As reported earlier, Maxim analyst Tate Sullivan initiated Badger Meter with a Buy rating and a price target of $65, saying the company's introduction of new water meter technology into an "old infrastructure market" should lead to revenue and margin growth. The analyst also expects Badger Meter to boost its dividend by about 15% in 2019 - in line with the 2018 increase - and for its 2018 CEO transition to be "smooth", further supporting the premium multiple for its shares.

Badger Meter is up 12.4%, or $19.00 to $172.00.

Badger Meter is up 11.1%, or $16.95 to $169.95.

Bockhorst continued, "Our first quarter results demonstrate our continued adeptness in capitalizing on the resilient macro trends within the water industry. While we face more difficult prior year comparisons as the year progresses, we have confidence in the durability of our end markets, the appeal of our innovative offerings and strength of our execution to drive sales and earnings growth. Our expanding suite of end-to-end smart water offerings provides our customers with the ability to customize and tailor solutions to best meet their water management needs. Our proven strategy and strong balance sheet support our ongoing capital allocation priorities including value-added, disciplined acquisitions to continue to differentiate our offerings. We were proud to be named for the second consecutive year to Barron's 2024 list of 100 Most Sustainable Companies. Additionally, we were named a 2024 USA Top Workplace. We believe these types of recognition demonstrate our longstanding philosophy that both managing and enabling sustainability drives long-term shareholder value and world-class employee engagement." Bockhorst concluded, "Badger Meter remains committed to serving our customers, executing our strategy and investing for long-term profitable growth which in turn enables us to preserve the world's most precious resource."

Reports Q1 revenue $196.28M, consensus $182.26M. "The continued strength in both customer demand and operating execution drove exceptional performance in our first quarter, with record quarterly revenue, operating profit and EPS results. These record results are reflective of ongoing favorable industry fundamentals, driving robust customer demand for our innovative smart water solutions. Our operating profit margins benefited from higher volumes, solid operating execution and selling, engineering and administration (SEA) expense leverage. Additionally, we completed the acquisition of the Telog/Unity network monitoring offering at the beginning of the year with seamless integration of their hardware and software teams well underway," said Kenneth C. Bockhorst, Chairman, President and Chief Executive Officer. "I am pleased with our collective achievements to start off the year and want to thank our world-class employees for their dedication and commitment to serving our customers."