Pool (NASDAQ:POOL) Releases Earnings Results, Misses Estimates By $0.15 EPS

Pool (NASDAQ:POOL) posted its quarterly earnings data on Thursday. The specialty retailer reported $0.84 EPS for the quarter, missing analysts’ consensus estimates of $0.99 by ($0.15), Zacks reports. Pool had a net margin of 7.77% and a return on equity of 31.40%. The firm had revenue of $982.21 million during the quarter, compared to the consensus estimate of $999.14 million. During the same period in the prior year, the company posted $0.97 earnings per share. The company’s revenue for the quarter was down .5% compared to the same quarter last year. Pool updated its FY 2026 guidance to 10.850-11.150 EPS.

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

• Full-year revenue held steady at $5.3 billion while gross margin expanded to 29.7% (Q4 margin 30.1%), driven by pricing, supply-chain benefits and private-label mix.
• Earnings and operating income declined — adjusted diluted EPS was $10.73 (reported $10.85) versus prior-year levels and operating income fell to $580 million, reflecting higher SG&A from tech, new-center costs and incentive compensation pressure.
• 2026 outlook calls for low single-digit net sales growth with diluted EPS guidance of $10.85–$11.15 and gross margin roughly in line with 2025 as investments scale and pricing/privates offset mix shifts.
• Strategic investments are advancing — POOL360 Unlocked and AI features, expansion of exclusive brands, and digital sales rising to ~15% of revenue should enhance customer experience, share gains and operating efficiency.
• Working-capital and leverage increased — year-end inventory rose ~13% to $1.45 billion from opportunistic pre-price buys and total debt increased to $1.2 billion (leverage 1.67x), which raises near-term funding and execution risks.

Pool Stock Down 1.7%

Shares of Pool stock traded down $3.66 during trading hours on Friday, reaching $214.70. The company’s stock had a trading volume of 482,478 shares, compared to its average volume of 848,035. The company has a market capitalization of $8.00 billion, a P/E ratio of 19.57, a P/E/G ratio of 4.49 and a beta of 1.22. The stock’s fifty day simple moving average is $250.05 and its two-hundred day simple moving average is $275.43. Pool has a one year low of $211.56 and a one year high of $374.74. The company has a debt-to-equity ratio of 0.76, a quick ratio of 0.87 and a current ratio of 2.57.

Hedge Funds Weigh In On Pool

Large investors have recently added to or reduced their stakes in the business. Wealthspire Advisors LLC increased its holdings in Pool by 4.8% during the 4th quarter. Wealthspire Advisors LLC now owns 1,051 shares of the specialty retailer’s stock worth $240,000 after purchasing an additional 48 shares in the last quarter. Snowden Capital Advisors LLC boosted its position in shares of Pool by 4.8% during the second quarter. Snowden Capital Advisors LLC now owns 1,163 shares of the specialty retailer’s stock valued at $339,000 after buying an additional 53 shares during the last quarter. Mackenzie Financial Corp grew its holdings in Pool by 6.1% during the fourth quarter. Mackenzie Financial Corp now owns 1,150 shares of the specialty retailer’s stock worth $265,000 after buying an additional 66 shares in the last quarter. Brown Brothers Harriman & Co. raised its position in Pool by 15.7% in the 3rd quarter. Brown Brothers Harriman & Co. now owns 522 shares of the specialty retailer’s stock valued at $162,000 after buying an additional 71 shares during the last quarter. Finally, Ossiam raised its position in Pool by 4.4% in the 3rd quarter. Ossiam now owns 1,757 shares of the specialty retailer’s stock valued at $545,000 after buying an additional 74 shares during the last quarter. Institutional investors own 98.99% of the company’s stock.

Key Pool News

Here are the key news stories impacting Pool this week:

• Positive Sentiment: Analysts remain constructive on Pool’s longer-term prospects despite recent weakness — several analyst updates highlighted that while POOL has lagged the market over the past year, fundamentals and franchise value keep a favorable long-term view. Pool Corporation Stock: Analyst Estimates & Ratings
• Neutral Sentiment: Company released Q4 results and FY2026 outlook: 2025 net sales ~ $5.3B (flat), Q4 EPS $0.84 and FY2026 EPS guidance of $10.85–$11.15. The guidance is material and provides a framework for 2026 earnings but came in below consensus. Investors will parse the slide deck and call for detail on margin drivers and inventory/ordering trends. Pool Corp Issues 2025 Results and 2026 EPS Outlook
• Neutral Sentiment: Earnings call transcript is available — management commentary on demand drivers, pricing, and inventory cadence will be the immediate focus for traders and longer-term investors. Review details in the transcript for color on seasonal trends and margin outlook. Pool Corporation (POOL) Q4 2025 Earnings Call Transcript
• Negative Sentiment: Q4 results missed estimates: EPS $0.84 vs. consensus ~$0.99 and revenue ~$982.2M vs. ~$999.1M — the top- and bottom-line misses and a slight year-over-year revenue decline point to near-term softness. Several outlets flagged the misses, which pressured sentiment. Pool Corp. (POOL) Lags Q4 Earnings and Revenue Estimates
• Negative Sentiment: Market commentary and investor letters point to soft end-market demand and no immediate rebound — bearish writeups argue valuation still looks rich vs. earnings momentum, which can keep selling pressure if cyclicality persists. Soft Demand Weighed on Pool Corp.’s (POOL) Shares

Analyst Ratings Changes

A number of analysts have weighed in on the company. Stifel Nicolaus decreased their price target on Pool from $295.00 to $240.00 and set a “hold” rating for the company in a report on Tuesday, December 16th. Robert W. Baird set a $300.00 target price on Pool in a research report on Friday. Deutsche Bank Aktiengesellschaft set a $246.00 target price on Pool in a research note on Friday. Wells Fargo & Company boosted their price target on Pool from $250.00 to $275.00 and gave the company a “cautious” rating in a research note on Wednesday, February 11th. Finally, Cfra upgraded Pool from a “hold” rating to a “buy” rating and set a $304.00 price target on the stock in a report on Monday, December 22nd. One research analyst has rated the stock with a Strong Buy rating, four have issued a Buy rating, five have issued a Hold rating and two have assigned a Sell rating to the company. According to MarketBeat.com, the company currently has a consensus rating of “Hold” and an average price target of $296.38.

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.