performance
The equity reached a new annual peak yesterday, breaking through all resistance levels to close at $46.67. Over the past twelve months, the stock has delivered impressive gains of 45.44 percent. Zurn Water Solutions now commands a market valuation of approximately $7.8 billion.
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Shareholder Returns Through Dividends
Beyond capital appreciation, the company rewards its investors with a quarterly dividend distribution of $0.09 per share. The payment was distributed on September 5th to shareholders of record as of August 20th.
Analyst Sentiment and Price Targets
The strong quarterly performance prompted several analyst firms to revise their price targets upward. Stifel Nicolaus raised its target from $43.00 to $50.00 while maintaining its “Buy” recommendation. Mizuho increased its target from $36.00 to $43.00 but maintained a “Neutral” stance on the stock.
The consensus price target among analysts continues to range between $38.00 and $40.00, accompanied by a “Hold” recommendation. This suggests that current valuations may already incorporate significant future expectations.
Confident Outlook for Fiscal 2025
Company management expressed optimism regarding full-year performance, projecting core revenue growth of at least 5 percent for 2025. Zurn anticipates adjusted EBITDA between $420 million and $430 million, with free cash flow expected to reach approximately $300 million.
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