Pentair (PNR)
NYSEIndustrialsIndustrial - MachinerySnapshot 2026-09-04
$60.21+0.32%
Close 2026-09-04 · 1-day change
NYSEIndustrialsIndustrial - MachinerySnapshot 2026-09-04
QuarterlyIQ Insights · PNR
How strong the business is — where it ranks within its sector on capital efficiency and cash generation, and how well management has been executing.
How this business ranks within industrials on a research-validated quality screen. As of 2026-09-04.
The screen ranks PNR against its sector on four durable signals: share dilution, return on capital, free-cash-flow yield, and FCF margin. Historically the highest-quality names tended toward better typical outcomes and fewer bad years over multi-year holds (strongest at three years, modest at one), and that pattern showed up even before the price moved. It characterizes business quality, not price direction.
Each leg is a sector-relative percentile (higher is better); 3 of 4 legs were available for this name. The composite is built from these four; the raw value follows each percentile for context.
A forward quality tilt, not a price prediction, and context for your own research rather than a recommendation. Not investment advice.
How management runs the business: capital, margins, balance sheet, and how reliably they guide and deliver.
Each factor is a parallel diagnostic with a clear read of what it shows and how names like it have historically fared. Never aggregated into a single score.
Operating income rose in 1 of the last 3 quarter-over-quarter moves. Historically, Industrials names rated neutral grew net income 51% of the time over the next year (vs 60% for the rest of the cohort, n=9249).
Not investment advice. Scores describe historical and current data; they are not forecasts of future returns. Consult a licensed advisor before making investment decisions.
Met or beat guidance 75% of the last 4 guided quarters · -0.4% avg surprise
Priorities management has stated in recent disclosures, with status and evidence drawn from earnings calls, filings, and press releases.
Focus on expanding sales and earnings through innovation, market growth, and operational execution across key segments.
Stated as a priority in 6 of last 6 quarters. Revenue grew modestly from approximately $4.08 billion in 2024 to $4.18 billion in 2025. Adjusted EPS guidance for 2026 is approximately $4.60 to $4.80. Management consistently emphasizes growth through innovation and market expansion, but recent revenue growth is modest and EPS guidance has been revised downward, indicating limited progress in accelerating growth.
“We remain focused on executing our clear plan to expand in key growth markets, advance innovation and deliver exceptional customer service to drive long-term profitable growth.”
“We continue to invest to drive long-term sales and earnings growth.”
“We delivered strong cash flow, invested in growth initiatives across our balanced water portfolio and maintained a solid balance sheet.”
“We are investing in growth across Flow, Water Solutions and Pool and leveraging 80/20 to continue to drive top-line growth.”
“We believe we are ready to capture higher demand when the residential market returns to growth while continuing to invest in innovation and growth initiatives.”
“We continue to help our customers move, improve and enjoy water, life’s most essential resource, while also working to enhance shareholder returns.”
Continue disciplined capital deployment including share repurchases, dividend increases, and managing debt.
Stated as a priority in 6 of last 6 quarters. The company repurchased shares consistently each quarter, including 2.0 million shares for $150 million in 2026-Q2 and increased dividends to $0.27 per share. Capital allocation remains disciplined with steady share repurchases and dividend growth, indicating delivery on this priority.
Drive margin expansion and operational efficiency via Transformation initiatives and the Pentair Business System.
Stated as a priority in 6 of last 6 quarters. Adjusted operating income increased from $242.5 million in 2025-Q1 to $259.1 million in 2026-Q1 (+7%), but declined to $237 million in 2026-Q2 (-20% vs 2025-Q2). While management emphasizes margin expansion via Transformation, recent adjusted operating income shows mixed results, indicating limited progress in sustaining margin expansion.
Address Pool channel inventory destocking and prepare the Pool segment for robust growth in 2027.
Newly stated in 2026-Q2 and reiterated in 2026-Q1. Pool segment sales declined sharply by 42% in 2026-Q2 due to inventory destocking. Management describes this as a temporary channel reset and is taking actions to improve inventory visibility and order patterns to position for robust growth in 2027. The trajectory shows current weakness but management is focused on recovery.
Over the trailing year it converted -0.14x of net income into operating cash flow. Historically, Industrials names rated fragile grew net income 48% of the time over the next year (vs 59% for the rest of the cohort, n=4997).
Most sensitive to the broad stock market.
Not enough signal to read sensitivity to the US dollar, real (inflation-adjusted) rates, long-term interest rates, Fed net liquidity (low R² over the window).
9 material management or governance events in the past 24 months, led by executive changes. Historically, Industrials names rated neutral grew net income 58% of the time over the next year (vs 56% for the rest of the cohort, n=3431).
Not investment advice. As of 2026-09-04.
“During the second quarter, the Company repurchased 2.0 million shares for $150 million.”
“During the first quarter, the Company repurchased 2.0 million shares for $200 million.”
“During the fourth quarter, the company repurchased 0.5 million shares for $50 million.”
“During the third quarter, the Company repurchased 0.5 million shares for $50 million.”
“During the second quarter, the Company repurchased 0.7 million shares for $75 million.”
“During the first quarter, the Company repurchased 0.6 million of ordinary shares for $50 million.”
“Adjusted operating income was $237 million for the second quarter of 2026, down 20 percent compared to the second quarter of 2025.”
“Adjusted operating income of $259 million for the first quarter of 2026, up 7 percent compared to the first quarter of 2025.”
“Adjusted operating income of $297 million with ROS of 26.4 percent in second quarter 2025.”
“Adjusted operating income of $263 million for the third quarter of 2025, up 10 percent compared to prior year.”
“Transformation initiatives are on track to deliver expected savings this year.”
“Transformation initiatives and 80/20 actions drove earnings growth.”
“Pool sales were down 42 percent due to a more pronounced inventory realignment with major channel partners.”
“We are confident we are taking the right steps to position the business to deliver significant sales and EPS growth in 2027.”