Current Report: Pentair (PNR)

close-up photo of monitor displaying graph

Photo by Nicholas Cappello on Unsplash

Pentair PLC, known by the ticker symbol PNR, is a mid-cap specialty industrial machinery company, operating in the industrials business sector. This is my First report on Pentair PLC for this Viital portfolio, of any of  my previous six portfolios.

Pentair is a global leader in the water treatment industry, with 10,000 employees and a presence in 25 countries. Pentair's business is organized into two segments: consumer solutions and industrial and flow technologies.

The company offers a wide range of water solutions, including energy-efficient swimming pool equipment, filtration solutions, and commercial and industrial pumps.

As consumer solutions it offers its products under the Everpure, Ken's Beverage, Kreepy Krauly, Pentair Water Solutions, Pleatco, RainSoft, and Sta-Rite brands.

For industrial and flow technologies., its brands are Pentair, Aurora, Berkeley, Codeline, Fairbanks-Nijhuis, Haffmans, Hydromatic, Hypro, Jung Pumpen, Myers, Sta-Rite, Shurflo, Südmo, and X-Flow.

Pentair generated approximately $3.8 billion in revenue and $686 million in adjusted operating income in 2021.

Pentair plc was founded in 1966 and is headquartered in London, the United Kingdom.

Three key data points gauge any dividend equity or fund such as Pentair PLC (PNR)

(1) Price

(2) Dividends

(3) Returns

Those three basic keys best tell whether any company has made, is making, and will make money.

PNR Price

Pentair’s price per share was $53.80 as of yesterday's market close. One year ago its price was $67.30. Therefore, Pentair’s share price fell $13.50 or about 20% in the past year.

If Pentair’s stock trades in the range of $45.00 to $70.00 this next year, its recent $53.80 share price might rise by $10.20 to reach $64.00 by May 5, 2023. My $10.20 upside estimate is $5.12 less than the median of price upside gauged by seventeen analysts tracking PNR for their brokerages.

PNR Dividends

Pentair’s most recently declared quarterly dividend of $0.21 is payable tomorrow, May 6th to shareholders on record as of April 21st.

Pentair PLC started its quarterly dividend  July 23,1990. The dividend has varied steadily from $0.025 to $0.235 last paid April12 2018. At its recent .0.21 Q rate, PNR’s annual payout of $0.84 is estimated to deliver a 1.56% annual yield per yesterday’s $53.80 share price.

PNR Returns

Adding the $0.80 PNR annual dividend to the estimated one-year price upside of $10.20 shows a $11.00 potential gross gain, per share, to be reduced by any costs to trade PNR shares.

At yesterday's $53.80 closing price per share, a little over $1000 would buy 19 shares.

A $10 broker fee (if charged) would be paid half at purchase and half at sale and might cost us about $0.53 per share.

Subtract that maybe $0.53 brokerage cost from my estimated $11.00 gross gain estimate per share results in a net gain of $10.47 X 19 shares = $198.93 for a 19.8% net gain on a $1,022.20 investment.

So it is that Pentair PLC (PNR) shows a possible 19.8% net gain including a 1.56% forward looking dividend yield.

Over the next year at this time our $1000 investment in PNR shares could generate $15.60 in cash dividends alone. Note that a single share of PNR stock bought at yesterday's $53.80 price is over 3 times greater than the anticipated dividend income from our $1000.00 invested.

So, by my dogcatcher ideal, this is no time to buy PNR shares based on their declared dividends for the year 2022. The forthcoming annual dividend from $1K invested is currently 3.45 times less than yesterday's single share price. Consider yourself alerted. It's a sign. Do not buy PNR stock for dividend until the price drops to $29.00 or its Q dividend is increased to $0.725 per share.

All of the estimates above are speculation based on the past history of Pentair PLC (PNR). Only time and money invested in this stock will determine its market value.

Disclaimer: This article is for informational and educational purposes only and should not be construed to constitute investment advice. Nothing contained herein shall constitute a solicitation, ...

more
How did you like this article? Let us know so we can better customize your reading experience.

Comments

Leave a comment to automatically be entered into our contest to win a free Echo Show.