Jefferies initiated coverage of Badger Meter, Inc. (BMI) with a Buy rating and a $220 price target, citing the company as a leader in smart water metering. The recent slowdown in growth is attributed to tough comparisons, not weakening demand. Badger Meter has a strong track record of acquisitions, including the purchase of SmartCover Systems for $185 million. The company’s free cash flow margins have improved significantly, allowing for dividend growth potential. Badger Meter offers end-to-end water management solutions through its BlueEdge suite. Despite potential as an investment, some AI stocks may offer greater upside potential with less downside risk.

Read more at Yahoo Finance: Jefferies Initiates Badger Meter (BMI) with Buy Rating as Smart Water Demand Stays Intact