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If You Invested $1000 in Badger Meter 10 Years Ago, This Is How Much You'd Have Now

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How much a stock's price changes over time is a significant driver for most investors. Not only can price performance impact your portfolio, but it can help you compare investment results across sectors and industries as well.

The fear of missing out, or FOMO, also plays a factor in investing, especially with particular tech giants, as well as popular consumer-facing stocks.

What if you'd invested in Badger Meter (BMI - Free Report) 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 90% 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

Putting together a successful investment portfolio takes a combination of research, patience, and a little bit of risk. For Badger Meter, if you bought shares a decade ago, you're likely feeling really good about your investment today.

A $1000 investment made in November 2014 would be worth $7,734.15, or a 673.42% gain, as of November 15, 2024, according to our calculations. Investors should note that this return excludes dividends but includes price increases.

The S&P 500 rose 191.65% and the price of gold increased 107.05% over the same time frame in comparison.

Looking ahead, analysts are expecting more upside for BMI.

Badger Meter’s performance is gaining from continued strong demand for its tailorable water management solutions. Robust adoption across the BlueEdge suite of solutions, especially BEACON Software as a Service (SaaS) and ORION communication endpoints, boosted utility water sales by 14%. Margins are gaining from a positive structural sales mix, SEA leverage and robust operational execution. However, flow instrumentation product sales remained flat year over year due to worldwide declines in certain de-emphasized applications. Management noted that hurricane recovery activity might delay some Southeast U.S. utility projects in the near term. Also, it expects fewer operating days in the fourth quarter due to the holiday season. It anticipates delivering high single-digit sales growth rates going ahead.

The stock is up 6.65% over the past four weeks, and no earnings estimate has gone lower in the past two months, compared to 3 higher, for fiscal 2024. The consensus estimate has moved up as well.

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