Yahoo Finance Pentair (PNR) to Report Q1 Earnings: What's in the Offing?
Pentair plc PNR is scheduled to report first-quarter 2023 results on Apr 27, before the opening bell.
Q4 Results
Pentair’s revenues improved in fourth-quarter 2022 and beat the Zacks Consensus Estimate. PNR’s earnings also beat the Zacks Consensus Estimate but declined year over year.
The company has an impressive earnings surprise history. Pentair beat earnings estimates in each of the trailing four quarters, the average surprise being 4.3%.
Pentair plc Price and EPS Surprise
Pentair plc price-eps-surprise | Pentair plc Quote
Q1 Estimates
The Zacks Consensus Estimate for first-quarter revenues is pegged at $996.3 million, indicating a decline of 0.3% from the year-ago reported figure. The consensus estimate for earnings is pegged at 78 cents per share, suggesting a decline of 8.2% year over year. The Zacks Consensus Estimate for quarterly earnings has remained unchanged over the past 30 days.
What the Zacks Model Unveils
Our proven model doesn’t 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. However, that’s not the case here.
You can uncover the best stocks to buy or sell before they're reported with our Earnings ESP Filter.
Earnings ESP: Pentair has an Earnings ESP of -1.14%.
Zacks Rank: Pentair currently carries a Zacks Rank of 2.
Key Factors to Note
PNR has been clearing out its inventory, which is expected to have continued in the first quarter and normalized levels are expected by the end of the second quarter or the third quarter of 2023. This ongoing optimization of inventory levels is expected to have impacted volume levels in the first quarter.
Pentair has been witnessing a tight supply of raw materials such as metals, resins and electronics along with rising logistics costs. While it has been implementing pricing actions and focusing on productivity improvements that may have negated these headwinds, supply-chain pressures and inflationary costs are likely to have weighed on the quarter’s performance.
However, pricing actions, gains from the Manitowoc Ice acquisition and expected benefits from the Transformation program might help offset the impact of higher costs and low volumes on the company’s first quarter results.
The Zacks Consensus Estimate for Consumer Solutions’ revenues is currently pegged at $635 million, suggesting a fall of 0.9% from the year-ago quarter. The consensus mark for this segment’s operating profit is pegged at $144 million, indicating year-over-year growth of 3.6%.
The Zacks Consensus Estimate for Industrial & Flow Technologies’ revenues is pegged at $363 million, indicating an improvement of 1.4% from the prior-year quarter. The consensus mark for this segment’s operating profit is pegged at $57 million, suggesting growth of 9.6% from $52 million reported a year ago.
Price Performance
Shares of PNR have lost 2.8% in the past year compared with the industry’s 17.1% plunge.
Image Source: Zacks Investment Research
Stocks to Consider
Here are some Industrial Products stocks worth considering, as our model shows that these have the right combination of elements to beat on earnings in their upcoming releases.
Ingersoll Rand Inc. IR is scheduled to report first-quarter 2023 results on May 3. It has an Earnings ESP of +2.32% and currently sports a Zacks Rank #1. The Zacks Consensus Estimate for first-quarter 2023 earnings is pegged at 52 cents per share, implying year-over-year growth of 6.1%. You can see the complete list of today’s Zacks #1 Rank stocks here.
The Zacks Consensus Estimate for IR’s quarterly revenues is pegged at $1.5 billion, indicating year-over-year growth of 10.7%. IR has a trailing four-quarter earnings surprise of 8.5%, on average.
A. O. Smith Corporation AOS is set to release first-quarter 2023 results on Apr 27. AOS currently has an Earnings ESP of +5.78% and a Zacks Rank #2. The Zacks Consensus Estimate for first-quarter 2023 earnings is pegged at 77 cents per share, same as the year-ago reported figure.
The Zacks Consensus Estimate for AOS’ quarterly revenues is pegged at $913 million, indicating a year-over-year decline of 6.5%. The company has a trailing four-quarter earnings surprise of 3.2%, on average.
Illinois Tool Works ITW is scheduled to report first-quarter 2023 results on May 2. The company currently has an Earnings ESP of +1.49% and a Zacks Rank #3. The Zacks Consensus Estimate for first-quarter 2023 earnings is pegged at $2.19 per share, suggesting year-over-year growth of 3.8%
The Zacks Consensus Estimate for quarterly revenues is pegged at $4 billion, indicating growth of 0.6% from the prior-year quarter’s reported level. ITW has a trailing four-quarter earnings surprise of 0.9%, on average.
Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar.
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Illinois Tool Works Inc. (ITW) : Free Stock Analysis Report
A. O. Smith Corporation (AOS) : Free Stock Analysis Report
Ingersoll Rand Inc. (IR) : Free Stock Analysis Report
Pentair plc (PNR) : Free Stock Analysis Report
