POOL CORP (POOL) Stock Fundamental Analysis
USA - NASDAQ:POOL - US73278L1052 - Common Stock
252.01 USD
+3.64 (+1.47%)
252.01 USD
0 (0%)
Overall POOL gets a fundamental rating of 6 out of 10. We evaluated POOL against 23 industry peers in the Distributors industry. POOL has an excellent profitability rating, but there are some minor concerns on its financial health. POOL has a valuation in line with the averages, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
In the past year POOL was profitable.
In the past year POOL had a positive cash flow from operations.
In the past 5 years POOL has always been profitable.
POOL had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
With an excellent Return On Assets value of 11.13%, POOL belongs to the best of the industry, outperforming 82.61% of the companies in the same industry.
The Return On Equity of POOL (31.46%) is better than 95.65% of its industry peers.
POOL has a better Return On Invested Capital (15.62%) than 91.30% of its industry peers.
POOL had an Average Return On Invested Capital over the past 3 years of 22.40%. This is significantly above the industry average of 14.79%.
The last Return On Invested Capital (15.62%) for POOL is well below the 3 year average (22.40%), which needs to be investigated, but indicates that POOL had better years and this may not be a problem.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 11.13% | ||
| ROE | 31.46% | ||
| ROIC | 15.62% |
ROA(3y)16.3%
ROA(5y)18.02%
ROE(3y)44.61%
ROE(5y)50.38%
ROIC(3y)22.4%
ROIC(5y)24.25%
1.3 Margins
POOL has a Profit Margin of 7.75%. This is amongst the best in the industry. POOL outperforms 82.61% of its industry peers.
POOL's Profit Margin has been stable in the last couple of years.
With an excellent Operating Margin value of 11.13%, POOL belongs to the best of the industry, outperforming 95.65% of the companies in the same industry.
In the last couple of years the Operating Margin of POOL has grown nicely.
POOL has a Gross Margin of 29.46%. This is in the better half of the industry: POOL outperforms 73.91% of its industry peers.
POOL's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 11.13% | ||
| PM (TTM) | 7.75% | ||
| GM | 29.46% |
OM growth 3Y-9.5%
OM growth 5Y1.73%
PM growth 3Y-12.84%
PM growth 5Y-0.1%
GM growth 3Y-0.96%
GM growth 5Y0.52%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), POOL is creating value.
Compared to 1 year ago, POOL has less shares outstanding
Compared to 5 years ago, POOL has less shares outstanding
POOL has a better debt/assets ratio than last year.
2.2 Solvency
POOL has an Altman-Z score of 4.95. This indicates that POOL is financially healthy and has little risk of bankruptcy at the moment.
The Altman-Z score of POOL (4.95) is better than 60.87% of its industry peers.
The Debt to FCF ratio of POOL is 2.84, which is a good value as it means it would take POOL, 2.84 years of fcf income to pay off all of its debts.
Looking at the Debt to FCF ratio, with a value of 2.84, POOL is in the better half of the industry, outperforming 73.91% of the companies in the same industry.
A Debt/Equity ratio of 0.94 indicates that POOL is somewhat dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.94, POOL is doing worse than 60.87% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.94 | ||
| Debt/FCF | 2.84 | ||
| Altman-Z | 4.95 |
ROIC/WACC1.57
WACC9.93%
2.3 Liquidity
A Current Ratio of 2.52 indicates that POOL has no problem at all paying its short term obligations.
With a decent Current ratio value of 2.52, POOL is doing good in the industry, outperforming 69.57% of the companies in the same industry.
POOL has a Quick Ratio of 2.52. This is a bad value and indicates that POOL is not financially healthy enough and could expect problems in meeting its short term obligations.
With a Quick ratio value of 0.87, POOL perfoms like the industry average, outperforming 52.17% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.52 | ||
| Quick Ratio | 0.87 |
3. Growth
3.1 Past
The earnings per share for POOL have decreased by -5.68% in the last year.
POOL shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 11.97% yearly.
POOL shows a decrease in Revenue. In the last year, the revenue decreased by -4.16%.
POOL shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 10.67% yearly.
EPS 1Y (TTM)-5.68%
EPS 3Y-10.87%
EPS 5Y11.97%
EPS Q2Q%3.67%
Revenue 1Y (TTM)-4.16%
Revenue growth 3Y0.1%
Revenue growth 5Y10.67%
Sales Q2Q%1.27%
3.2 Future
The Earnings Per Share is expected to grow by 5.61% on average over the next years.
The Revenue is expected to grow by 2.95% on average over the next years.
EPS Next Y-1.06%
EPS Next 2Y3.3%
EPS Next 3Y5.61%
EPS Next 5YN/A
Revenue Next Year0.46%
Revenue Next 2Y2.07%
Revenue Next 3Y2.95%
Revenue Next 5YN/A
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 22.99, the valuation of POOL can be described as rather expensive.
Based on the Price/Earnings ratio, POOL is valued a bit cheaper than the industry average as 65.22% of the companies are valued more expensively.
Compared to an average S&P500 Price/Earnings ratio of 25.83, POOL is valued at the same level.
POOL is valuated rather expensively with a Price/Forward Earnings ratio of 20.94.
Compared to the rest of the industry, the Price/Forward Earnings ratio of POOL indicates a somewhat cheap valuation: POOL is cheaper than 78.26% of the companies listed in the same industry.
POOL is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 32.68, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22.99 | ||
| Fwd PE | 20.94 |
4.2 Price Multiples
POOL's Enterprise Value to EBITDA ratio is in line with the industry average.
POOL's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 21.69 | ||
| EV/EBITDA | 16.39 |
4.3 Compensation for Growth
The excellent profitability rating of POOL may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)1.92
EPS Next 2Y3.3%
EPS Next 3Y5.61%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 1.80%, POOL has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 3.39, POOL pays a bit more dividend than its industry peers.
POOL's Dividend Yield is slightly below the S&P500 average, which is at 2.39.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.8% |
5.2 History
The dividend of POOL is nicely growing with an annual growth rate of 17.54%!
POOL has been paying a dividend for at least 10 years, so it has a reliable track record.
POOL has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)17.54%
Div Incr Years14
Div Non Decr Years20
5.3 Sustainability
44.90% of the earnings are spent on dividend by POOL. This is a bit on the high side, but may be sustainable.
The dividend of POOL is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP44.9%
EPS Next 2Y3.3%
EPS Next 3Y5.61%
252.01
+3.64 (+1.47%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Discretionary Distribution & Retail
GICS IndustryDistributors
Earnings (Last)
Earnings (Next)
Inst Owners103.05%
Inst Owner Change-2.37%
Ins Owners3.11%
Ins Owner Change0.01%
Market Cap9.41B
Revenue(TTM)5.31B
Net Income(TTM)408.75M
Analysts74
Price Target335.94 (33.3%)
Short Float %9.79%
Short Ratio5.77
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.8% |
Yearly Dividend4.72
Dividend Growth(5Y)17.54%
DP44.9%
Div Incr Years14
Div Non Decr Years20
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-3.44%
Min EPS beat(2)-6.57%
Max EPS beat(2)-0.32%
EPS beat(4)2
Avg EPS beat(4)0.47%
Min EPS beat(4)-6.57%
Max EPS beat(4)6.79%
EPS beat(8)4
Avg EPS beat(8)1.03%
EPS beat(12)5
Avg EPS beat(12)-2.16%
EPS beat(16)8
Avg EPS beat(16)3.61%
Revenue beat(2)0
Avg Revenue beat(2)-3.1%
Min Revenue beat(2)-4.41%
Max Revenue beat(2)-1.79%
Revenue beat(4)2
Avg Revenue beat(4)-1.39%
Min Revenue beat(4)-4.41%
Max Revenue beat(4)0.53%
Revenue beat(8)2
Avg Revenue beat(8)-1.62%
Revenue beat(12)2
Avg Revenue beat(12)-2.67%
Revenue beat(16)5
Avg Revenue beat(16)-1.38%
PT rev (1m)-1.14%
PT rev (3m)1.76%
EPS NQ rev (1m)0.13%
EPS NQ rev (3m)-1.02%
EPS NY rev (1m)0.14%
EPS NY rev (3m)-0.93%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-0.13%
Revenue NY rev (1m)0.02%
Revenue NY rev (3m)-0.31%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22.99 | ||
| Fwd PE | 20.94 | ||
| P/S | 1.78 | ||
| P/FCF | 21.69 | ||
| P/OCF | 19.37 | ||
| P/B | 7.24 | ||
| P/tB | 30.16 | ||
| EV/EBITDA | 16.39 |
EPS(TTM)10.96
EY4.35%
EPS(NY)12.04
Fwd EY4.78%
FCF(TTM)11.62
FCFY4.61%
OCF(TTM)13.01
OCFY5.16%
SpS141.38
BVpS34.81
TBVpS8.36
PEG (NY)N/A
PEG (5Y)1.92
Graham Number92.65
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 11.13% | ||
| ROE | 31.46% | ||
| ROCE | 20.5% | ||
| ROIC | 15.62% | ||
| ROICexc | 16.09% | ||
| ROICexgc | 24.92% | ||
| OM | 11.13% | ||
| PM (TTM) | 7.75% | ||
| GM | 29.46% | ||
| FCFM | 8.22% |
ROA(3y)16.3%
ROA(5y)18.02%
ROE(3y)44.61%
ROE(5y)50.38%
ROIC(3y)22.4%
ROIC(5y)24.25%
ROICexc(3y)22.92%
ROICexc(5y)24.78%
ROICexgc(3y)36.83%
ROICexgc(5y)38.4%
ROCE(3y)29.36%
ROCE(5y)31.79%
ROICexgc growth 3Y-9.32%
ROICexgc growth 5Y1.46%
ROICexc growth 3Y-9.21%
ROICexc growth 5Y-4.65%
OM growth 3Y-9.5%
OM growth 5Y1.73%
PM growth 3Y-12.84%
PM growth 5Y-0.1%
GM growth 3Y-0.96%
GM growth 5Y0.52%
F-Score5
Asset Turnover1.44
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.94 | ||
| Debt/FCF | 2.84 | ||
| Debt/EBITDA | 1.92 | ||
| Cap/Depr | 108.65% | ||
| Cap/Sales | 0.98% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 76.46% | ||
| Profit Quality | 106.08% | ||
| Current Ratio | 2.52 | ||
| Quick Ratio | 0.87 | ||
| Altman-Z | 4.95 |
F-Score5
WACC9.93%
ROIC/WACC1.57
Cap/Depr(3y)130.76%
Cap/Depr(5y)118.35%
Cap/Sales(3y)0.97%
Cap/Sales(5y)0.83%
Profit Quality(3y)119.07%
Profit Quality(5y)100.42%
High Growth Momentum
Growth
EPS 1Y (TTM)-5.68%
EPS 3Y-10.87%
EPS 5Y11.97%
EPS Q2Q%3.67%
EPS Next Y-1.06%
EPS Next 2Y3.3%
EPS Next 3Y5.61%
EPS Next 5YN/A
Revenue 1Y (TTM)-4.16%
Revenue growth 3Y0.1%
Revenue growth 5Y10.67%
Sales Q2Q%1.27%
Revenue Next Year0.46%
Revenue Next 2Y2.07%
Revenue Next 3Y2.95%
Revenue Next 5YN/A
EBIT growth 1Y-10.2%
EBIT growth 3Y-9.41%
EBIT growth 5Y12.59%
EBIT Next Year7.41%
EBIT Next 3Y6.81%
EBIT Next 5YN/A
FCF growth 1Y-44.34%
FCF growth 3Y29.55%
FCF growth 5Y17.71%
OCF growth 1Y-41.71%
OCF growth 3Y28.11%
OCF growth 5Y17.15%
POOL CORP / POOL FAQ
Can you provide the ChartMill fundamental rating for POOL CORP?
ChartMill assigns a fundamental rating of 6 / 10 to POOL.
Can you provide the valuation status for POOL CORP?
ChartMill assigns a valuation rating of 4 / 10 to POOL CORP (POOL). This can be considered as Fairly Valued.
How profitable is POOL CORP (POOL) stock?
POOL CORP (POOL) has a profitability rating of 9 / 10.
What are the PE and PB ratios of POOL CORP (POOL) stock?
The Price/Earnings (PE) ratio for POOL CORP (POOL) is 22.99 and the Price/Book (PB) ratio is 7.24.
Can you provide the financial health for POOL stock?
The financial health rating of POOL CORP (POOL) is 6 / 10.