Pool (NASDAQ:POOL) Shares Gap Up – Should You Buy?

Pool Co. (NASDAQ:POOL) gapped up before the market opened on Friday . The stock had previously closed at $357.49, but opened at $377.00. Pool shares last traded at $368.61, with a volume of 78,369 shares changing hands.

Wall Street Analysts Forecast Growth

Several research analysts recently issued reports on POOL shares. Wells Fargo & Company lifted their target price on Pool from $330.00 to $370.00 and gave the company an “equal weight” rating in a research report on Monday, October 7th. Stifel Nicolaus boosted their price target on shares of Pool from $335.00 to $340.00 and gave the company a “hold” rating in a research report on Monday, October 28th. Oppenheimer increased their price target on shares of Pool from $380.00 to $386.00 and gave the stock an “outperform” rating in a report on Monday, October 28th. StockNews.com upgraded Pool from a “sell” rating to a “hold” rating in a research report on Saturday, November 2nd. Finally, The Goldman Sachs Group increased their target price on Pool from $365.00 to $415.00 and gave the company a “buy” rating in a research note on Friday, July 26th. One investment analyst has rated the stock with a sell rating, six have assigned a hold rating and three have given a buy rating to the company. Based on data from MarketBeat.com, the company has an average rating of “Hold” and a consensus price target of $369.11.

Pool Price Performance

The stock has a market cap of $13.86 billion, a PE ratio of 30.77, a PEG ratio of 2.13 and a beta of 1.01. The company has a debt-to-equity ratio of 0.61, a current ratio of 2.39 and a quick ratio of 0.77. The firm has a 50-day moving average of $363.76 and a 200-day moving average of $352.48.

Pool (NASDAQ:POOL) last announced its quarterly earnings results on Thursday, October 24th. The specialty retailer reported $3.26 earnings per share for the quarter, topping the consensus estimate of $3.15 by $0.11. The company had revenue of $1.43 billion for the quarter, compared to analysts’ expectations of $1.40 billion. Pool had a net margin of 8.42% and a return on equity of 31.89%. Pool’s quarterly revenue was down 2.8% on a year-over-year basis. During the same quarter in the previous year, the business posted $3.50 earnings per share. Research analysts predict that Pool Co. will post 11 EPS for the current year.

Pool Dividend Announcement

The business also recently announced a quarterly dividend, which will be paid on Wednesday, November 27th. Shareholders of record on Wednesday, November 13th will be paid a $1.20 dividend. The ex-dividend date is Wednesday, November 13th. This represents a $4.80 dividend on an annualized basis and a yield of 1.32%. Pool’s dividend payout ratio is currently 41.31%.

Institutional Trading of Pool

Institutional investors and hedge funds have recently made changes to their positions in the company. Brooklyn Investment Group acquired a new stake in Pool in the third quarter valued at approximately $31,000. Tortoise Investment Management LLC boosted its holdings in Pool by 68.9% in the second quarter. Tortoise Investment Management LLC now owns 103 shares of the specialty retailer’s stock valued at $32,000 after purchasing an additional 42 shares during the last quarter. Crewe Advisors LLC grew its holdings in Pool by 232.4% during the second quarter. Crewe Advisors LLC now owns 113 shares of the specialty retailer’s stock worth $35,000 after acquiring an additional 79 shares during the period. UMB Bank n.a. increased its holdings in shares of Pool by 26.2% during the 2nd quarter. UMB Bank n.a. now owns 207 shares of the specialty retailer’s stock valued at $64,000 after purchasing an additional 43 shares in the last quarter. Finally, Ridgewood Investments LLC acquired a new position in shares of Pool in the second quarter worth about $74,000. 98.99% of the stock is currently owned by institutional investors.

About Pool

Pool Corporation distributes swimming pool supplies, equipment, and related leisure products in the United States and internationally. The company offers maintenance products, including chemicals, supplies, and pool accessories; repair and replacement parts for pool equipment, such as cleaners, filters, heaters, pumps, and lights; and building materials, such as concrete, plumbing and electrical components, functional and decorative pool surfaces, decking materials, tiles, hardscapes, and natural stones for pool installations and remodeling.