Pentair (PNR, Financial) has recently filed an automatic mixed securities shelf, a strategic financial move often used by companies to offer and sell various securities over time. This filing allows Pentair the flexibility to issue debt or equity as market conditions dictate, aiding in potential capital generation and investment opportunities. The company's decision to file this shelf registration can be seen as a preparation for future financial maneuvers, aligning with its broader business strategies.
Wall Street Analysts Forecast
Based on the one-year price targets offered by 18 analysts, the average target price for Pentair PLC (PNR, Financial) is $105.25 with a high estimate of $118.00 and a low estimate of $84.00. The average target implies an upside of 6.84% from the current price of $98.51. More detailed estimate data can be found on the Pentair PLC (PNR) Forecast page.
Based on the consensus recommendation from 21 brokerage firms, Pentair PLC's (PNR, Financial) average brokerage recommendation is currently 2.0, indicating "Outperform" status. The rating scale ranges from 1 to 5, where 1 signifies Strong Buy, and 5 denotes Sell.
Based on GuruFocus estimates, the estimated GF Value for Pentair PLC (PNR, Financial) in one year is $69.39, suggesting a downside of 29.56% from the current price of $98.51. GF Value is GuruFocus' estimate of the fair value that the stock should be traded at. It is calculated based on the historical multiples the stock has traded at previously, as well as past business growth and the future estimates of the business' performance. More detailed data can be found on the Pentair PLC (PNR) Summary page.
PNR Key Business Developments
Release Date: April 22, 2025
- Sales: $1 billion, down 1% year-over-year.
- Adjusted Operating Income: Increased 12% to $243 million.
- Return on Sales (ROS): Expanded by 260 basis points to 24%.
- Adjusted EPS: Increased 18% to $1.11.
- Pool Sales: Increased 7% to $384 million.
- Flow Sales: Declined 4% year-over-year.
- Water Solutions Sales: Declined 5% to $258 million.
- Share Repurchase: $50 million of shares repurchased.
- Dividend Increase: Increased for the 49th consecutive year.
- Net Debt Leverage Ratio: 1.6 times, down from 2.1 times a year ago.
- Full Year 2025 EPS Guidance: $4.65 to $4.80, up approximately 9% at the midpoint year-over-year.
- Transformation Savings: Expected $80 million in 2025.
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
Positive Points
- Pentair PLC (PNR, Financial) delivered its 12th consecutive quarter of margin expansion and strong earnings growth.
- Adjusted operating income increased by 12% to $243 million, with a return on sales (ROS) expanding by 260 basis points to 24%.
- The company repurchased $50 million of shares and increased its dividend for the 49th consecutive year, reinforcing its dividend aristocrat status.
- Pentair PLC (PNR) maintained its full-year 2025 sales and adjusted EPS guidance, indicating confidence in its financial outlook.
- The company has a strong balance sheet, low net debt-to-EBITDA leverage ratio, and a balanced capital deployment strategy, providing financial flexibility.
Negative Points
- Sales were down 1% year-over-year, with declines in the Water Solutions and Flow segments.
- The company faces challenges from tariffs, with an estimated $140 million impact net of mitigation actions.
- Residential sales within the Flow segment were down 6% due to higher interest rates affecting end markets.
- Pentair PLC (PNR) anticipates potential volume declines as prices rise due to tariff impacts.
- The company is operating in a dynamic environment with uncertainties related to tariffs and inflation, which could affect future performance.
