UK-based water technology company Pentair (NYSE:PNR) just announced its financial performance for the fourth quarter and full year of 2023, missing estimates due to softer demand for new pools.
Highlights include fourth quarter sales reaching $985 million and full year sales totaling $4.1 billion. Operating income for the fourth quarter surged by 50% to $167 million, with a return on sales (ROS) of 17.0%. Adjusted ROS expanded to 20.1%, reflecting a 190 basis point increase.
Full year operating income increased by 24% to $739 million, with ROS reaching 18.0%. Adjusted ROS expanded to 20.8%, reflecting a 220 basis point increase. Additionally, GAAP EPS for the fourth quarter was $1.25, with adjusted EPS at $0.87. Full year 2023 GAAP EPS was $3.75, matching adjusted EPS.
Furthermore, Pentair provided 2024 GAAP EPS guidance of $3.82 to $3.92 and adjusted EPS guidance of $4.15 to $4.25. The company’s quarterly sales of $984.60 million exceeded analyst consensus estimates by 0.88%, despite a 1.83% decrease compared to the same period last year.
According to BestStocks.com, Pentair has consistently demonstrated strong financial performance, boasting average annual earnings and revenue growth rates of 12.1% and 9.2%, respectively.
With a solid return on equity of 16.8% and net margins of 12.4%, Pentair remains a stable player in the market.
PNR Stock Shows Positive Performance Near 52-Week High and Above 200-Day Moving Average
On January 30, 2024, PNR stock displayed positive performance, trading near its 52-week high and above its 200-day simple moving average. PNR shares increased by $0.48 since the previous market close, representing a rise of 0.66%. Despite opening lower at $71.40, the subsequent increase throughout the trading day suggests positive market sentiment toward PNR.
Trading near its 52-week high indicates strong performance over the past year, while being above its 200-day moving average signals stability.
However, investors should exercise caution and conduct thorough research before making investment decisions, as stock prices are subject to market volatility.
PNR Stock Performance: Mixed Results and Potential Concerns for Future Performance
On January 30, 2024, PNR stock experienced mixed performances based on financial data. While total revenue for the past year increased by 9.48%, fourth quarter revenue decreased by 6.81%. Similarly, net income for the past year decreased by 13.04%, with a 14.33% decline in the third quarter.
The earnings per share (EPS) for the past year decreased by 12.04%, with a 13.86% decline in the third quarter. These financial indicators may raise concerns among investors and analysts about PNR’s future performance. Factors such as changes in market demand or increased competition could impact profitability.
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Author Kristen Moran 
