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

Pool (NASDAQ:POOL) issued its earnings results on Thursday. The specialty retailer reported $0.84 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.99 by ($0.15), Zacks reports. Pool had a return on equity of 31.40% and a net margin of 7.77%.The firm had revenue of $982.21 million during the quarter, compared to the consensus estimate of $999.14 million. During the same quarter in the prior year, the business earned $0.97 earnings per share. Pool’s revenue for the quarter was down .5% on a year-over-year basis. 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 Price Performance

Shares of Pool stock traded down $28.64 on Thursday, reaching $226.69. The stock had a trading volume of 1,891,843 shares, compared to its average volume of 811,264. The business’s 50 day moving average is $250.48 and its two-hundred day moving average is $275.83. The company has a current ratio of 2.57, a quick ratio of 0.87 and a debt-to-equity ratio of 0.76. Pool has a 1 year low of $216.32 and a 1 year high of $374.74. The company has a market cap of $8.44 billion, a P/E ratio of 20.61, a price-to-earnings-growth ratio of 4.50 and a beta of 1.22.

Wall Street Analyst Weigh In

Several analysts have recently issued reports on POOL shares. Weiss Ratings reiterated a “sell (d+)” rating on shares of Pool in a research note on Monday, December 29th. Robert W. Baird set a $320.00 price objective on shares of Pool and gave the stock an “outperform” rating in a research report on Monday, January 12th. Stifel Nicolaus dropped their target price on shares of Pool from $295.00 to $240.00 and set a “hold” rating on the stock in a research report on Tuesday, December 16th. Cfra raised Pool from a “hold” rating to a “buy” rating and set a $304.00 target price for the company in a report on Monday, December 22nd. Finally, The Goldman Sachs Group decreased their price target on Pool from $360.00 to $310.00 and set a “buy” rating for the company in a research report on Tuesday, January 13th. One investment analyst has rated the stock with a Strong Buy rating, four have given a Buy rating, five have assigned a Hold rating and two have issued a Sell rating to the company’s stock. According to data from MarketBeat, the stock currently has a consensus rating of “Hold” and an average target price of $311.13.

Institutional Investors Weigh In On Pool

A number of hedge funds have recently made changes to their positions in POOL. CYBER HORNET ETFs LLC bought a new stake in Pool in the second quarter valued at approximately $30,000. MUFG Securities EMEA plc purchased a new stake in Pool in the second quarter worth $33,000. Geneos Wealth Management Inc. increased its stake in shares of Pool by 164.4% in the 1st quarter. Geneos Wealth Management Inc. now owns 156 shares of the specialty retailer’s stock worth $50,000 after acquiring an additional 97 shares in the last quarter. Los Angeles Capital Management LLC purchased a new position in Pool during the fourth quarter valued at $38,000. Finally, CIBC Private Wealth Group LLC lifted its stake in shares of Pool by 42.7% in the third quarter. CIBC Private Wealth Group LLC now owns 398 shares of the specialty retailer’s stock worth $123,000 after buying an additional 119 shares in the last quarter. 98.99% of the stock is currently owned by institutional investors.

Pool News Roundup

Here are the key news stories impacting Pool this week:

• Positive Sentiment: Solid profitability metrics: Pool reported a strong return on equity (31.4%) and a healthy net margin (7.77%), which support long‑term cash generation and shareholder returns. Press Release (Q4) PDF
• Neutral Sentiment: 2025 net sales were essentially steady at $5.3 billion, reflecting resilient maintenance demand for pools and steady end‑market activity; the company also highlighted continued investment in its POOL360 digital platform. Pool Corp Issues 2025 Results and 2026 EPS Outlook
• Negative Sentiment: Q4 EPS missed expectations: Pool reported $0.84 EPS vs. the consensus of $0.99, and revenue declined ~0.5% year‑over‑year — an earnings shortfall that directly pressured the stock. Pool Corp. (POOL) Lags Q4 Earnings and Revenue Estimates
• Negative Sentiment: FY‑2026 EPS guidance came in below street expectations: management gave a range of $10.85–$11.15 vs. the consensus ~ $11.58, signaling a more conservative outlook that likely drove additional selling. Pool Corp Issues 2025 Results and 2026 EPS Outlook

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.