Citigroup Issues Pessimistic Forecast for Pentair (NYSE:PNR) Stock Price

Key Points

• Citigroup cut Pentair’s price target from $85 to $69 while maintaining a “buy” rating, implying roughly 32% upside from the stock’s $52.23 price.
• Pentair shares have declined sharply, trading near their 12-month low of $51.13 and below both their 50-day and 200-day moving averages. Analysts’ overall consensus is “Hold,” with an average target price of $84.12.
• The company beat quarterly EPS expectations ($1.14 versus $1.12) but revenue fell 17% year over year to $932.6 million; institutional investors collectively own 92.37% of the stock.

Pentair (NYSE:PNR - Get Free Report) had its target price cut by research analysts at Citigroup from $85.00 to $69.00 in a research report issued to clients and investors on Monday, Benzinga reports. The brokerage presently has a "buy" rating on the industrial products company's stock. Citigroup's target price suggests a potential upside of 32.10% from the stock's current price.

PNR has been the topic of several other research reports. Deutsche Bank Aktiengesellschaft reiterated a "buy" rating and issued a $81.00 target price on shares of Pentair in a research report on Monday, July 27th. Oppenheimer reduced their price target on shares of Pentair from $115.00 to $94.00 and set an "outperform" rating for the company in a research report on Thursday, July 16th. Jefferies Financial Group upgraded shares of Pentair to a "strong-buy" rating in a research report on Wednesday, October 7th. Robert W. Baird decreased their price target on shares of Pentair from $83.00 to $80.00 and set an "outperform" rating on the stock in a research note on Wednesday, July 29th. Finally, Mizuho lowered their price objective on Pentair from $100.00 to $85.00 and set an "outperform" rating on the stock in a report on Tuesday, July 21st. One investment analyst has rated the stock with a Strong Buy rating, eight have issued a Buy rating, six have issued a Hold rating and three have assigned a Sell rating to the company's stock. According to data from MarketBeat, Pentair has a consensus rating of "Hold" and a consensus target price of $84.12.

Pentair Price Performance

PNR traded down $0.24 during trading on Monday, hitting $52.23. The company's stock had a trading volume of 2,254,239 shares, compared to its average volume of 2,430,870. The company has a current ratio of 1.45, a quick ratio of 0.76 and a debt-to-equity ratio of 0.43. Pentair has a twelve month low of $51.13 and a twelve month high of $112.13. The business's fifty day simple moving average is $59.67 and its 200 day simple moving average is $70.95. The firm has a market capitalization of $8.34 billion, a price-to-earnings ratio of 13.12, a P/E/G ratio of 1.34 and a beta of 1.04.

Pentair (NYSE:PNR - Get Free Report) last announced its earnings results on Wednesday, July 29th. The industrial products company reported $1.14 earnings per share for the quarter, topping the consensus estimate of $1.12 by $0.02. Pentair had a return on equity of 20.62% and a net margin of 16.24%. The business had revenue of $932.60 million during the quarter, compared to the consensus estimate of $943.24 million. During the same period in the prior year, the company posted $1.39 EPS. The business's quarterly revenue was down 17.0% on a year-over-year basis. On average, equities research analysts forecast that Pentair will post 4.64 EPS for the current fiscal year.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently made changes to their positions in PNR. Amundi lifted its stake in Pentair by 13.1% during the 1st quarter. Amundi now owns 4,237,659 shares of the industrial products company's stock worth $369,208,000 after acquiring an additional 491,758 shares in the last quarter. Panagora Asset Management Inc. grew its position in Pentair by 26.1% in the 4th quarter. Panagora Asset Management Inc. now owns 1,550,935 shares of the industrial products company's stock valued at $161,514,000 after acquiring an additional 321,341 shares in the last quarter. Hsbc Holdings PLC grew its position in Pentair by 1,459.8% in the 1st quarter. Hsbc Holdings PLC now owns 1,270,578 shares of the industrial products company's stock valued at $110,617,000 after acquiring an additional 1,189,122 shares in the last quarter. First Trust Advisors LP grew its position in Pentair by 52.9% in the 1st quarter. First Trust Advisors LP now owns 1,215,064 shares of the industrial products company's stock valued at $105,844,000 after acquiring an additional 420,140 shares in the last quarter. Finally, 140 Summer Partners LP increased its stake in Pentair by 10.7% during the fourth quarter. 140 Summer Partners LP now owns 607,112 shares of the industrial products company's stock worth $63,225,000 after purchasing an additional 58,609 shares during the period. 92.37% of the stock is currently owned by institutional investors and hedge funds.

About Pentair

Pentair plc NYSE: PNR is a water treatment and fluid management company that develops products and solutions for residential, commercial, industrial, and municipal customers. Its offerings are designed to help move, treat, filter, control, and conserve water across a range of applications.

The company's products include pool pumps, filters, heaters, cleaners, lighting, automation systems, and related equipment, as well as water softeners, filtration systems, pumps, valves, controls, and other water-treatment technologies.

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