Pentair initiated with a Buy at Deutsche Bank

Deutsche Bank analyst Andrew Krill initiated coverage of Pentair with a Buy rating and $75 price target. The company is being unfairly penalized for being a “resi name” amid a backdrop of recession concerns and much of this stems from its Pool exposure, but after its 2023 reset year, Pentair’s 2024 Pool results could be stronger than expected, the analyst tells investors in a research note. The firm adds that it has increasing confidence in the management’s execution and believes that the 2025 cost transformation targets are conservative. Given the depressed valuation, the risk/reward profile on Pentair looks “attractive”, the firm added.