POOLCORP is experiencing a significant slowdown in pool demand this summer, prompting a reduction in its full-year guidance. On June 24, 2024, the company forecasted a decline in new construction pool activity by 15% to 20% and remodel activity by as much as 15%. Year-to-date sales are down approximately 6.5% compared to the previous year.
As a result of the downturn, POOLCORP has adjusted its earnings guidance from $13.19-$14.19 to a new range of $11.04-$11.44. The consensus estimate is now at $11.10, marking a 16.9% decline from 2023’s earnings of $13.35 per share. Shares have fallen 23.7% year-to-date, currently trading at 27 times forward earnings. The company is set to report its second-quarter results on July 25, 2024.
