Pool (NASDAQ:POOL) Issues Quarterly Earnings Results

Pool (NASDAQ:POOL) announced its quarterly earnings results on Thursday. The specialty retailer reported $1.43 earnings per share for the quarter, beating the consensus estimate of $1.34 by $0.09, Zacks reports. The business had revenue of $1.14 billion during the quarter, compared to analysts’ expectations of $1.82 billion. Pool had a net margin of 7.67% and a return on equity of 31.49%. The firm’s revenue for the quarter was up 6.2% compared to the same quarter last year. During the same quarter in the prior year, the company posted $1.32 EPS. Pool updated its FY 2026 guidance to 10.870-11.170 EPS.

Here are the key takeaways from Pool’s conference call:

• Reported a solid Q1 with net sales +6%, operating income +7%, a 10 bps operating margin expansion and EPS of $1.45, while management confirmed full?year diluted EPS guidance of $10.87–$11.17.
• Category strength included chemicals +8% (driven by proprietary/private?label lines), equipment +7% and building materials +5%, and digital penetration rose as Pool360 reached 13% of net sales—supporting margin and share gains.
• Capital allocation remained disciplined: the company repurchased ~$64M of stock in Q1 with ~$271M remaining authorizations, maintained a targeted measured expansion (only five new sales centers expected) and reiterated expense?moderation plans to drive leverage.
• Inventory rose to $1.7 billion (up 14% YoY) due to early buys, new products and stocking, contributing to higher seasonal debt (~$1.2B) and increased interest expense, which could pressure cash flow if demand softens.
• Management reiterated its thesis that growth will be driven by the ~5.5M installed in?ground pools (maintenance/remodel/share capture) rather than a recovery in new pool builds, and expects low single?digit same?day sales growth with gross margin roughly in line with 2025.

Pool Stock Up 1.0%

NASDAQ POOL traded up $2.24 during trading hours on Friday, reaching $230.92. 204,685 shares of the company’s stock traded hands, compared to its average volume of 801,475. Pool has a 52-week low of $195.49 and a 52-week high of $345.00. The firm has a market cap of $8.47 billion, a PE ratio of 21.32, a PEG ratio of 2.97 and a beta of 1.26. The firm has a 50-day simple moving average of $217.20 and a 200 day simple moving average of $243.25. The company has a debt-to-equity ratio of 1.00, a current ratio of 2.24 and a quick ratio of 0.59.

Pool Announces Dividend

The firm also recently declared a quarterly dividend, which was paid on Thursday, March 26th. Investors of record on Thursday, March 12th were given a dividend of $1.25 per share. This represents a $5.00 dividend on an annualized basis and a yield of 2.2%. The ex-dividend date of this dividend was Thursday, March 12th. Pool’s dividend payout ratio (DPR) is 46.13%.

Insider Activity at Pool

In other Pool news, SVP Romain Kenneth G. St purchased 5,560 shares of the stock in a transaction that occurred on Monday, February 23rd. The stock was bought at an average cost of $218.67 per share, with a total value of $1,215,805.20. Following the transaction, the senior vice president directly owned 82,845 shares in the company, valued at approximately $18,115,716.15. The trade was a 7.19% increase in their position. The transaction was disclosed in a legal filing with the SEC, which can be accessed through the SEC website. Also, CFO Melanie M. Hart sold 2,750 shares of Pool stock in a transaction dated Tuesday, February 24th. The shares were sold at an average price of $220.00, for a total transaction of $605,000.00. Following the transaction, the chief financial officer directly owned 18,039 shares of the company’s stock, valued at approximately $3,968,580. This trade represents a 13.23% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. 3.00% of the stock is currently owned by corporate insiders.

Institutional Trading of Pool

Institutional investors and hedge funds have recently bought and sold shares of the company. CYBER HORNET ETFs LLC bought a new stake in Pool during the 2nd quarter valued at about $30,000. MUFG Securities EMEA plc bought a new stake in Pool during the 2nd quarter valued at about $33,000. Geneos Wealth Management Inc. increased its stake in Pool by 164.4% during the 1st quarter. Geneos Wealth Management Inc. now owns 156 shares of the specialty retailer’s stock valued at $50,000 after purchasing an additional 97 shares in the last quarter. Los Angeles Capital Management LLC bought a new stake in Pool during the 4th quarter valued at about $38,000. Finally, CIBC Private Wealth Group LLC increased its stake in Pool by 42.7% during the 3rd quarter. CIBC Private Wealth Group LLC now owns 398 shares of the specialty retailer’s stock valued at $123,000 after purchasing an additional 119 shares in the last quarter. 98.99% of the stock is currently owned by institutional investors.

Analysts Set New Price Targets

Several equities research analysts have weighed in on the stock. Stifel Nicolaus increased their price target on shares of Pool from $232.00 to $240.00 and gave the company a “hold” rating in a research report on Friday. Robert W. Baird dropped their target price on shares of Pool from $320.00 to $300.00 and set an “outperform” rating for the company in a research report on Friday, February 20th. Wall Street Zen cut shares of Pool from a “hold” rating to a “sell” rating in a research report on Sunday, April 19th. Weiss Ratings reaffirmed a “sell (d+)” rating on shares of Pool in a research report on Monday, December 29th. Finally, The Goldman Sachs Group dropped their target price on shares of Pool from $360.00 to $310.00 and set a “buy” rating for the company in a research report on Tuesday, January 13th. Five investment analysts have rated the stock with a Buy rating, five have issued a Hold rating and three have assigned a Sell rating to the stock. Based on data from MarketBeat.com, Pool currently has a consensus rating of “Hold” and an average target price of $274.56.

Trending Headlines about Pool

Here are the key news stories impacting Pool this week:

• Positive Sentiment: Q1 results beat and guidance confirmed — POOL reported Q1 net sales up ~6%, operating income +7% and diluted EPS of $1.45 (beat), and it reconfirmed FY2026 EPS guidance of $10.87–$11.17, signaling management confidence heading into peak season. Pool Q1 Press Release
• Positive Sentiment: Analyst reaction: Stifel raised its price target (from $232 to $240) while keeping a Hold, providing incremental support to the stock’s upside thesis. Price Target Note
• Neutral Sentiment: Earnings-call tone was constructive — management highlighted resilient maintenance demand, gradual recovery in discretionary categories and benefits from greenfield investments; investors should watch seasonality and execution into peak pool season. Earnings Call Summary
• Neutral Sentiment: Some analysts remain cautious — William Blair and others maintain neutral/hold stances citing margin pressures, inventory build and macro uncertainty; consensus EPS (~$11) sits near the company’s guidance midpoint. Analyst Note
• Negative Sentiment: Inventory and leverage increase — inventory rose ~14% to $1.7B and total debt climbed by ~$223M (to fund ~$349M of share repurchases), which raises short-term working capital and leverage risks that could pressure margins if demand softens. Quiver Quant Summary
• Negative Sentiment: Gross margin compression and rising operating costs — gross margin dipped 20 bps y/y (to 29.0%) due to seasonal mix and early buys; selling & admin expenses rose ~5% from greenfield and inflationary costs. Continued margin pressure is a watch item. Pool Q1 Press Release

About Pool

Pool Corporation is a leading wholesale distributor of swimming pool supplies, equipment, and related outdoor living products. Headquartered in Covington, Louisiana, the company serves a diverse customer base that includes service professionals, independent retailers, high-volume builders, and national retail chains. Pool Corporation’s extensive branch network enables it to maintain strong local customer relationships while leveraging its scale to source products efficiently from manufacturers around the world.

The company’s product portfolio spans pool and spa chemicals, water treatment equipment, pumps, filters, heaters, automation and control systems, liners, safety covers, and cleaning accessories.