Zurn Elkay Water Solutions

ZWS · NYSE

$47.71+$0.59 (+1.25%)TodayMarket closed · Oct 20, 7:30 PM ET

Prev close $47.12

ZWS analyst rating

BuyConsensus of 6 analysts over the last 12 months. 67% rate it a buy.

Strong buy0
Buy4
Hold2
Underperform0
Sell0

12-month price target · 11 analysts

Average $59.47 (+24.6% upside)

Low: $51.51
Now: $47.71
High: $68.25

Upgrades and downgrades

The latest rating actions, newest first

ZWS analyst upgrades, downgrades and rating actions
Firm	Date	Action	Rating	Price target	Hit rate
RBC Capital	Oct 14, 2026	Maintains	Sector Perform	$58.00 → $54.00	43%
Oppenheimer	Sep 9, 2026	Maintains	Outperform	$58.00 → $60.00	49%
Barclays	Jul 31, 2026	Maintains	Overweight	$59.00 → $61.00	29%
RBC Capital	Jul 30, 2026	Maintains	Sector Perform	$56.00 → $58.00	43%
Stifel	Jul 30, 2026	Maintains	Buy	$56.00 → $62.00	61%
Stifel	Jul 20, 2026	Maintains	Buy	$59.00 → $56.00	61%
Barclays	Jun 30, 2026	Initiates	Overweight	$59.00	29%
RBC Capital	Apr 23, 2026	Maintains	Sector Perform	$49.00 → $56.00	43%
Stifel	Apr 23, 2026	Maintains	Buy	$53.00 → $59.00	61%
Baird	Apr 23, 2026	Maintains	Neutral	$56.00 → $53.00	62%

The case for and against

Updated Oct 14, 2026

Bull case

Zurn Elkay Water Solns is well positioned because its 1Q26 results showed broad-based 11% organic sales growth, an 8% adjusted EBITDA beat, and 160 bps of margin expansion, with commercial and institutional end markets rising 16% and 12% Y/Y, respectively. Its outlook is supported by defensible, specification-driven exposure to nonresidential construction, strong mix in education and healthcare, and a sustainable product portfolio that benefits from replacement demand, regulatory tailwinds, and continued bottle-filler penetration. Financially, the company’s 0.5x net leverage, 61% FCF conversion in the quarter, and 1 million shares repurchased for $50 million provide flexibility for M&A and buybacks while it manages tariffs through supply-chain de-risking and productivity gains.

Bear case

Zurn Elkay Water Solns is viewed negatively because its growth depends heavily on institutional and commercial construction and remodel activity, which could slow or face deferred budgets in education and healthcare, pressuring demand and share gains. The stock also appears vulnerable to valuation compression if it sustains below-market growth or loses channel/specification share, while execution, supply chain, and commodity volatility in copper, brass, steel, plastics, and electronics could squeeze margins and service levels. Additional downside comes from the risk of overpaying for water M&A and failing to realize expected Elkay cost synergies, with 2027 EPS potentially around $1.71 in a downside case.

Information on this page is provided for informational purposes only and is not a recommendation to buy, sell or hold any security. Investing involves risk, including possible loss of principal. Market data is delayed at least 15 minutes and is provided without warranty. Analyst ratings, price targets and company data come from third-party sources. Past performance does not guarantee future results.