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POOL · Analysis updated Nov 10, 2026, 6:00 PM ET
Why is Pool Corporation (POOL) stock moving?
Pool reported a steady Q3 on Oct 22: net sales rose 4% to $1.5B on 3% price growth, but gross margin fell 60 bps to 29.0%, operating income dropped 3%, and EPS was flat at $3.40. Management confirmed (did not raise) the $10.66-$10.96 annual EPS guidance and reported $419.8M of operating cash flow through nine months, with $158.7M returned to shareholders in Q3. The stock opened near $174 on Oct 22 and then climbed to about $218 by Nov 10, with its high of $221.50 on Nov 4 and a $1.30 quarterly dividend going ex around Nov 11. Volume has eased from the Oct 22 peak of 2.2M shares to roughly 0.4-0.8M per day, so the rally is not showing rising participation. The governance change is routine and the investor conference signals engagement, but neither is a major fundamental catalyst. Near-term direction depends on whether the rally holds against margin pressure and the off-season quarter ahead.
News behind the analysis
- Pool Corporation Announces Upcoming Investor Conference ParticipationPool Corporation announced it will take part in two investor conferences in November 2026.
- Pool Corporation Declares Quarterly Cash DividendThe board declared a $1.30 per share quarterly dividend, payable Nov 25, 2026 to holders of record on Nov 11, 2026.
- Pool Corporation Reports Third Quarter Results; Confirms Annual Earnings Guidance RangeQ3 net sales rose 4% to $1.5B and diluted EPS was $3.40, flat year over year. Operating income fell 3% to $172.2M, and the $10.66-$10.96 diluted EPS guidance was confirmed.
- Pool Corporation 8-K: Board Governance Update (John E. Stokely)Stokely was re-elected lead independent director after the board found him independent, ending his interim Executive Chair role while he remains Board Chair. David G. Whalen moved to Nominating and Corporate Governance Committee Chair.
About Pool Corporation
Pool Corporation (POOLCORP), based in Covington, Louisiana, is the world's largest wholesale distributor of swimming pool supplies, equipment and related outdoor-living products, selling mainly to pool builders, service and repair companies, and retail pool stores. It stands out for its scale: a network of more than 400 sales centers, its own brands, and a large customer base of small contractors gives it purchasing and logistics advantages over smaller regional distributors.
How it makes money
It buys products from manufacturers and resells them to trade customers at a gross margin of roughly 29% to 30%. Most sales come from recurring maintenance and repair products such as pool chemicals, replacement pumps, filters and heaters, which customers need every year whether or not new pools are built. Building materials (around 11% of recent quarterly sales), new-pool construction products, and irrigation and landscape supplies make up the rest. Annual net sales are approximately $5.3 billion, and most of the year's revenue comes in the spring and summer peak season.
What usually moves POOL
- Pool maintenance and replacement demand
- New pool construction and housing market
- Weather and the length of the swim season
- Pricing and freight costs affecting gross margin
- Share buybacks, dividends and leadership changes