For most investors, how much a stock's price changes over time is important. This factor can impact your investment portfolio as well as help you compare investment results across sectors and industries.
FOMO, or the fear of missing out, also plays a role in investing, particularly with tech giants and popular consumer-facing stocks.
What if you'd invested in Badger Meter (BMI) ten years ago? It may not have been easy to hold on to BMI for all that time, but if you did, how much would your investment be worth today?
Badger Meter's Business In-Depth
With that in mind, let's take a look at Badger Meter's main business drivers.
Incorporated in 1905 and headquartered in Milwaukee, WI, Badger Meter, Inc. is a leading provider of water solutions, which include flow measurement, quality and other system parameters. The company’s products measure water, oil, chemicals, and other fluids and are known for accuracy, long-lasting durability, and for providing valuable and timely measurement data. The company’s cloud-hosted software suite, BEACON, allows consumer engagement tools that permit end-water customers to view and manage their water usage activity. The ORION branded family of radio endpoints includes ORION (ME), ORION (SE) applications, and ORION Cellular for an infrastructure-free AMI solution.
Badger Meter’s product lines fall into two categories — utility water and flow instrumentation. The utility water product line consists of either mechanical or static (ultrasonic) water meters and related radio and software technologies and services that are used by water utilities to generate water and wastewater revenues. Badger Meter estimates that about 70% of water meters installed in the United States have been converted to some form of radio solution technology.
The flow instrumentation product line mainly caters to water applications in the wider industrial markets. This product line consists of meters, valves, and other sensing devices for measuring and controlling the volume of liquids and gases, such as water, air, and steam, that pass through a pipe or pipeline. Badger Meter estimates that more than 95% of its products are used in water-related applications. Typically, flow instrumentation instruments are sold through manufacturers' agents and to original equipment manufacturers as the main flow-measuring component of a system or product.
Bottom Line
While anyone can invest, building a lucrative investment portfolio takes research, patience, and a little bit of risk. If you had invested in Badger Meter ten years ago, you're probably feeling pretty good about your investment today.
According to our calculations, a $1000 investment made in April 2015 would be worth $6,662.30, or a 566.23% gain, as of April 23, 2025. Investors should keep in mind that this return excludes dividends but includes price appreciation.
In comparison, the S&P 500 gained 150.85% and the price of gold went up 171.33% over the same time frame.
Analysts are forecasting more upside for BMI too. Badger Meter’s first-quarter performance gained from steady customer demand for its smart water solutions and disciplined operating execution. The rapid uptake ofcellular AMI solutions, including E-Series ultrasonic meters, ORION Cellular endpoint sales and higher BEACON Software-as-a-Service sales bodes well. The SmartCover buyout boosts its BlueEdge portfolio, contributing $6 million to the quarter's sales. Margins are gaining from a favorable sales and product mix, and cost-saving efforts. Its strong balance sheet aids growth and M&A. It expects high single-digit revenue growth and a gross margin of 38–40% over the long term. Management remains wary of potential macroeconomic woes and tougher year-over-year comparisons in the second quarter. However, supply chain agility, manufacturing footprint and value-based pricing will aid it to counter turbulence.
The stock has jumped 6.53% over the past four weeks. Additionally, no earnings estimate has gone lower in the past two months, compared to 3 higher, for fiscal 2025; the consensus estimate has moved up as well.
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Badger Meter, Inc. (BMI): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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