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Pentair Boosts Product Offerings With G&F Manufacturing Buyout

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Pentair plc (PNR - Free Report) recently announced that it has acquired Florida-based G&F Manufacturing. This move is expected to add modestly to Pentair's earnings in 2025. It will enhance Pentair’s pool equipment offerings to customers in Florida and neighboring areas.

Details on Pentair-G&F Manufacturing Deal

G&F Manufacturing is a manufacturer and provider under the Gulfstream brand in the Southeast portion of the United States. It manufactures heat pumps for pools, which are an important offering for Pentair customers.

The acquisition would enable Pentair to deliver heat pumps in critical geographical regions while also aligning with pool equipment sustainability trends. The transaction is consistent with Pentair's goal to provide smart, sustainable solutions to help customers enjoy water.

PNR paid G&F Manufacturing around $108 million in cash at the closure.

PNR’s Q3 Performance

Net sales in the Pool segment totaled $331 million in the quarter, up 7.3% year over year in the third quarter. Operating earnings for the segment grew 24.4% year over year to $112.7 million.

Overall, net sales declined 1.5% year over year to $993 million in the quarter under review. However, the top line surpassed the Zacks Consensus Estimate of $990 million. Excluding the impacts of acquisitions, divestitures and currency translation, core sales declined 1% in the quarter.

The company has reported third-quarter 2024 adjusted earnings per share of $1.09, beating the Zacks Consensus Estimate of $1.07. The bottom line also surpassed the company’s guidance of $1.06-$1.08 and improved 14% from the 94 cents reported in the prior year.

Pentair Stock Price Performance

The Pentair stock has gained 65.5% over the past year compared with the industry’s 30.2% growth.

Zacks Investment Research
Image Source: Zacks Investment Research

PNR’s Zacks Rank & Stocks to Consider

Pentair currently carries a Zacks Rank #3 (Hold).

Some better-ranked stocks from the Business Services sector are H&R Block, Inc. (HRB - Free Report) , Booz Allen Hamilton (BAH - Free Report) and CRA International, Inc. (CRAI - Free Report) . All these stocks have a Zacks Rank #2 (Buy) at present. You can see the complete list of today's Zacks #1 Rank stocks here.

H&R Block has an average trailing four-quarter earnings surprise of 9.87%. The Zacks Consensus Estimate for HRB’s 2024 earnings is pinned at $5.27 per share, which indicates year-over-year growth of 19.5%. The company’s shares have gained 27.6% in a year.

Booz Allen Hamilton has an average trailing four-quarter earnings surprise of 11.7%. The Zacks Consensus Estimate for BAH’s 2024 earnings is pinned at $6.20 per share, which indicates year-over-year growth of 12.7%. The company’s shares have gained 12.4% in a year.

The Zacks Consensus Estimate for CRA International’s 2024 earnings is pegged at $7.15 per share. The company has a trailing four-quarter average earnings surprise of 31%. CRAI shares have gained 97.4% in a year.


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