Founded in 1905 in Wisconsin, Badger Meter has evolved from producing winter-proof mechanical meters to pioneering advanced metering infrastructure (AMI) and IoT-enabled water networks. The company’s ultrasonic flow devices and edge-computing sensors now monitor over 60 water-quality parameters in real time, helping utilities reduce non-revenue water losses and comply with stricter regulatory standards. With a global footprint that includes R&D centers in Los Gatos (CA), Sweden and Austria, plus manufacturing sites across North America and Europe, Badger Meter supports more than 2,000 water utilities worldwide and has delivered 100-bagger returns over the past three decades for its long-term shareholders.

In late December, Barclays initiated coverage of Badger Meter with an underweight rating, contending that valuations—near 39 times trailing earnings—reflect peak investor enthusiasm and could falter under slowing utility capital spending. The report highlighted Badger Meter’s strong balance sheet, zero long-term debt and consistent free cash flow generation, but projected revenue growth deceleration tied to municipal budget pressures. While the firm’s five-year average P/E sits around 50, proponents argue that expanding digital services and recurring software revenue—currently accounting for roughly 25% of total sales—offer a durable margin tailwind above the corporate-wide gross margin of approximately 41%.

Badger Meter will release fourth-quarter and full-year 2025 results before markets open on January 28, 2026, followed by a 10:00 am CT earnings call webcast. Investors will scrutinize order trends for smart-meter deployments in North America and Europe, software subscription growth and gross margin expansion targets. Management has guided for mid-single-digit organic revenue growth for fiscal 2026 and aims to modestly increase its dividend yield—currently near 0.9%—as part of a balanced capital allocation strategy combining share repurchases and R&D reinvestment.