Pool (NASDAQ:POOL) Stock Rating Upgraded by Wall Street Zen

Key Points

• Pool Corp has been upgraded from a "sell" to a "hold" rating by Wall Street Zen, indicating a more neutral outlook on the stock.
• Several research analysts have set varying price targets for Pool's stock, with an average target of $348.25 and a consensus rating of "Hold."
• The company recently reported earnings of $5.17 EPS for the last quarter, surpassing analysts' expectations, while announcing a $600 million share repurchase plan to buy back outstanding shares.

Wall Street Zen upgraded shares of Pool (NASDAQ:POOL - Free Report) from a sell rating to a hold rating in a report published on Saturday morning.

POOL has been the subject of a number of other reports. Stephens decreased their price target on Pool from $400.00 to $350.00 and set an "overweight" rating for the company in a report on Monday, April 28th. Oppenheimer reduced their target price on Pool from $370.00 to $322.00 and set an "outperform" rating for the company in a research note on Monday, April 28th. Wells Fargo & Company raised their target price on Pool from $300.00 to $320.00 and gave the company an "equal weight" rating in a research note on Tuesday, July 8th. Deutsche Bank Aktiengesellschaft began coverage on Pool in a research note on Tuesday, April 1st. They issued a "hold" rating and a $344.00 target price for the company. Finally, Robert W. Baird raised their target price on Pool from $310.00 to $340.00 and gave the company a "neutral" rating in a research note on Friday. Six equities research analysts have rated the stock with a hold rating and two have issued a buy rating to the company. Based on data from MarketBeat, the company currently has a consensus rating of "Hold" and an average price target of $338.71.

Pool Trading Down 1.0%

Pool stock traded down $3.39 during trading hours on Friday, reaching $321.51. 287,484 shares of the company's stock were exchanged, compared to its average volume of 526,289. The company has a quick ratio of 0.87, a current ratio of 2.52 and a debt-to-equity ratio of 0.93. The firm's 50 day simple moving average is $301.28 and its 200 day simple moving average is $317.77. Pool has a twelve month low of $282.22 and a twelve month high of $395.60. The firm has a market capitalization of $12.09 billion, a PE ratio of 29.69, a PEG ratio of 4.53 and a beta of 1.10.

Pool (NASDAQ:POOL - Get Free Report) last issued its quarterly earnings results on Thursday, July 24th. The specialty retailer reported $5.17 earnings per share for the quarter, topping analysts' consensus estimates of $5.12 by $0.05. Pool had a return on equity of 30.99% and a net margin of 7.79%. The firm had revenue of $1.78 billion during the quarter, compared to the consensus estimate of $1.79 billion. During the same period last year, the business posted $4.99 EPS. The business's revenue was up .9% compared to the same quarter last year. Research analysts predict that Pool will post 11.32 earnings per share for the current year.

Pool Increases Dividend

The business also recently declared a quarterly dividend, which was paid on Thursday, May 29th. Shareholders of record on Thursday, May 15th were paid a dividend of $1.25 per share. The ex-dividend date of this dividend was Thursday, May 15th. This represents a $5.00 dividend on an annualized basis and a yield of 1.56%. This is an increase from Pool's previous quarterly dividend of $1.20. Pool's payout ratio is 46.13%.

Pool declared that its board has initiated a share repurchase plan on Wednesday, April 30th that authorizes the company to buyback $600.00 million in shares. This buyback authorization authorizes the specialty retailer to buy up to 5.4% of its stock through open market purchases. Stock buyback plans are generally a sign that the company's board believes its shares are undervalued.

Hedge Funds Weigh In On Pool

A number of hedge funds have recently added to or reduced their stakes in the stock. LPL Financial LLC lifted its position in shares of Pool by 7.8% during the 4th quarter. LPL Financial LLC now owns 41,596 shares of the specialty retailer's stock worth $14,182,000 after buying an additional 3,010 shares in the last quarter. Korea Investment CORP lifted its position in shares of Pool by 116.0% during the 4th quarter. Korea Investment CORP now owns 17,500 shares of the specialty retailer's stock worth $5,966,000 after buying an additional 9,397 shares in the last quarter. Mitsubishi UFJ Asset Management Co. Ltd. lifted its position in shares of Pool by 5.2% during the 4th quarter. Mitsubishi UFJ Asset Management Co. Ltd. now owns 60,334 shares of the specialty retailer's stock worth $20,349,000 after buying an additional 2,997 shares in the last quarter. WINTON GROUP Ltd lifted its position in shares of Pool by 14.9% during the 4th quarter. WINTON GROUP Ltd now owns 2,149 shares of the specialty retailer's stock worth $733,000 after buying an additional 278 shares in the last quarter. Finally, UniSuper Management Pty Ltd lifted its position in shares of Pool by 19.6% during the 4th quarter. UniSuper Management Pty Ltd now owns 5,767 shares of the specialty retailer's stock worth $1,966,000 after buying an additional 947 shares in the last quarter. Institutional investors and hedge funds own 98.99% of the company's stock.

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.