Quality investors are looking for the best of the best. Companies which are growing steadily and consistently, but are also in excellent financial condition. We will have a look here to see if PENTAIR PLC (NYSE:PNR) is suited for quality investing. Investors should of course do their own research, but we spotted PENTAIR PLC showing up in our Caviar Cruise quality screen, so it may be worth spending some more time on it.
Why NYSE:PNR may be interesting for quality investors.
PENTAIR PLC has shown strong performance in revenue growth over the past 5 years, with a 6.72% increase. This indicates the company's ability to generate consistent revenue growth and reflects its potential for long-term success.
PENTAIR PLC exhibits a strong ROIC excluding cash and goodwill, indicating efficient capital utilization and profitable operations. The 48.49% reflects the company's ability to generate returns on invested capital and underscores its commitment to delivering value to shareholders.
With a Debt/Free Cash Flow Ratio of 3.86, PENTAIR PLC exhibits solid financial health and responsible debt management practices. This ratio indicates the company's ability to generate ample free cash flow to meet its debt obligations and pursue growth opportunities.
PENTAIR PLC demonstrates consistent Profit Quality over the past 5 years, with a strong 94.09%. This indicates the company's ability to generate sustainable and reliable profits, showcasing its long-term profitability and financial stability.
PENTAIR PLC has demonstrated consistent growth in EBIT over the past 5 years, with a strong 10.42%. This signifies the company's ability to generate sustainable earnings and reflects its positive financial trajectory.
The EBIT 5-year growth of PENTAIR PLC has outpaced its Revenue 5-year growth, reflecting the company's focus on optimizing its profitability and generating sustainable earnings. This trend underscores its strong financial management.
How does the complete fundamental picture look for NYSE:PNR?
ChartMill utilizes a proprietary algorithm to assign a Fundamental Rating to every stock. This rating, ranging from 0 to 10, is computed daily by analyzing a variety of fundamental indicators and properties.
Overall PNR gets a fundamental rating of 5 out of 10. We evaluated PNR against 132 industry peers in the Machinery industry. While PNR has a great profitability rating, there are some minor concerns on its financial health. PNR is not valued too expensively and it also shows a decent growth rate.
More ideas for quality investing can be found on ChartMill in our Caviar Cruise screen.
Keep in mind
This is not investing advice! The article highlights some of the observations at the time of writing, but you should always make your own analysis and invest based on your own insights.