UPDATE: UBS Investment Research Reduces PT to $42 on Pentair on Q2 Weather Headwinds to Pump Sales

UBS Investment Research reiterated its Neutral rating on Pentair PNR and lowered its price target from $46 to $42 on sales headwinds for the second quarter. UBS Investment Research noted, "We think a dry 2Q hurt weather-related U.S. pump sales, and weaker mfg data suggests down side to Tech Prod. Euro macro, FX pressures likely became more severe in 2Q, but we think PNR's lowered outlook at 1Q helps mitigate risk to estimates. Warm, dry weather likely helped Pool, and the April Sibrape deal could add 2-3 points to 2Q-4Q sales growth (not in our estimates). We also see 2Q tailwinds on net price, better CPT margins, and mix shift in TP away from telecom." Pentair closed at $38.30 on Tuesday.