Pool (NASDAQ:POOL) Stock Jumps 7.4% – Time to Buy?

Shares of Pool Corporation (NASDAQ:POOL) traded up 7.4% on Thursday. The stock traded as high as $170.83 and last traded at $169.8590. Approximately 469,992 shares traded hands during mid-day trading, a decline of 45% from the average session volume of 855,497 shares. The stock had previously closed at $158.12.

Key Pool News

Here are the key news stories impacting Pool this week:

• Positive Sentiment: Analysts expect Pool Corporation to potentially beat third-quarter earnings estimates, supported by the company’s earnings and revenue trends and current analyst projections. A stronger-than-expected report could improve sentiment toward the stock, which has recently traded well below its 12-month high. Pool Corp. Expected to Beat Earnings Estimates

Analyst Ratings Changes

Several analysts recently commented on the company. Bank of America reduced their target price on Pool from $226.00 to $206.00 and set an “underperform” rating on the stock in a report on Monday, July 20th. Oppenheimer lowered their price target on shares of Pool from $280.00 to $227.00 and set an “outperform” rating for the company in a report on Friday, July 24th. Wells Fargo & Company dropped their price target on shares of Pool from $215.00 to $185.00 and set an “equal weight” rating on the stock in a research report on Friday, September 11th. Stephens reaffirmed an “overweight” rating and issued a $225.00 price objective on shares of Pool in a research note on Thursday, August 20th. Finally, Stifel Nicolaus reduced their price objective on shares of Pool from $235.00 to $189.00 and set a “hold” rating on the stock in a research note on Friday, July 24th. Five equities research analysts have rated the stock with a Buy rating, four have issued a Hold rating and two have issued a Sell rating to the company’s stock. According to MarketBeat.com, the company currently has an average rating of “Hold” and an average price target of $230.10.

Pool Stock Performance

The stock has a market capitalization of $6.22 billion, a price-to-earnings ratio of 15.75, a price-to-earnings-growth ratio of 2.26 and a beta of 1.05. The company has a 50 day simple moving average of $177.05 and a 200-day simple moving average of $191.89. The company has a quick ratio of 0.91, a current ratio of 2.67 and a debt-to-equity ratio of 1.05.

Pool (NASDAQ:POOL) last released its quarterly earnings data on Thursday, July 23rd. The specialty retailer reported $5.38 earnings per share for the quarter, beating the consensus estimate of $5.33 by $0.05. Pool had a net margin of 7.40% and a return on equity of 32.74%. The company had revenue of $1.82 billion during the quarter, compared to analyst estimates of $1.82 billion. During the same quarter in the previous year, the business posted $5.17 EPS. Pool’s revenue for the quarter was up 2.2% compared to the same quarter last year. Pool has set its FY 2026 guidance at 10.660-10.960 EPS. As a group, equities research analysts expect that Pool Corporation will post 10.94 EPS for the current fiscal year.

Pool Dividend Announcement

The business also recently disclosed a quarterly dividend, which was paid on Thursday, August 27th. Stockholders of record on Thursday, August 13th were issued a dividend of $1.30 per share. The ex-dividend date was Thursday, August 13th. This represents a $5.20 annualized dividend and a dividend yield of 3.0%. Pool’s dividend payout ratio is currently 47.84%.

Hedge Funds Weigh In On Pool

Institutional investors and hedge funds have recently made changes to their positions in the stock. Deprince Race & Zollo Inc. grew its stake in Pool by 197.5% in the 1st quarter. Deprince Race & Zollo Inc. now owns 170,676 shares of the specialty retailer’s stock valued at $34,533,000 after purchasing an additional 113,306 shares during the period. Stanley Capital Management LLC bought a new stake in shares of Pool during the 2nd quarter worth $13,324,000. Freestone Grove Partners LP bought a new stake in shares of Pool during the 2nd quarter worth $2,448,000. Bank of America Corp DE boosted its holdings in shares of Pool by 48.0% in the 1st quarter. Bank of America Corp DE now owns 261,402 shares of the specialty retailer’s stock worth $52,889,000 after buying an additional 84,817 shares during the last quarter. Finally, Public Employees Retirement System of Ohio purchased a new position in shares of Pool in the 2nd quarter worth about $1,970,000. Institutional investors own 98.99% of the company’s stock.

About Pool

Pool Corporation (NASDAQ:POOL) is a distributor of swimming pool supplies, equipment and related products. The company serves professional pool contractors, retailers, builders and service providers, supplying products used to build, renovate, maintain and repair residential and commercial pools.

Its product offerings include pool chemicals, pumps, filters, heaters, cleaners, lighting, replacement parts and safety equipment. Pool also distributes products related to irrigation, landscaping and outdoor living, including patio and recreational products that complement pool installations and backyard projects.

Founded in 1993 and headquartered in Covington, Louisiana, Pool Corporation serves customers through a network of distribution centers and sales locations across North America, Europe and Australia.