PENTAIR PLC (PNR)
IE00BLS09M33 - Common Stock
Overall PNR gets a fundamental rating of 6 out of 10. We evaluated PNR against 131 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 has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
In the past year PNR was profitable.
In the past year PNR had a positive cash flow from operations.
Each year in the past 5 years PNR has been profitable.
In the past 5 years PNR always reported a positive cash flow from operatings.
1.2 Ratios
With an excellent Return On Assets value of 10.30%, PNR belongs to the best of the industry, outperforming 82.68% of the companies in the same industry.
PNR has a better Return On Equity (19.06%) than 81.10% of its industry peers.
The Return On Invested Capital of PNR (13.92%) is better than 81.89% of its industry peers.
The Average Return On Invested Capital over the past 3 years for PNR is in line with the industry average of 10.98%.
The 3 year average ROIC (12.76%) for PNR is below the current ROIC(13.92%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 10.3% | ||
| ROE | 19.06% | ||
| ROIC | 13.92% |
ROA(3y)9.53%
ROA(5y)9.14%
ROE(3y)19.98%
ROE(5y)19.04%
ROIC(3y)12.76%
ROIC(5y)12.4%
1.3 Margins
The Profit Margin of PNR (16.29%) is better than 92.91% of its industry peers.
In the last couple of years the Profit Margin of PNR has grown nicely.
PNR has a better Operating Margin (21.48%) than 90.55% of its industry peers.
In the last couple of years the Operating Margin of PNR has grown nicely.
With a decent Gross Margin value of 39.71%, PNR is doing good in the industry, outperforming 74.80% of the companies in the same industry.
PNR's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 21.48% | ||
| PM (TTM) | 16.29% | ||
| GM | 39.71% |
OM growth 3Y6.6%
OM growth 5Y3.47%
PM growth 3Y8.48%
PM growth 5Y5.3%
GM growth 3Y1.84%
GM growth 5Y0.93%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so PNR is still creating some value.
Compared to 1 year ago, PNR has more shares outstanding
PNR has less shares outstanding than it did 5 years ago.
Compared to 1 year ago, PNR has an improved debt to assets ratio.
2.2 Solvency
An Altman-Z score of 5.19 indicates that PNR is not in any danger for bankruptcy at the moment.
With a decent Altman-Z score value of 5.19, PNR is doing good in the industry, outperforming 76.38% of the companies in the same industry.
The Debt to FCF ratio of PNR is 2.24, which is a good value as it means it would take PNR, 2.24 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of PNR (2.24) is better than 79.53% of its industry peers.
A Debt/Equity ratio of 0.47 indicates that PNR is not too dependend on debt financing.
With a Debt to Equity ratio value of 0.47, PNR perfoms like the industry average, outperforming 51.18% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.47 | ||
| Debt/FCF | 2.24 | ||
| Altman-Z | 5.19 |
ROIC/WACC1.63
WACC8.52%
2.3 Liquidity
A Current Ratio of 1.60 indicates that PNR should not have too much problems paying its short term obligations.
With a Current ratio value of 1.60, PNR is not doing good in the industry: 70.87% of the companies in the same industry are doing better.
PNR has a Quick Ratio of 1.60. This is a bad value and indicates that PNR is not financially healthy enough and could expect problems in meeting its short term obligations.
PNR has a Quick ratio of 0.91. This is in the lower half of the industry: PNR underperforms 74.80% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.6 | ||
| Quick Ratio | 0.91 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 11.35% over the past year.
Measured over the past 5 years, PNR shows a small growth in Earnings Per Share. The EPS has been growing by 6.55% on average per year.
PNR shows a decrease in Revenue. In the last year, the revenue decreased by -0.69%.
PNR shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 6.72% yearly.
EPS 1Y (TTM)11.35%
EPS 3Y14.32%
EPS 5Y6.55%
EPS Q2Q%15.96%
Revenue 1Y (TTM)-0.69%
Revenue growth 3Y10.8%
Revenue growth 5Y6.72%
Sales Q2Q%-1.53%
3.2 Future
PNR is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 9.59% yearly.
PNR is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 4.16% yearly.
EPS Next Y15.17%
EPS Next 2Y14.33%
EPS Next 3Y13.09%
EPS Next 5Y9.59%
Revenue Next Year-0.29%
Revenue Next 2Y1.9%
Revenue Next 3Y2.68%
Revenue Next 5Y4.16%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 25.70, which means the current valuation is very expensive for PNR.
PNR's Price/Earnings is on the same level as the industry average.
When comparing the Price/Earnings ratio of PNR to the average of the S&P500 Index (28.53), we can say PNR is valued inline with the index average.
The Price/Forward Earnings ratio is 21.60, which indicates a rather expensive current valuation of PNR.
PNR's Price/Forward Earnings ratio is in line with the industry average.
Compared to an average S&P500 Price/Forward Earnings ratio of 23.40, PNR is valued at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 25.7 | ||
| Fwd PE | 21.6 |
4.2 Price Multiples
PNR's Enterprise Value to EBITDA ratio is in line with the industry average.
62.20% of the companies in the same industry are more expensive than PNR, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 24.1 | ||
| EV/EBITDA | 19.02 |
4.3 Compensation for Growth
PNR's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
PNR has an outstanding profitability rating, which may justify a higher PE ratio.
PNR's earnings are expected to grow with 13.09% in the coming years. This may justify a more expensive valuation.
PEG (NY)1.69
PEG (5Y)3.92
EPS Next 2Y14.33%
EPS Next 3Y13.09%
5. Dividend
5.1 Amount
With a yearly dividend of 0.87%, PNR is not a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 1.54, PNR pays a bit more dividend than its industry peers.
With a Dividend Yield of 0.87, PNR pays less dividend than the S&P500 average, which is at 2.22.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.87% |
5.2 History
The dividend of PNR decreases each year by -3.77%.
PNR has been paying a dividend for at least 10 years, so it has a reliable track record.
PNR has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)-3.77%
Div Incr Years4
Div Non Decr Years4
5.3 Sustainability
PNR pays out 22.58% of its income as dividend. This is a sustainable payout ratio.
DP22.58%
EPS Next 2Y14.33%
EPS Next 3Y13.09%
PENTAIR PLC
NYSE:PNR (11/18/2024, 4:15:00 PM)
After market: 105.87 0 (0%)105.87
-0.05 (-0.05%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryMachinery
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap17.49B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.87% |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
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EPS beat(8)
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EPS beat(16)
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Revenue beat(2)
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Revenue beat(8)
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Revenue beat(12)
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Revenue beat(16)
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PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 25.7 | ||
| Fwd PE | 21.6 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)1.69
PEG (5Y)3.92
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 10.3% | ||
| ROE | 19.06% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 21.48% | ||
| PM (TTM) | 16.29% | ||
| GM | 39.71% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.63
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.47 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 1.6 | ||
| Quick Ratio | 0.91 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
High Growth Momentum
Growth
EPS 1Y (TTM)11.35%
EPS 3Y14.32%
EPS 5Y
EPS Q2Q%
EPS Next Y15.17%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)-0.69%
Revenue growth 3Y10.8%
Revenue growth 5Y
Sales Q2Q%
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y