POOL CORP (POOL) Stock Fundamental Analysis
USA - NASDAQ:POOL - US73278L1052 - Common Stock
240.24 USD
+2.4 (+1.01%)
240.24 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 is valued correctly, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
In the past year POOL was profitable.
POOL had a positive operating cash flow in the past year.
In the past 5 years POOL has always been profitable.
Each year in the past 5 years POOL had a positive operating cash flow.
1.2 Ratios
POOL's Return On Assets of 11.71% is amongst the best of the industry. POOL outperforms 82.61% of its industry peers.
POOL's Return On Equity of 29.72% is amongst the best of the industry. POOL outperforms 91.30% of its industry peers.
POOL has a better Return On Invested Capital (16.15%) than 91.30% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for POOL is significantly above the industry average of 14.04%.
The last Return On Invested Capital (16.15%) 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 | 11.71% | ||
| ROE | 29.72% | ||
| ROIC | 16.15% |
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
Looking at the Profit Margin, with a value of 7.75%, POOL belongs to the top of the industry, outperforming 82.61% of the companies in the same industry.
In the last couple of years the Profit Margin of POOL has remained more or less at the same level.
POOL has a Operating Margin of 11.12%. This is amongst the best in the industry. POOL outperforms 100.00% of its industry peers.
In the last couple of years the Operating Margin of POOL has grown nicely.
POOL's Gross Margin of 29.59% is fine compared to the rest of the industry. POOL outperforms 73.91% of its industry peers.
In the last couple of years the Gross Margin of POOL has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 11.12% | ||
| PM (TTM) | 7.75% | ||
| GM | 29.6% |
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.
The number of shares outstanding for POOL has been reduced compared to 1 year ago.
The number of shares outstanding for POOL has been reduced compared to 5 years ago.
POOL has a better debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 5.28 indicates that POOL is not in any danger for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 5.28, POOL is in the better half of the industry, outperforming 60.87% of the companies in the same industry.
The Debt to FCF ratio of POOL is 2.69, which is a good value as it means it would take POOL, 2.69 years of fcf income to pay off all of its debts.
POOL has a Debt to FCF ratio of 2.69. This is in the better half of the industry: POOL outperforms 69.57% of its industry peers.
A Debt/Equity ratio of 0.76 indicates that POOL is somewhat dependend on debt financing.
POOL's Debt to Equity ratio of 0.76 is on the low side compared to the rest of the industry. POOL is outperformed by 60.87% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.76 | ||
| Debt/FCF | 2.69 | ||
| Altman-Z | 5.28 |
ROIC/WACC1.64
WACC9.87%
2.3 Liquidity
POOL has a Current Ratio of 2.57. This indicates that POOL is financially healthy and has no problem in meeting its short term obligations.
With a decent Current ratio value of 2.57, POOL is doing good in the industry, outperforming 69.57% of the companies in the same industry.
A Quick Ratio of 0.87 indicates that POOL may have some problems paying its short term obligations.
POOL has a Quick ratio (0.87) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.57 | ||
| Quick Ratio | 0.87 |
3. Growth
3.1 Past
POOL shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -5.68%.
Measured over the past years, POOL shows a quite strong growth in Earnings Per Share. The EPS has been growing by 11.97% on average per year.
The Revenue has decreased by -0.60% in the past year.
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)-0.6%
Revenue growth 3Y0.1%
Revenue growth 5Y10.67%
Sales Q2Q%1.27%
3.2 Future
Based on estimates for the next years, POOL will show a small growth in Earnings Per Share. The EPS will grow by 4.68% on average per year.
The Revenue is expected to grow by 3.11% on average over the next years.
EPS Next Y-1.2%
EPS Next 2Y2.57%
EPS Next 3Y5.1%
EPS Next 5Y4.68%
Revenue Next Year0.39%
Revenue Next 2Y1.96%
Revenue Next 3Y2.84%
Revenue Next 5Y3.11%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
POOL is valuated rather expensively with a Price/Earnings ratio of 21.92.
69.57% of the companies in the same industry are more expensive than POOL, based on the Price/Earnings ratio.
POOL is valuated at similar levels of the S&P average when we compare the Price/Earnings ratio to 25.51, which is the current average of the S&P500 Index.
With a Price/Forward Earnings ratio of 20.24, POOL is valued on the expensive side.
Based on the Price/Forward Earnings ratio, POOL is valued a bit cheaper than 73.91% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 34.98. POOL is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.92 | ||
| Fwd PE | 20.24 |
4.2 Price Multiples
POOL's Enterprise Value to EBITDA ratio is in line with the industry average.
POOL's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. POOL is cheaper than 60.87% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 22.72 | ||
| EV/EBITDA | 15.52 |
4.3 Compensation for Growth
The excellent profitability rating of POOL may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)1.83
EPS Next 2Y2.57%
EPS Next 3Y5.1%
5. Dividend
5.1 Amount
POOL has a Yearly Dividend Yield of 2.03%. Purely for dividend investing, there may be better candidates out there.
The stock price of POOL dropped by -25.79% in the last 3 months. With lower prices the dividend yield is higher, but it may be a sign investors do not trust the long term dividend.
Compared to an average industry Dividend Yield of 3.39, POOL pays a bit more dividend than its industry peers.
Compared to an average S&P500 Dividend Yield of 2.44, POOL has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.03% |
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
POOL pays out 44.90% of its income as dividend. 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 2Y2.57%
EPS Next 3Y5.1%
240.24
+2.4 (+1.01%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Discretionary Distribution & Retail
GICS IndustryDistributors
Earnings (Last)
Earnings (Next)
Inst Owners103.05%
Inst Owner Change-8.07%
Ins Owners3.11%
Ins Owner Change0.02%
Market Cap8.97B
Revenue(TTM)5.29B
Net Income(TTM)410.08M
Analysts70.91
Price Target335.94 (39.84%)
Short Float %10.78%
Short Ratio5.22
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.03% |
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)-1.16%
Min EPS beat(2)-2%
Max EPS beat(2)-0.32%
EPS beat(4)1
Avg EPS beat(4)-0.52%
Min EPS beat(4)-6.57%
Max EPS beat(4)6.79%
EPS beat(8)4
Avg EPS beat(8)0.95%
EPS beat(12)4
Avg EPS beat(12)-2.5%
EPS beat(16)7
Avg EPS beat(16)2.55%
Revenue beat(2)0
Avg Revenue beat(2)-1.93%
Min Revenue beat(2)-2.08%
Max Revenue beat(2)-1.79%
Revenue beat(4)1
Avg Revenue beat(4)-1.94%
Min Revenue beat(4)-4.41%
Max Revenue beat(4)0.53%
Revenue beat(8)2
Avg Revenue beat(8)-1.77%
Revenue beat(12)2
Avg Revenue beat(12)-2.77%
Revenue beat(16)4
Avg Revenue beat(16)-1.55%
PT rev (1m)-1.1%
PT rev (3m)-0.89%
EPS NQ rev (1m)0.1%
EPS NQ rev (3m)1.04%
EPS NY rev (1m)-0.01%
EPS NY rev (3m)-1.07%
Revenue NQ rev (1m)0.1%
Revenue NQ rev (3m)0.1%
Revenue NY rev (1m)-0.06%
Revenue NY rev (3m)-0.18%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.92 | ||
| Fwd PE | 20.24 | ||
| P/S | 1.69 | ||
| P/FCF | 22.72 | ||
| P/OCF | 19.65 | ||
| P/B | 6.5 | ||
| P/tB | 23.04 | ||
| EV/EBITDA | 15.52 |
EPS(TTM)10.96
EY4.56%
EPS(NY)11.87
Fwd EY4.94%
FCF(TTM)10.58
FCFY4.4%
OCF(TTM)12.23
OCFY5.09%
SpS141.87
BVpS36.97
TBVpS10.43
PEG (NY)N/A
PEG (5Y)1.83
Graham Number95.49
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 11.71% | ||
| ROE | 29.72% | ||
| ROCE | 21.17% | ||
| ROIC | 16.15% | ||
| ROICexc | 16.93% | ||
| ROICexgc | 27.03% | ||
| OM | 11.12% | ||
| PM (TTM) | 7.75% | ||
| GM | 29.6% | ||
| FCFM | 7.45% |
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 Turnover1.51
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.76 | ||
| Debt/FCF | 2.69 | ||
| Debt/EBITDA | 1.64 | ||
| Cap/Depr | 125.42% | ||
| Cap/Sales | 1.16% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 71.52% | ||
| Profit Quality | 96.24% | ||
| Current Ratio | 2.57 | ||
| Quick Ratio | 0.87 | ||
| Altman-Z | 5.28 |
F-Score5
WACC9.87%
ROIC/WACC1.64
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-1.2%
EPS Next 2Y2.57%
EPS Next 3Y5.1%
EPS Next 5Y4.68%
Revenue 1Y (TTM)-0.6%
Revenue growth 3Y0.1%
Revenue growth 5Y10.67%
Sales Q2Q%1.27%
Revenue Next Year0.39%
Revenue Next 2Y1.96%
Revenue Next 3Y2.84%
Revenue Next 5Y3.11%
EBIT growth 1Y-7.4%
EBIT growth 3Y-9.41%
EBIT growth 5Y12.59%
EBIT Next Year7.41%
EBIT Next 3Y6.81%
EBIT Next 5Y6.3%
FCF growth 1Y-54.57%
FCF growth 3Y29.55%
FCF growth 5Y17.71%
OCF growth 1Y-50.8%
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 21.92 and the Price/Book (PB) ratio is 6.5.
Can you provide the financial health for POOL stock?
The financial health rating of POOL CORP (POOL) is 6 / 10.