Pool (NASDAQ:POOL) Stock Price Down 5.6% – Here’s What Happened

Pool Corporation (NASDAQ:POOL)’s stock price fell 5.6% during trading on Tuesday . The stock traded as low as $191.38 and last traded at $191.8480. 230,402 shares changed hands during mid-day trading, a decline of 71% from the average session volume of 795,773 shares. The stock had previously closed at $203.23.

Wall Street Analysts Forecast Growth

Several research firms recently commented on POOL. Deutsche Bank Aktiengesellschaft set a $246.00 price target on Pool in a report on Friday, February 20th. Robert W. Baird lowered their price objective on Pool from $320.00 to $300.00 and set an “outperform” rating for the company in a research report on Friday, February 20th. Bank of America lowered their price objective on Pool from $229.00 to $226.00 and set an “underperform” rating for the company in a research report on Monday, April 20th. Wells Fargo & Company lowered their price objective on Pool from $230.00 to $215.00 and set an “equal weight” rating for the company in a research report on Wednesday, April 8th. Finally, Zacks Research upgraded Pool from a “strong sell” rating to a “hold” rating in a research report on Monday, April 27th. Four investment analysts have rated the stock with a Buy rating, seven have assigned a Hold rating and one has assigned a Sell rating to the stock. According to MarketBeat, the company has a consensus rating of “Hold” and an average price target of $265.13.

Pool Stock Performance

The firm has a 50-day moving average price of $213.93 and a 200 day moving average price of $239.73. The firm has a market capitalization of $6.94 billion, a PE ratio of 17.55, a price-to-earnings-growth ratio of 2.64 and a beta of 1.16. The company has a quick ratio of 0.55, a current ratio of 1.87 and a debt-to-equity ratio of 1.09.

Pool (NASDAQ:POOL) last released its quarterly earnings results on Thursday, April 23rd. The specialty retailer reported $1.43 EPS for the quarter, topping the consensus estimate of $1.34 by $0.09. Pool had a return on equity of 32.37% and a net margin of 7.57%.The business had revenue of $1.14 billion during the quarter, compared to analyst estimates of $1.82 billion. During the same period last year, the business posted $1.32 earnings per share. The company’s quarterly revenue was up 6.2% on a year-over-year basis. Pool has set its FY 2026 guidance at 10.870-11.170 EPS. Research analysts expect that Pool Corporation will post 11.07 earnings per share for the current year.

Pool Increases Dividend

The company also recently declared a quarterly dividend, which will be paid on Thursday, May 28th. Stockholders of record on Thursday, May 14th will be given a dividend of $1.30 per share. This is an increase from Pool’s previous quarterly dividend of $1.25. This represents a $5.20 annualized dividend and a dividend yield of 2.7%. The ex-dividend date is Thursday, May 14th. Pool’s dividend payout ratio (DPR) is 47.84%.

Pool declared that its board has approved a stock repurchase program on Wednesday, April 29th that permits the company to buyback $600.00 million in shares. This buyback authorization permits the specialty retailer to purchase up to 7.8% of its stock through open market purchases. Stock buyback programs are typically an indication that the company’s leadership believes its stock is undervalued.

Insider Transactions at Pool

In other news, CFO Melanie M. Hart sold 2,750 shares of the firm’s stock in a transaction on Tuesday, February 24th. The stock was sold at an average price of $220.00, for a total transaction of $605,000.00. Following the completion of the transaction, the chief financial officer directly owned 18,039 shares in the company, valued at $3,968,580. This trade represents a 13.23% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available at the SEC website. Also, SVP Romain Kenneth G. St purchased 5,560 shares of the stock in a transaction dated Monday, February 23rd. The shares were purchased at an average price of $218.67 per share, with a total value of $1,215,805.20. Following the completion of the transaction, the senior vice president owned 82,845 shares of the company’s stock, valued at approximately $18,115,716.15. This trade represents a 7.19% increase in their ownership of the stock. The SEC filing for this purchase provides additional information. Company insiders own 3.00% of the company’s stock.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently bought and sold shares of the stock. Caledonia Investments PLC boosted its holdings in Pool by 5.2% in the third quarter. Caledonia Investments PLC now owns 160,887 shares of the specialty retailer’s stock valued at $49,886,000 after purchasing an additional 8,000 shares during the period. Silver Oak Securities Incorporated purchased a new position in Pool in the fourth quarter valued at $2,399,000. Allspring Global Investments Holdings LLC boosted its holdings in Pool by 42.2% in the third quarter. Allspring Global Investments Holdings LLC now owns 15,333 shares of the specialty retailer’s stock valued at $4,741,000 after purchasing an additional 4,551 shares during the period. Waters Parkerson & CO. LLC boosted its holdings in Pool by 1.8% in the third quarter. Waters Parkerson & CO. LLC now owns 114,317 shares of the specialty retailer’s stock valued at $35,446,000 after purchasing an additional 2,024 shares during the period. Finally, Y Intercept Hong Kong Ltd purchased a new position in Pool in the third quarter valued at $2,376,000. 98.99% of the stock is currently owned by hedge funds and other institutional investors.

Pool Company Profile

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.