Reassessing Pool Corp (POOL) Valuation Amid Recent Decline in Share Price
Written by Emily J. Thompson, Senior Investment Analyst
Source: Yahoo Finance
Updated: 6 day ago0mins
Stock Performance: Pool (POOL) shares have declined significantly, with a 1-month return of -12.12% and a year-to-date loss of -26.82%, reflecting a total shareholder return of -34.34% over the past year.
Valuation Insights: The fair value of Pool's stock is estimated at $333.27, indicating it is currently undervalued compared to its last closing price, raising questions about whether the market is overreacting or if caution is warranted regarding future growth.
Growth Strategies: Pool is focusing on expanding private label offerings and enhancing operational efficiencies through investments in supply chain and digital platforms, which are expected to improve margins and support future earnings potential.
Market Challenges: High interest rates and a slowdown in new pool construction pose risks to Pool's recovery, although recurring revenues provide some stability amidst these challenges.
POOL.O
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Analyst Views on POOL
Wall Street analysts forecast POOL stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for POOL is 326.00 USD with a low forecast of 285.00 USD and a high forecast of 360.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
9 Analyst Rating
2 Buy
6 Hold
1 Sell
Hold
Current: 241.920
Low
285.00
Averages
326.00
High
360.00
Current: 241.920
Low
285.00
Averages
326.00
High
360.00
Baird
David Manthey
Neutral
downgrade
$350 -> $345
2025-10-24
Reason
Baird
David Manthey
Price Target
$350 -> $345
2025-10-24
downgrade
Neutral
Reason
Baird analyst David Manthey lowered the firm's price target on Pool Corp. to $345 from $350 and keeps a Neutral rating on the shares. The firm updated its model following Q2 results which suggested a stabilization tone is developing.
Goldman Sachs
Buy
maintain
$355 -> $360
2025-10-23
Reason
Goldman Sachs
Price Target
$355 -> $360
2025-10-23
maintain
Buy
Reason
Goldman Sachs raised the firm's price target on Pool Corp. to $360 from $355 and keeps a Buy rating on the shares. Pool Corp's Q3 results and Q4 outlook reflect the benefits of company-specific initiatives to support share gains and improved profitability, the analyst tells investors in a research note. On the earnings call, the management also highlighted signs of firming demand across end-markets as headwinds to discretionary spend gradually abate, the firm added.
William Blair
William Blair
Outperform -> Market Perform
downgrade
2025-10-15
Reason
William Blair
William Blair
Price Target
2025-10-15
downgrade
Outperform -> Market Perform
Reason
William Blair downgraded Pool Corp. to Market Perform from Outperform without a price target. The shares will remain range-bound as high interest rates challenge the company's near-term earnings growth, the analyst tells investors in a research note. The firm says pool industry data "continues to be soft" as higher interest rates weigh on new pool construction and major renovations. Blair sees this continuing into the first half of 2026. The new pool market faces an affordability problem that requires lower rates to solve, it contends.
KeyBanc
Jeffrey Hammond
Sector Weight
initiated
2025-10-01
Reason
KeyBanc
Jeffrey Hammond
Price Target
2025-10-01
initiated
Sector Weight
Reason
KeyBanc analyst Jeffrey Hammond initiated coverage of Pool Corp. with a Sector Weight rating and no price target. The company's long-term fundamentals are compelling, but the stock's "premium" valuation fully appreciates this, the analyst tells investors in a research note.
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About POOL
Pool Corporation is a wholesale distributor of swimming pool supplies, equipment, and related leisure products. The Company also distributes irrigation and landscape products in the United States. The Company operates approximately 448 sales centers in North America, Europe, and Australia through its five distribution networks: SCP Distributors (SCP), Superior Pool Products (Superior), Horizon Distributors (Horizon), National Pool Tile (NPT), and Sun Wholesale Supply (Sun Wholesale). The Company distributes swimming pool supplies, equipment, and related leisure products domestically through its SCP and Superior sales center networks through SCP network. Its Horizon sales centers offer organic fertilizers, organic pesticides, and irrigation and drainage products that reduce water usage and soil erosion. Sun Wholesale distributes swimming pool supplies, equipment, and related leisure products, primarily servicing independently owned and operated Pinch A Penny, Inc. franchise locations.
About the author
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Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
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