Pentair Stock: Is PNR Underperforming the Industrial Sector?

Company Overview - Pentair plc is a water treatment company based in London, U.K., with a market cap of $17.3 billion, providing various water solutions through its Flow, Water Solutions, and Pool segments [1] - The company focuses on delivering smart and sustainable water solutions to homes, businesses, and industries, enabling access to clean water and promoting water conservation [1] Stock Performance - Pentair's stock reached an all-time high of $113.95 on October 3 and is currently trading 7% below that peak, with a 4.5% decline over the past three months, outperforming the Industrial Select Sector SPDR Fund's (XLI) 3.4% gains during the same period [1] - Year-to-date, PNR stock prices have gained 5.3% but have dipped 2.1% over the past 52 weeks, underperforming XLI's 19% surge in 2025 and 13.8% gains over the past year [2] Technical Analysis - PNR stock has consistently traded above its 200-day moving average since May but dropped below its 50-day moving average since late October, indicating a previous bullish trend followed by a recent downturn [3] Q3 Financial Results - Following the release of Q3 results on October 21, Pentair's core revenues increased by 3% year-over-year after adjusting for currency translation, acquisitions, and divestitures, with overall topline revenue at $1 billion, up 2.9% year-over-year and 1.7% above Street expectations [4] - The adjusted EPS for the quarter increased by 13.8% year-over-year to $1.24, beating consensus estimates by 5.1% [4] Peer Comparison and Analyst Ratings - Compared to its peer, American Water Works Company, Inc., PNR has slightly lagged behind with a 5.7% uptick in 2025 and marginal 77 basis points gains over the past 52 weeks [5] - Among 21 analysts covering PNR stock, the consensus rating is a "Moderate Buy," with a mean price target of $123.31, suggesting a 16.3% upside potential from current price levels [5]