In this article, we will discuss the 5 Best Water Infrastructure Stocks to Buy for Scarcity Trends. For deeper discussion and analysis, read 7 Best Water Infrastructure Stocks to Buy for Scarcity Trends.
5. United Rentals, Inc. (NYSE:URI)
Short Percentage of Shares Outstanding: 2.23%
United Rentals, Inc. (NYSE:URI) received a boost from analysts on June 3 when UBS raised its price target on the stock to $1,145 from $1,025 while maintaining a Buy rating. The firm cited encouraging industry data and branch manager surveys that continue to point toward healthy rental demand and positive momentum across construction and industrial markets.
Earlier, on May 11, Evercore ISI analyst David Raso increased his price target on United Rentals, Inc. (NYSE:URI) to $1,101 from $1,019 and reiterated an Outperform rating. The upward revision reflects confidence in the company’s market leadership, pricing power, and ability to benefit from ongoing activity in construction, industrial maintenance, and infrastructure-related projects.
United Rentals is the largest equipment rental company in North America and is headquartered in Stamford, Connecticut. Founded in 1997, the company provides a wide range of rental equipment for construction, industrial, municipal, and residential customers. Its offerings include earthmoving equipment, aerial work platforms, power and HVAC systems, trench safety solutions, water management services, and specialty tools.
4. Mueller Water Products, Inc. (NYSE:MWA)
Short Percentage of Shares Outstanding: 2.12%
Mueller Water Products, Inc. (NYSE:MWA) continued to attract analyst attention on May 7 when Baird raised its price target on the stock to $34 from $33 while maintaining a Neutral rating. The firm updated its financial model following second-quarter results and indicated that the company’s performance remains largely in line with expectations.
The day before, Goldman Sachs increased its price target on Mueller Water Products, Inc. (NYSE:MWA) to $29 from $28 and maintained a Neutral rating. The firm highlighted record second-quarter results that exceeded expectations on both revenue and earnings, driven by favorable pricing actions and manufacturing efficiencies. Goldman Sachs also noted that margin expansion is expected to continue throughout the year as the benefits of recent pricing initiatives become more fully realized in the second half of 2026.
Mueller Water Products, Inc. (NYSE:MWA) is a leading manufacturer and marketer of water infrastructure products headquartered in Atlanta, Georgia, and was founded in 1857. The company’s portfolio includes fire hydrants, gate valves, pipe repair solutions, leak detection technologies, and smart water metering systems used throughout North America.
3. Valmont Industries, Inc. (NYSE:VMI)
Short Percentage of Shares Outstanding: 1.96%
Valmont Industries, Inc. (NYSE:VMI) received a strong endorsement from Wall Street on May 28 when Oppenheimer initiated coverage of the company with an Outperform rating and a $600 price target. The firm believes Valmont is well-positioned to capitalize on rising investment in utility transmission and distribution infrastructure, an area expected to benefit from grid modernization efforts and growing electricity demand.
Earlier, on April 22, Stifel raised its price target on Valmont Industries, Inc. (NYSE:VMI) to $541 from $497 while maintaining a Buy rating. The firm highlighted the company’s robust utility segment performance, which continues to offset softer conditions in the irrigation market. Stifel’s revised outlook reflects confidence that growth in utility infrastructure projects will remain a meaningful driver of earnings and revenue expansion, helping Valmont navigate cyclical challenges in certain end markets while maintaining solid operational momentum.
Valmont Industries, Inc. (NYSE:VMI) is a diversified industrial manufacturer headquartered in Omaha, Nebraska, and was founded in 1946. The company produces mechanized irrigation equipment, utility and lighting structures, telecommunication towers, solar tracking systems, and industrial protective coating solutions.
2. Stantec Inc. (NYSE:STN)
Short Percentage of Shares Outstanding: 1.40%
Stantec Inc. (NYSE:STN) strengthened its position in the water infrastructure market on June 3 when the Black & Veatch–Stantec joint venture secured an $85 million contract from the U.S. Army Corps of Engineers. The agreement will provide design and engineering support services for the Brandon Road Interbasin Project, a major initiative intended to prevent invasive carp populations from entering the Great Lakes. The eight-year contract involves modifications to the Brandon Road Lock and Dam and highlights Stantec’s expertise in delivering large-scale environmental and water-resource infrastructure projects.
Earlier, on May 19, CIBC analyst Krista Friesen lowered her price target on Stantec Inc. (NYSE:STN) to C$160 from C$173 while maintaining an Outperformer rating. Although the target was reduced, the continued positive rating reflects confidence in the company’s long-term growth prospects and operational execution.
Stantec Inc. (NYSE:STN) is a global professional services firm headquartered in Edmonton, Alberta, Canada, and was founded in 1954. The company provides engineering, architecture, environmental consulting, and design services across a wide range of sectors, including transportation, energy, buildings, and infrastructure. Stantec has developed a particularly strong presence in water infrastructure, supporting clients with planning, design, and program management solutions for drinking water, wastewater, flood control, and water-resource management projects around the world.
1. Southland Holdings, Inc. (NYSEAMERICAN:SLND)
Short Percentage of Shares Outstanding: 1.24%
Southland Holdings, Inc. (NYSEAMERICAN:SLND) reported first-quarter revenue of $172.4 million on May 12, slightly exceeding analyst estimates of $172.22 million. Management highlighted encouraging progress on the strategic plan introduced earlier this year, noting that a strengthened capital position has supported operational improvements across the business. President and Chief Executive Officer Frank Renda pointed to the Civil segment’s 14% gross margin as evidence of the company’s improving execution, while emphasizing continued focus on asset optimization, disciplined bidding practices, and the pursuit of higher-margin opportunities within its core infrastructure markets.
Earlier, on March 31, Craig-Hallum analyst Christian Schwab lowered his price target on Southland Holdings, Inc. (NYSEAMERICAN:SLND) to $3 from $8 while maintaining a Buy rating. The adjustment followed weaker-than-expected fourth-quarter results, which were impacted by a legal ruling related to the Washington State Convention Center project and reduced visibility into 2026 performance.
Southland Holdings, Inc. (NYSEAMERICAN:SLND) is an infrastructure construction company headquartered in Grapevine, Texas, with organizational roots dating back to 1900. Through subsidiaries such as Oscar Renda Contracting and Southland Contracting, the company specializes in complex civil engineering projects, including tunnels, bridges, marine structures, transportation systems, and water-resource infrastructure.
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