POOLPool Corporation
Is the business good?
The checks split: nothing decisive, though margins compressing.
Mixed fundamental signals. Nine pass/fail tests of year-over-year health from the filings.
Operating profit is mostly backed by cash. Conversion is worsening vs a year ago.
Operating profit is falling even as sales grow, costs are outrunning the top line.
A balanced mix of margins, efficiency, and leverage. ROE 33% = margin × turnover × leverage.
Unless marked, from derived.
Against the whole market›
Percentile against every name Ryufin tracks. Higher is better; the tick marks the middle of the market. Context, not one of the checks above.
Where this answer is blind. The F-score rewards improvement, so an already-elite company can score mid-pack.
How good a business is POOL?
Pool Corporation earns 20% on the capital it employs against a 9.0% cost of capital, so the business is worth more the bigger it gets.
Return on invested capital · cost of capital 9.0% · 11 points above what the capital costs: growth creates value
- Operating margin
- 11%
Operating margin · Industrial Distribution median 8.3% · 12 months to Q1 2026
- Cash conversion
- 0.82×
Cash conversion · 1.22× a year ago · most of the operating profit arrived as cash, working capital took the rest
- Share count, year on year
- −3.2%
Share count, year on year · bought back, each share owns more of the company
| Year | Operating margin |
|---|---|
| FY2020 | 12% |
| FY2021 | 16% |
| FY2022 | 17% |
| FY2023 | 13% |
| FY2024 | 12% |
| FY2025 | 11% |
Details›
- Gross margin12 months to Q1 2026
- 30%
- Operating margin12 months to Q1 2026
- 11%
- Net margin12 months to Q1 2026
- 7.6%
- Free cash flow margin
- 5.8%
- Revenue, trailing twelve months
- $5.36B
- Free cash flow, trailing twelve months
- $313M
- Net income, trailing twelve months
- $406M
- Return on invested capitaloperating profit after tax ÷ debt + equity − cash
- 20%
Margins, capital and share counts from the statements as filed with the SEC; cash conversion is operating cash flow over operating profit after tax.
Industrial Distribution
The closest names by size in the same industry