Pool Co. (NASDAQ:POOL) Short Interest Up 33.8% in May

Pool Co. (NASDAQ:POOL) was the target of a large growth in short interest in May. As of May 15th, there was short interest totalling 3,640,000 shares, a growth of 33.8% from the April 30th total of 2,720,000 shares. Approximately 10.0% of the shares of the stock are sold short. Based on an average daily volume of 500,300 shares, the days-to-cover ratio is currently 7.3 days.

Pool Price Performance

Shares of POOL stock traded up $4.86 during trading hours on Tuesday, hitting $304.86. The company’s stock had a trading volume of 267,420 shares, compared to its average volume of 403,382. The company has a current ratio of 2.05, a quick ratio of 0.77 and a debt-to-equity ratio of 0.71. Pool has a twelve month low of $284.28 and a twelve month high of $395.60. The business has a fifty day moving average of $305.82 and a 200-day moving average of $333.43. The stock has a market cap of $11.46 billion, a price-to-earnings ratio of 27.03, a P/E/G ratio of 2.03 and a beta of 1.20.

Pool (NASDAQ:POOL) last released its earnings results on Thursday, April 24th. The specialty retailer reported $1.32 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $1.42 by ($0.10). The firm had revenue of $1.07 billion during the quarter, compared to analysts’ expectations of $1.10 billion. Pool had a net margin of 8.18% and a return on equity of 31.11%. Pool’s revenue for the quarter was down 4.4% on a year-over-year basis. During the same quarter last year, the company posted $1.85 earnings per share. As a group, equities research analysts anticipate that Pool will post 11.32 EPS for the current year.

Pool announced that its Board of Directors has initiated a share buyback program on Wednesday, April 30th that permits the company to buyback $600.00 million in shares. This buyback authorization permits the specialty retailer to buy up to 5.4% of its stock through open market purchases. Stock buyback programs are generally a sign that the company’s board believes its shares are undervalued.

Pool Increases Dividend

The business also recently announced a quarterly dividend, which was paid on Thursday, May 29th. Investors of record on Thursday, May 15th were issued a $1.25 dividend. This represents a $5.00 dividend on an annualized basis and a yield of 1.64%. This is an increase from Pool’s previous quarterly dividend of $1.20. The ex-dividend date of this dividend was Thursday, May 15th. Pool’s payout ratio is presently 46.90%.

Analyst Upgrades and Downgrades

POOL has been the subject of a number of analyst reports. Deutsche Bank Aktiengesellschaft started coverage on Pool in a research report on Tuesday, April 1st. They set a “hold” rating and a $344.00 price objective for the company. Stifel Nicolaus set a $300.00 price target on shares of Pool in a report on Friday, April 25th. Robert W. Baird dropped their price objective on Pool from $325.00 to $310.00 and set a “neutral” rating on the stock in a report on Friday, April 25th. Wells Fargo & Company set a $300.00 target price on Pool in a report on Friday, April 25th. Finally, Wall Street Zen lowered shares of Pool from a “hold” rating to a “sell” rating in a research report on Friday, February 28th. Two investment analysts have rated the stock with a sell rating, five have assigned a hold rating and three have assigned a buy rating to the company’s stock. According to data from MarketBeat.com, the company has an average rating of “Hold” and an average target price of $336.22.

Insiders Place Their Bets

In other Pool news, SVP Jennifer M. Neil sold 1,223 shares of the company’s stock in a transaction on Monday, March 31st. The stock was sold at an average price of $315.00, for a total transaction of $385,245.00. Following the transaction, the senior vice president now directly owns 9,667 shares in the company, valued at $3,045,105. This represents a 11.23% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. Corporate insiders own 3.00% of the company’s stock.

Institutional Investors Weigh In On Pool

Several institutional investors and hedge funds have recently modified their holdings of the stock. Vanguard Group Inc. raised its position in shares of Pool by 0.3% in the 1st quarter. Vanguard Group Inc. now owns 4,456,246 shares of the specialty retailer’s stock valued at $1,418,646,000 after purchasing an additional 12,795 shares in the last quarter. Kayne Anderson Rudnick Investment Management LLC raised its holdings in shares of Pool by 2.3% during the first quarter. Kayne Anderson Rudnick Investment Management LLC now owns 2,250,422 shares of the specialty retailer’s stock worth $716,422,000 after purchasing an additional 50,566 shares during the period. JPMorgan Chase & Co. boosted its holdings in shares of Pool by 3.6% in the 1st quarter. JPMorgan Chase & Co. now owns 1,284,918 shares of the specialty retailer’s stock valued at $409,054,000 after buying an additional 44,897 shares during the period. Wellington Management Group LLP grew its position in shares of Pool by 1.1% during the 1st quarter. Wellington Management Group LLP now owns 1,054,066 shares of the specialty retailer’s stock valued at $335,562,000 after buying an additional 11,552 shares during the last quarter. Finally, Geode Capital Management LLC raised its stake in Pool by 1.4% during the fourth quarter. Geode Capital Management LLC now owns 977,862 shares of the specialty retailer’s stock worth $332,566,000 after acquiring an additional 13,519 shares during the period. Hedge funds and other institutional investors own 98.99% of the company’s stock.

Pool Company Profile

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.