EPS beat consensus by only 1.2% with operating income declining and guidance unchanged — the stock may trade sideways as the market digests flat earnings growth and margin compression. Watch for any macro headwinds in pool construction spending and whether the Q4 seasonal slowdown accelerates.
Price Chart
Executive Summary
POOLCORP reported Q3 2026 results with net sales up 4% to $1.5B, but operating income declined 3% to $172.2M and net income fell 3% to $123.0M. Diluted EPS was flat at $3.40, a 1.2% beat vs consensus of $3.36. The company confirmed its full-year adjusted diluted EPS guidance range of $10.87-$11.17, unchanged from prior guidance. The combination of declining operating income and flat EPS with no guidance raise signals a mature-cycle slowdown in the pool distribution business.
Key Financial Metrics
Key Facts
- Q3 2026 net sales increased 4% to $1.5B from $1.45B YoY
- Operating income decreased 3% to $172.2M from $178.0M YoY
- Net income decreased 3% to $123.0M from $127.0M YoY
- Diluted EPS flat at $3.40, beating consensus of $3.36 by 1.2%
- Gross margin contracted 60 bps to 29.0% from 29.6% YoY
- Confirmed full-year adjusted diluted EPS guidance of $10.87-$11.17, unchanged
- Operating cash flow for 9 months increased 47% to $419.8M
- Quarterly dividend increased 4% to $1.30 per share
- Inventory decreased 3% YoY while sales grew 4%
Financial Impact
Operating income down $5.8M (-3%), net income down $4.0M (-3%), EPS flat at $3.40 vs $3.40 YoY
Risk Factors
- Gross margin compression of 60 bps driven by higher inbound freight costs and customer mix
- Operating expense growth of 5% outpacing sales growth of 4%, pressuring margins
- Flat EPS with no guidance raise suggests limited near-term catalysts
- CEO transition costs of $8.3M in 9-month period add noise to earnings comparisons
Investment Themes
Documents Analyzed
This report is based on 6 SEC documents filed with EDGAR.
| Document | Accession Number |
|---|---|
| 8-K Filing (Primary) | 0001193125-26-428428 |
| Document: pool-20261022.htm | 0001193125-26-428428 |
| Document: 0001193125-26-428428-index-headers.html | 0001193125-26-428428 |
| Document: 0001193125-26-428428-index.html | 0001193125-26-428428 |
| Document: 0001193125-26-428428.txt | 0001193125-26-428428 |
| 8-K Data (Synthetic) | 0001193125-26-428428 |
Filters
| Type | Now | ||||
|---|---|---|---|---|---|
Oct 23, 2026 4d ago | Institutional Cluster | $199.08 $195.23 | ▲ +1.93% | ▲ +2.64% | $194.90 (+2.10%) |
Oct 22, 2026 5d ago | 8-K | $197.21 $199.08 | ▲ +0.95% | ▲ +1.47% | $194.90 (−1.17%) |
Oct 22, 2026 5d ago | Press Release | $197.21 $199.08 | ▲ +0.95% | ▲ +1.47% | $194.90 (−1.17%) |
Oct 9, 2026 18d ago | 8-K | $158.71 $160.60 | ▲ +1.19% | ▲ +1.20% | $194.90 (+22.80%) |
Sep 10, 2026 6w ago | Institutional Cluster | $175.76 $173.04 | ▼ −1.55% | ▼ −2.40% | $194.90 (+10.89%) |
May 7, 2026 24w ago | Insider Cluster | $190.33 $187.52 | ▼ −1.48% | ▼ −2.31% | $194.90 (+2.40%) |
May 4, 2026 25w ago | 8-K | $186.76 $187.88 | ▲ +0.60% | ▼ −0.79% | $194.90 (+4.36%) |
Apr 23, 2026 26w ago | 8-K | $227.69 $231.51 | ▲ +1.68% | ▲ +0.89% | $194.90 (−14.40%) |
Apr 23, 2026 26w ago | Press Release | $227.69 $231.51 | ▲ +1.68% | ▲ +0.89% | $194.90 (−14.40%) |
Feb 25, 2026 34w ago | 8-K | $222.44 $226.37 | ▲ +1.77% | ▲ +2.22% | $194.90 (−12.38%) |
US Market Status
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