Hayward (NYSE:HAYW) Announces Earnings Results

Key Points

• Hayward beat Q1 expectations with EPS of $0.13 versus $0.11 est. and revenue of about $255M (up ~12% YoY), and raised FY2026 guidance to $0.84–$0.87 EPS with roughly 5% net sales growth expected.
• Management warned of near‑term margin pressure from higher specialty metals, freight and resin costs and geopolitical/tariff effects, implementing targeted price increases and a ~2.5% surcharge but expecting some Q2 gross‑margin compression before mitigation.
• Balance sheet and cash flow improved (net leverage down to 2.4x), with management forecasting roughly $200M free cash flow and continued flexibility for ~$40M CapEx, M&A and buybacks.

Hayward (NYSE:HAYW - Get Free Report) announced its earnings results on Wednesday. The company reported $0.13 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $0.11 by $0.02, FiscalAI reports. Hayward had a net margin of 13.51% and a return on equity of 11.27%. The firm had revenue of $255.22 million for the quarter, compared to analyst estimates of $239.40 million. During the same quarter in the prior year, the business posted $0.10 EPS. The business's revenue was up 11.5% compared to the same quarter last year. Hayward updated its FY 2026 guidance to 0.840-0.870 EPS.

Here are the key takeaways from Hayward's conference call:

• Hayward delivered an outstanding Q1 with net sales up 12% to $255M, adjusted EBITDA +15% and adjusted diluted EPS +30% (to $0.13), while gross margin and adjusted EBITDA margin expanded year-over-year.
• The company raised 2026 guidance, now expecting ~5% net sales growth and adjusted diluted EPS up ~9%–13% to a range of $0.84–$0.87, citing Q1 outperformance and SG&A leverage.
• Near‑term margin pressure is possible from higher specialty metals, freight and resin costs and geopolitical/tariff effects; management has implemented targeted price increases and a ~2.5% surcharge but expects some Q2 gross‑margin compression before mitigation takes hold.
• Balance sheet progress: net leverage improved to 2.4x from 2.8x year‑over‑year, Q1 included seasonal cash use tied to the early‑buy program, and the firm expects roughly $200M free cash flow with continued flexibility for CapEx (~$40M), M&A, and buybacks.
• Underlying growth drivers remain intact—about 85% aftermarket exposure, product innovation (e.g., OmniX), commercial execution and targeted regional share gains supported positive volume and strength in discretionary categories.

Hayward Price Performance

HAYW traded down $0.89 during trading on Wednesday, hitting $14.92. 3,318,399 shares of the stock traded hands, compared to its average volume of 2,032,282. The business has a 50 day moving average price of $14.69 and a 200 day moving average price of $15.58. The company has a debt-to-equity ratio of 0.59, a current ratio of 2.94 and a quick ratio of 2.29. Hayward has a twelve month low of $12.94 and a twelve month high of $17.73. The company has a market cap of $3.25 billion, a price-to-earnings ratio of 21.93, a PEG ratio of 1.62 and a beta of 1.18.

Wall Street Analyst Weigh In

Several equities research analysts recently issued reports on HAYW shares. Stifel Nicolaus reissued a "buy" rating and set a $19.50 price target (up from $19.00) on shares of Hayward in a research report on Thursday, February 26th. Weiss Ratings cut Hayward from a "buy (b-)" rating to a "hold (c+)" rating in a report on Wednesday, April 8th. Bank of America reduced their target price on Hayward from $19.00 to $18.00 and set a "buy" rating on the stock in a report on Monday, April 20th. Jefferies Financial Group restated a "hold" rating and issued a $15.00 price target (down from $16.00) on shares of Hayward in a research report on Tuesday, March 31st. Finally, Zacks Research downgraded Hayward from a "strong-buy" rating to a "hold" rating in a research note on Monday. Two investment analysts have rated the stock with a Buy rating and three have issued a Hold rating to the company. According to MarketBeat, Hayward has a consensus rating of "Hold" and a consensus price target of $17.50.

Insiders Place Their Bets

In related news, CFO Eifion Jones sold 15,000 shares of the company's stock in a transaction on Monday, March 9th. The stock was sold at an average price of $14.57, for a total transaction of $218,550.00. Following the completion of the sale, the chief financial officer directly owned 316,100 shares in the company, valued at $4,605,577. This represents a 4.53% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through this link. Also, CEO Kevin Holleran sold 52,389 shares of the firm's stock in a transaction dated Wednesday, April 1st. The shares were sold at an average price of $13.42, for a total value of $703,060.38. Following the completion of the sale, the chief executive officer directly owned 701,234 shares in the company, valued at $9,410,560.28. This trade represents a 6.95% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last ninety days, insiders sold 172,167 shares of company stock worth $2,586,533. Company insiders own 4.73% of the company's stock.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently made changes to their positions in the stock. JPMorgan Chase & Co. grew its holdings in shares of Hayward by 2.0% during the 4th quarter. JPMorgan Chase & Co. now owns 11,911,977 shares of the company's stock valued at $184,040,000 after purchasing an additional 228,397 shares during the last quarter. Wellington Management Group LLP lifted its stake in Hayward by 9.1% in the 3rd quarter. Wellington Management Group LLP now owns 7,546,816 shares of the company's stock valued at $114,108,000 after purchasing an additional 627,866 shares during the last quarter. Dimensional Fund Advisors LP boosted its position in Hayward by 5.0% in the fourth quarter. Dimensional Fund Advisors LP now owns 6,692,591 shares of the company's stock valued at $103,406,000 after buying an additional 321,214 shares in the last quarter. State Street Corp grew its stake in shares of Hayward by 7.7% during the fourth quarter. State Street Corp now owns 6,045,822 shares of the company's stock worth $93,408,000 after buying an additional 430,238 shares during the last quarter. Finally, Morgan Stanley increased its holdings in shares of Hayward by 0.5% during the fourth quarter. Morgan Stanley now owns 5,149,647 shares of the company's stock worth $79,562,000 after buying an additional 25,470 shares in the last quarter.

About Hayward

Hayward Holdings, Inc is a leading manufacturer and marketer of residential and commercial swimming pool equipment and related outdoor living products. The company designs, engineers and produces a comprehensive range of products that address water circulation, filtration, heating, sanitation, automation, lighting and cleaning needs for pools and spas. Hayward's offerings include pumps, filters, heaters, salt and chemical sanitization systems, automation controls, lights, robotic cleaners and various accessories that serve both new pool construction and aftermarket renovation markets.

Hayward's product portfolio is organized into several core categories.

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