Badger Meter initiated with an Outperform at RBC Capital

RBC Capital initiated coverage of Badger Meter (BMI) with an Outperform rating and $251 price target The firm cites the company’s highest five-year organic revenue and EPS growth rates among its peers under coverage, also noting that in addition to its leadership in smart water meters and attractive global growth dynamics, Badger Meter has strategically moved into water test, the analyst tells investors in a research note. The stock’s valuation premium is warranted given the company’s growth trajectory and scarcity value, RBC adds.