Wolfe Research Starts Pentair (PNR) at Outperform

Wolfe Research analyst Nigel Coe initiates coverage on Pentair (NYSE: PNR) with a Outperform rating and a price target of $125.00.

The analyst comments "PNR targets a MSD revenue CAGR through 2026, which we view as reasonable at the lower end of the range (4- 5%), supported by a recovery in the depressed Pool market. Our PNR model shows ~3%/~5% organic growth in 2025/26 (and 6.8%/6.5% in Pool) vs. our coverage median at ~4%/~5%; historically PNR has been an in-line organic grower relative to the rest of our coverage. Consensus is modeling 4% growth in 2025/26, so our 2026 revenue estimate is just 70bps below Street. Given PNR’s organic growth is well correlated with growth in US Manufacturing IP and Residential Fixed Asset Investment, we are comfortable assuming a normalized organic growth algorithm consisting of 3% volume and 1% price, with potential for perhaps another ~100bps of upside on the strategic pricing side."

For an analyst ratings summary and ratings history on Pentair click here. For more ratings news on Pentair click here.

Shares of Pentair closed at $107.94 yesterday.

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