Badger Meter Bull Case Tied to Project Rebound and Software Expansion
The article takes a positive stance on Badger Meter, pointing to a rebound in project activity and growth in its software segment. It concludes that these factors justify a buy rating.
Badger Meter received a buy rating from Value Capital Research, published Oct. 14, 2026. The analyst expects nine sizable AMI deployments to accelerate and digitalization to lift sales and margins sequentially in the second half of fiscal 2026 and in fiscal 2027.
The thesis also highlights recurring software revenue from BEACON and Beyond the Meter, which is seen broadening the company's addressable market and aiding profitability. Shares are described as trading below historical multiples because of short-term project timing, with earnings growth anticipated to return.
If Badger Meter's project recovery and software growth materialize, shareholders could see improved earnings and valuation support. Utilities and end users may also be affected as AMI deployments and digital offerings expand, potentially changing how metering data is collected and used. The scale of any societal benefit would depend on execution, adoption, and whether cost savings or service improvements reach customers. Investors should weigh these possibilities against project timing risks and the analyst's disclosed lack of a position.