Pentair plc PNR is set to release its fourth-quarter 2024 results on Feb. 4, before the opening bell.
Find the latest EPS estimates and surprises on Zacks Earnings Calendar.
The Zacks Consensus Estimate for PNR’s fourth-quarter revenues is pegged at $969.9 million, indicating a 1.5% fall from the year-ago figure.
The consensus estimate for earnings is pegged at $1.02 per share. The Zacks Consensus Estimate for PNR’s earnings has been unchanged for the past 60 days. The estimate indicates year-over-year growth of 17.2%.
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Pentair’s Solid Earnings Surprise History
PNR’s earnings beat the Zacks Consensus Estimates in each of the trailing four quarters, the average surprise being 3.4%. This is depicted in the following chart.
Image Source: Zacks Investment Research
What the Zacks Model Unveils for PNR
Our proven model does not conclusively predict an earnings beat for Pentair this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the chances of an earnings beat. But that is not the case here, as you can see below.
You can uncover the best stocks before they are reported with our Earnings ESP Filter.
Earnings ESP: Pentair has an Earnings ESP of -0.25%.
Zacks Rank: Pentair currently carries a Zacks Rank of 3.
Factors Likely to Have Shaped Pentair’s Q4 Performance
PNR’s Pool segment returned to volume growth in second-quarter 2024, after five consecutive quarters of declines. However, the 17% rebound seen in the second quarter was followed by a modest 4.1% growth in the third quarter.
With the number of new in-ground pools built in 2024 expected to be around 60,000, lower than 72,000 in 2023, we anticipate a lower volume growth of 0.3% for the fourth quarter. Pricing is expected to have had a favorable impact of 1%. This is expected to have been offset by the unfavorable impact of currency translation of 1.1% and 0.8% negative impact of acquisitions and divestitures. Our model projects the Pool segment’s sales to be $3334 million, indicating a year-over-year dip of 0.6%.
The Flow and Water Solutions segments continue to bear the impacts of a weak residential market due to high interest rates.
We expect the Flow segment’s revenues to be $371.4 million, indicating a decline of 1.9% from the prior-year quarter’s actual. Residential and agriculture verticals have been impacted by high interest rates and the ongoing weakness in industrial verticals is expected to have weighed on volumes. Our model projects a 1.7% year-over-year decline in volumes while pricing is expected to have a positive impact of 0.9%. Currency impact is projected at a negative 1.1%.