Young trees were watered with a sprinkler and bark is peeling on the southwest side of tree in a few spots. Can this be healed and how?
I'm not a clairvoyant so it is rather difficult for me to visualize what is going on. Maybe the sprinkler knocked the bark off the tree, maybe the tree got sunburned or maybe any one of many other things could have transpired. Not knowing what kind of tree it is further complicates things. However, trees are usually quite capable of repairing small wounds on their own. I recommend that you let them do so.