-- CFRA, an independent research provider, has providedwith the following research alert. Analysts at CFRA have summarized their opinion as follows:
Following a nearly 15% drop in shares YTD, we view shares as being attractively valued with a healthy margin of safety. We attribute the decline this year to ongoing weakness in residential markets (PNR's largest end-market exposure) and conservative guidance. PNR shares are trading below their historical multiple average and well below peers on a forward P/E (NTM) basis. We see headwinds as being more than priced in at this point, with upside in shares if residential markets enter even a modest recovery. Our upgrade is made in part due to indications that repair and remodeling investment is beginning to recover in U.S. markets, which bodes well for PNR's Pools business looking to Q1. Assuming residential markets remain roughly flat, we see new products and efficiency initiatives supporting PNR's earnings quality in 2026. We reiterate our 12-month target of $130, valuing shares at 22x (below peer average of ~24x) our 2027 EPS outlook of $5.92 (unchanged estimate; 2026 EPS of $5.40 is also unchanged).