Pool Corporation (POOL) Stock Analysis

Why this analysis is different

• A sector-relative MoonshotScore — five pillars (business quality, financial safety, valuation, growth durability, momentum) re-ranked nightly against the full universe of US-listed common stocks.
• An AI Council read across up to eight perspectives — value, macro, quantitative, and momentum lenses — that shows where they disagree instead of averaging the tension away.
• Figures come straight from FMP and Yahoo Finance filings data. The AI writes the narrative around the numbers — it never edits the numbers.

Pool Corporation (POOL) Industrial Operations Profile

Pool Corporation (POOL) is the leading wholesale distributor of swimming pool supplies and related products globally. With a wide range of offerings from maintenance products to construction materials, POOL serves a diverse customer base through its extensive network of sales centers, positioning it as a key player in the leisure and home improvement sectors.

What Is the Investment Thesis for POOL?

Pool Corporation presents a compelling investment case based on its dominant market position and consistent financial performance. With a market capitalization of $6.73B and a P/E ratio of 19.4, the company demonstrates stable profitability. A gross margin of 29.7% and a profit margin of 7.6% reflect efficient operations. Growth catalysts include the ongoing demand for pool maintenance and renovation, as well as expansion into new geographic markets. Key risks include economic downturns affecting consumer spending and increased competition from online retailers. The company's beta of 1.26 suggests higher volatility compared to the market.

Based on FMP financials and quantitative analysis

POOL Key Highlights

• Market capitalization of $6.73B indicates a strong market presence.
• P/E ratio of 19.4 suggests a reasonable valuation relative to earnings.
• Gross margin of 29.7% reflects efficient cost management in distribution.
• Profit margin of 7.6% demonstrates profitability in a competitive market.
• Dividend yield of 2.64% provides an income stream for investors.

Who Are POOL's Competitors?

POOL is benchmarked below against 8 industry peers on price, market cap, and our AI MoonshotScore.

AI Score by Stock Expert AI · Price data: FMP / Yahoo Finance

What Are POOL's Key Strengths?

• Largest wholesale distributor in the industry.
• Extensive distribution network and geographic reach.
• Comprehensive product portfolio.
• Strong customer relationships.

What Are POOL's Weaknesses?

• Dependence on housing market and consumer spending.
• Exposure to seasonal demand fluctuations.
• Potential for margin pressure from online competition.
• Vulnerability to economic downturns.

What Could Drive POOL Stock Higher?

• Potential acquisitions of smaller regional distributors to expand market share.
• Continued demand for pool maintenance and renovation products.
• Expansion of e-commerce platform to reach a broader customer base.
• Development and launch of new proprietary products.

What Are the Key Risks for POOL?

• Economic downturns affecting consumer spending on leisure products.
• Increased competition from online retailers and direct-to-consumer manufacturers.
• Fluctuations in raw material costs, such as chemicals and building materials.
• Changes in environmental regulations impacting pool maintenance and construction practices.
• Seasonality of demand, with peak sales during the summer months.

What Are the Growth Opportunities for POOL?

• Expansion into New Geographic Markets: Pool Corporation has the opportunity to further expand its presence in Europe and Australia, where the market for swimming pool supplies is growing. By opening new sales centers and acquiring local distributors, the company can increase its market share and revenue. The timeline for this expansion is ongoing, with potential for significant growth over the next 3-5 years.
• Increased Focus on Commercial Customers: Targeting commercial customers such as hotels, universities, and community recreational facilities represents a significant growth opportunity. These customers require larger volumes of supplies and equipment, providing a stable revenue stream. Pool Corporation can leverage its existing product offerings and distribution network to capture a larger share of this market. This is an ongoing opportunity.
• Development of Proprietary Products: Investing in the development and marketing of proprietary products can enhance Pool Corporation's competitive advantage and improve profit margins. By offering unique and innovative products, the company can differentiate itself from competitors and attract new customers. This is an ongoing opportunity.
• Leveraging E-commerce Platforms: Enhancing its e-commerce capabilities can allow Pool Corporation to reach a broader customer base and streamline its operations. By investing in online sales and marketing, the company can capture a larger share of the growing online market for pool supplies. This is an ongoing opportunity.
• Offering Value-Added Services: Providing value-added services such as pool design, installation, and maintenance can attract new customers and increase customer loyalty. By offering a comprehensive suite of services, Pool Corporation can become a one-stop shop for all pool-related needs. This is an ongoing opportunity.

What Opportunities Does POOL Have?

• Expansion into new geographic markets.
• Increased focus on commercial customers.
• Development of proprietary products.
• Leveraging e-commerce platforms.

What Threats Does POOL Face?

• Economic downturns affecting consumer spending.
• Increased competition from online retailers.
• Fluctuations in raw material costs.
• Changes in environmental regulations.

What Are POOL's Competitive Advantages?

• Extensive distribution network with 410 sales centers.
• Broad product portfolio covering all aspects of pool maintenance and construction.
• Strong relationships with suppliers and manufacturers.
• Established brand reputation and customer loyalty.

What Does POOL Do?

Pool Corporation, incorporated in 1993 and headquartered in Covington, Louisiana, has grown to become the world's largest wholesale distributor of swimming pool supplies, equipment, and related leisure products. The company's origins lie in the consolidation of several regional distributors, a strategy that allowed it to quickly establish a national presence. Over the years, Pool Corporation has expanded its product offerings to include not only maintenance and repair items but also complete pool kits, building materials, and recreational products. The company operates through a network of 410 sales centers across North America, Europe, and Australia as of March 2022. These centers cater to a diverse clientele, including swimming pool remodelers and builders, specialty retailers, repair and service businesses, irrigation contractors, and commercial customers such as hotels and universities. Pool Corporation's commitment to providing a comprehensive range of products and services has solidified its position as a leader in the pool supply industry.

What Products and Services Does POOL Offer?

• Distributes swimming pool maintenance products including chemicals and accessories.
• Provides repair and replacement parts for pool equipment.
• Offers fiberglass pools, hot tubs, and packaged pool kits.
• Supplies pool equipment and components for new construction and remodeling.
• Distributes irrigation and related products.
• Provides building materials for pool installations and remodeling.
• Offers commercial products for hotels, universities, and recreational facilities.
• Distributes recreational and outdoor living products like grills and outdoor kitchens.

How Does POOL Make Money?

• Wholesale distribution of pool supplies and equipment.
• Sales through a network of company-owned sales centers.
• Servicing pool builders, remodelers, retailers, and service businesses.
• Providing products for both residential and commercial pools.

What Industry Does POOL Operate In?

Pool Corporation operates within the industrial distribution sector, specifically focusing on swimming pool supplies and related products. The industry is influenced by factors such as housing market trends, consumer spending on leisure activities, and climate conditions. The competitive landscape includes other distributors, manufacturers selling directly to consumers, and online retailers. Pool Corporation's extensive distribution network and comprehensive product offerings provide a competitive advantage. The market for pool supplies is expected to grow steadily, driven by increasing homeownership and a focus on outdoor living spaces.

Who Are POOL's Key Customers?

• Swimming pool remodelers and builders.
• Specialty retailers selling swimming pool supplies.
• Swimming pool repair and service businesses.
• Irrigation construction and landscape maintenance contractors.
• Commercial customers such as hotels and universities.

Company Profile

Pool Corporation operates in the Industrial - Distribution industry within the Industrials sector. It is headquartered in Covington, US. The company is led by CEO John Bruce Watwood. POOL has traded publicly since 1995.

F-Score 6/9Financial Health

Pool Corporation's Piotroski F-Score is 6/9, a 9-point checklist of profitability, leverage and efficiency — a middling fundamental profile. Its Altman Z-Score of 3.96 places it in the safe zone, indicating low near-term bankruptcy risk.

ROE 33%Key Financial Metrics

Return on equity for Pool Corporation stands at 32.5%, a gauge of how efficiently it converts shareholder capital into profit. Return on assets is 10.2%, showing how much profit it generates from its asset base. POOL trades at a trailing price-to-earnings ratio of 19.42, below the Industrials sector average of ~29x. Its free cash flow yield is 7.7%, a gauge of the cash the business throws off relative to its market value. A current ratio of 1.87 indicates the company holds enough short-term assets to cover its near-term obligations. Its earnings yield is 5.1%, the inverse of the P/E and a quick read on earnings relative to price.

POOL Valuation & Market Position

With a $6.73B market cap, Pool Corporation sits in the mid-cap segment of the market. Relative to its peer group, POOL's quantitative score of 68/100 is roughly in line with the peer average of 61/100.

FY2026 estForward Outlook

Wall Street analysts project Pool Corporation revenue of about $5.44B for fiscal 2026, with EPS near $10.98. The estimate reflects 11 contributing analysts.

Net buyingInsider Activity

Over the past six months, Pool Corporation insiders filed 29 SEC Form 4 transactions — 2 sales and 27 purchases. On net that is roughly 98K shares acquired (about $6.6M) — insiders putting money in tends to read as conviction.

POOL Financials

POOL Latest News

POOL Analyst Consensus

POOL MoonshotScore

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POOL Industrials Stock FAQ

Disclaimer: This content is for informational purposes only and does not constitute investment advice. Always do your own research and consult a financial advisor.

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