- Pool Corp reported a Q1 EPS of $2.04, beating the estimated $1.90.
- The company’s EPS decreased from $2.58 y/y.
- Net sales were reported at $1.12 billion, a decrease of 7.1% y/y, slightly below the estimated $1.13 billion.
- The gross margin was 30.2%, slightly lower than its y/y figure of 30.6%, but higher than the estimated 30%.
- The company marked its fourth consecutive year exceeding $1.0 billion of net sales in Q1, regardless of macroeconomic challenges and mixed weather conditions.
- Pool Corp has updated its annual earnings guidance range to $13.19 to $14.19 per diluted share, factoring in the impact of ytd tax benefits of $0.19.
- The company’s stocks are ranked as 5 buys, 7 holds, and 1 sell.
Pool Corp on Smartkarma
Analysts at Baptista Research recently initiated coverage on Pool Corporation, the world’s leading wholesale distributor of swimming pool supplies. In their first report on the company, they highlighted 5 major drivers and 5 major challenges for the future, along with financial forecasts. Despite facing a 10% decline in total sales for 2023 compared to the previous year, amounting to $5.5 billion, Pool Corp encountered challenging market conditions characterized by unusual weather patterns and high levels of industry-wide inventory.
A look at Pool Corp Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 2 | |
| Dividend | 2 | |
| Growth | 4 | |
| Resilience | 2 | |
| Momentum | 3 | |
| OVERALL SMART SCORE | 2.6 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
Pool Corp, a wholesale distributor of swimming pool supplies and leisure products, shows a promising long-term outlook based on its Smartkarma Smart Scores. With a solid Growth score of 4 and Momentum at 3, the company demonstrates potential for expanding its market presence and maintaining positive performance over time. While Value and Dividend scores sit at a moderate level of 2 each, indicating room for improvement in these areas, Pool Corp‘s Resilience score of 2 suggests a stable foundation that can withstand market fluctuations.
Overall, Pool Corp appears well-positioned to capitalize on opportunities in the swimming pool supply industry, leveraging its diverse product inventory ranging from construction materials to pool care products. The company’s focus on growth and momentum signals a proactive approach to business development, with potential for increased competitiveness and market share in the long run.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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