Jefferies Upgrades Pentair (PNR), Sees Earnings Compounding Through 2027

Core Insights - Pentair plc (NYSE:PNR) is recognized as one of the 14 Best Dividend Aristocrats to invest in heading into 2026 [1] Financial Performance and Projections - Jefferies upgraded Pentair to Buy from Hold, raising the price target to $135 from $120, anticipating earnings compounding through 2027 due to volume recovery and margin expansion [2] - Pool volumes are expected to increase in 2026, with discretionary spending nearing trough levels and replacement demand rising as the industry moves past the high installation rates during the COVID period [2] Dividend and Share Repurchase - Pentair announced a quarterly cash dividend of $0.27 per share, marking an 8% increase and the 50th consecutive year of dividend raises, with the payout scheduled for February 6, 2026 [3] - The Board of Directors approved a new share repurchase program authorizing up to $1 billion in buybacks, effective immediately and running through December 31, 2028 [4] Business Operations - Pentair operates across various markets including residential, commercial, industrial, infrastructure, and agricultural sectors, providing tailored water solutions [5]