PNR

Pentair plc.Industrials / Specialty Industrial MachineryINTACT

Pentair plc provides various water solutions in the United States, Western Europe, China, Latin America, the Middle East, Southeast Asia, Australia, and Canada. It operates through three segments: Flow, Water Solutions, and Pool. The Flow segment designs, manufactures, and sells fluid treatment and pump products and systems, including pressure vessels, gas recovery solutions, membrane bioreactors, wastewater reuse systems and advanced membrane filtration, separation systems, specialty insertion valves, water disposal pumps, water supply pumps, fluid transfer pumps, turbine pumps, solid handling pumps, and agricultural spray nozzles. This segment provides products under Pentair Flow, Aurora, Berkeley, Codeline, Fairbanks-Nijhuis, Haffmans, Hydromatic, Hypro, Jung Pumpen, Myers, Sta-Rite, Shurflo, Südmo, and X-Flow brand names. The Water Solutions segment offers commercial and residential water treatment products and systems, such as pressure tanks, control valves, activated carbon products, commercial ice machines, conventional filtration products, and point-of-entry and point-of-use water treatment systems for use in water filtration and water softening solutions, as well as commercial water management and filtration solutions in foodservice operations; and installation and preventative services for water management solutions for commercial operators under the Pentair Water Solutions, Everpure, Fleck, Manitowoc Ice, Pentek, and RainSoft brands. The Pool segment provides residential and commercial pool equipment and accessories, including pumps, filters, heaters, lights, automatic controls and cleaners, chlorinators, maintenance equipment, and pool accessories for residential and commercial pool maintenance, pool repair, renovation, service, construction, and aquaculture solutions. This segment offers products under the Pentair Pool, Kreepy Krauly, Pleatco, and Sta-Rite brands. Pentair plc was founded in 1966 and is headquartered in London, the United Kingdom.

Share Price
$56.58
52W: $56.25 - $113.95
DCF Fair Value
$75.18
+24.7% MoS
P/E (TTM)
14.6x
ROIC
17.5%
Operating Margin
23.4%
FCF Yield
6.1%
Debt / Equity
0.47x
Piotroski Score
8/9
Altman Z-Score
3.91
Market Cap
$9.1B

Price vs. Intrinsic Value Corridor

Modest Value ($56.58 vs $75.18 DCF)

Historical market price overlaid against conservative DCF Fair Value & Benjamin Graham Margin of Safety bands.

Period Return (1Y)
()
Period Range
$ - $
DCF Fair Value
$75.18
MOS Buy Target (-25%)
$56.39
Valuation Overlays:

2-Stage Discounted Cash Flow (DCF) Workbench

Conservative intrinsic value model based on owner cash generation over a 10-year investment horizon. Opens with LocalAlpha's baseline assumptions (matching the fair value shown above) — adjust any input to stress-test.

Current Market Price
$56.58
DCF Fair Value
$74.95
+24.5% MoS
$558M
$100M$558M (Reported)$50,000M
11.7%
-5%10% (Target)35%
4.5%
0%5%20%
9.0%
6%9% (Standard)15% (High Risk)
2.5%
1% (GDP Floor)2.5% (Inflation)4.0%
$1,700M
-$100B CashBalance Sheet+$150B Debt
10-Yr PV of Cash Flows
$5.8B
PV of Terminal Value
$8.1B
Implied Enterprise Value
$13.8B
Implied Equity Value
$12.1B
YearYr 1Yr 2Yr 3Yr 4Yr 5Yr 6Yr 7Yr 8Yr 9Yr 10
Projected FCF ($M)$623$696$778$869$970$1,014$1,060$1,107$1,157$1,209
Present Value (PV)$572$586$601$615$631$605$580$556$533$511

Benjamin Graham & Buffett Value Models

Classical deep value metrics based on asset backing, normalized earnings power, and owner cash yield.

Graham Number-25% Premium
$45.28

Calculated as √(22.5 × EPS × BVPS). The maximum theoretical price a defensive investor should pay based purely on asset book value and current earnings.

EPS: $3.88BVPS: $23.49
Revised Graham Formula+38.8% MoS
$92.47

Formula: V = (EPS × (8.5 + 2g) × 4.4) / Y where g is the conservative 7-10 yr growth rate and Y is AAA Bond Yield.

Buffett Owner Earnings5.8% Yield
$3.27 / share

True distributable cash flow: Net Income + D&A - Maintenance CapEx. Reflects the cash Buffett would extract without hurting unit volume.

Total: $0.5BYield: 5.8%

Reverse DCF: Market Growth Expectation

MODEST BARRIER
3.0% CAGR (Next 10 Yrs)

At the current price of $56.58, the market is assuming the business will compound Free Cash Flow at 3.0% per year for the next decade with a 9% hurdle rate.

Value Investor Verdict
✓ Low market hurdle: Easy for a wide-moat compounder to beat.
Autonomous Thesis Underwriting

Surveil PNR with Mathematical Margin of Safety Rules

Set non-negotiable floor rules for Pentair plc.. If a newly filed quarterly 10-Q breaks your ROIC floor, operating margin boundary, or balance sheet leverage rules, receive an autonomous breach audit within 15 minutes.

Buffett Quality

ROIC > 15% • Margin > 15% • D/E < 0.5x

Margin Floor Guard

Current Margin 23.4% • Floor > 10%

Solvency Guard

Altman-Z > 2.6 • Current Ratio > 1.5x

Frequently Asked Questions: Pentair plc. (PNR) Intrinsic Valuation

Audited fundamentals, DCF intrinsic value sensitivity, and thesis break detection parameters for Pentair plc..

Based on institutional multi-stage Discounted Cash Flow (DCF) modeling on audited SEC cash flows, Pentair plc. has an estimated DCF intrinsic fair value of $75.18 per share compared to its current market price of $56.58. This represents an estimated 24.7% margin of safety (trading below fair value). Additionally, its classic Benjamin Graham Number stands at $45.28.

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