Pentair Updates 2021 Guidance; Street Sees Over 4% Upside

The water treatment company, Pentair (PNR), has updated its guidance for 2021. Shares of the company were down 2.8% to close at $67.29 on June 10.

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For the second quarter, the company expects GAAP sales to be up approximately 25% – 29% year-over-year.

Adjusted earnings per share are expected in the band of $0.75 to $0.80. GAAP diluted earnings per share are estimated in the range of $0.71 to $0.76.

For the full year, Pentair expects GAAP sales to be up approximately 17% – 19% year-over-year.

Furthermore, GAAP earnings per share are expected to be $3.05 from the earlier projected figure of $2.95, while adjusted earnings estimates have been increased to $3.20 from previous expectations of $3.10. (See Pentair stock analysis on TipRanks)

On June 7, Morgan Stanley analyst Joshua Pokrzywinski downgraded the rating on the stock to Sell from Hold and decreased the price target to $63 from $69. This implies 6.4% downside potential from current levels.

The analyst does not expect any major upside from the company’s current exposure to the residential space.

Overall, the stock has a Hold consensus rating based on 3 Buys, 3 Holds, and 2 Sells. The PNR average analyst price target of $70.13 implies 4.2% upside potential from the current levels. Shares have increased 30.8% over the past six months.

TipRanks data shows that financial blogger opinions are 50% Neutral on Pentair, compared to the sector average of 71%.