PNR — Pentair PLC
$97.00
Target: $120.00 (+24%)
P/E Ratio
18.9
P/E Forward
18.6
Dividend
1.1%
Market Cap
$15.7B
EPS
$5.33
Consensus
Buy
What they do
Pentair plc is a global company specializing in smart water solutions, founded in 1966 and headquartered in Golden Valley, Minnesota (incorporated in Ireland). It operates in three segments:
- Water Solutions — Residential and commercial water treatment systems: point-of-entry and point-of-use filtration, softeners, reverse osmosis, pressure tanks, and commercial ice machines. Brands: Pentair Water Solutions, Everpure (filtration for restaurants/hotels), RainSoft (premium residential), Pentek, Fleck, and Manitowoc Ice (commercial ice machines).
- Pool — Residential and commercial pool equipment and accessories: pumps, filters, heaters, lighting, automatic controls, robotic cleaners, chlorinators, and accessories. It is the market leader in pools in the US. Brands: Pentair Pool, Kreepy Krauly (cleaners), Pleatco (filters), Sta-Rite.
- Flow — Industrial pumps, valves, membrane separation systems, and wastewater treatment for industry, agriculture, and municipalities. Brands: Aurora, Berkeley, Fairbanks-Nijhuis, Hypro, Shurflo, X-Flow.
Pentair serves over 150 countries with approximately 10,500 employees and generates around $3.9 billion in annual revenue.
Why we like it
Pentair is a pure play on water — the planet's most essential resource. Three ideas converge:
- Water scarcity is a global megatrend: stricter regulations, aging infrastructure, and climate change drive investment in water treatment for decades;
- The US pool market is a steady cash generator — 5.7 million pools need constant maintenance (pumps, filters, chemicals) generating predictable revenue;
- Post-transformation: Pentair shed its non-core businesses (electric, thermal) and is now focused solely on water with expanding how much they keep per sale.
With a price vs. profit forward of 15.6x, a 1.14% dividend, and analyst targets of around $120 (+32% upside), PNR offers defensive growth in a sector with structural tailwinds. Analysts rate it as a Buy.
Key Risk
The Pool segment (about 35% of revenue) is cyclical and sensitive to weather, borrowing costs, and home construction — a long winter or high mortgage rates reduce new pool builds and spending on upgrades.
Additional risks: exposure to tariffs and raw material costs (resins, metals, components) that can squeeze how much they keep per sale; growing competition from lower-priced Chinese pool equipment manufacturers; incorporation in Ireland with tax residency in the UK creates regulatory complexity and potential tax scrutiny; and reliance on the US (about 65% of revenue) limits geographic diversification. The dividend is modest (1.14%) — returns mainly depend on price appreciation.
This is educational and informational content, not financial advice. Always consult a qualified financial advisor before making investment decisions.
Vectorial Data picked PNR on 2026-04-14 at $97.00.
This is not financial advice. Consult a certified financial advisor.
The author may hold positions in the securities discussed.
Past performance does not guarantee future results.