Why NYSE:PNR Stands Out as a Quality Stock.

In this article we will dive into PENTAIR PLC (NYSE:PNR) as a possible candidate for quality investing. Investors should always do their own research, but we noticed PENTAIR PLC showing up in our Caviar Cruise quality screen, which makes it worth to investigate a bit more.

A Deep Dive into PENTAIR PLC's Quality Metrics.

• The 5-year revenue growth of PENTAIR PLC has been remarkable, with 6.72% increase. This showcases the company's strong performance in driving revenue growth and indicates its competitiveness within the market.
• The ROIC excluding cash and goodwill of PENTAIR PLC stands at 66.82%, reflecting the company's strong financial management and profitability. This metric underscores its ability to generate favorable returns on the capital invested in its core operations.
• With a Debt/Free Cash Flow Ratio of 2.76, 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.
• With a favorable Profit Quality (5-year) ratio of 94.09%, PENTAIR PLC showcases its ability to consistently deliver high-quality profits. This metric signifies the company's financial strength and its capacity to generate sustainable earnings over an extended period.
• 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.
• With EBIT 5-year growth outpacing its Revenue 5-year growth, PENTAIR PLC showcases its effective cost management and enhanced operational performance. This suggests the company's ability to generate higher earnings from its revenue streams.

What else is there to say on the fundamentals of NYSE:PNR?

ChartMill assigns a Fundamental Rating to every stock. This score ranges from 0 to 10 and is updated daily. The score is determined by evaluating multiple fundamental indicators and properties.

We assign a fundamental rating of 5 out of 10 to PNR. PNR was compared to 132 industry peers in the Machinery industry. While PNR belongs to the best of the industry regarding profitability, there are some minor concerns on its financial health. PNR is not valued too expensively and it also shows a decent growth rate.

Check the latest full fundamental report of PNR for a complete fundamental analysis.

Our Caviar Cruise screen will find you more ideas suited for quality investing.

Keep in mind

This article should in no way be interpreted as advice. The article is based on the observed metrics at the time of writing, but you should always make your own analysis and trade or invest at your own responsibility.