POOLNEUTRAL

Return on Equity (ROE)

34.2%

Higher than 81% of Industrials sector peers

Updated 32h ago

Sector Performance

81th percentile

POOL

34.2%

Sector Median

12.6%

Sector Avg

-23.5%

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Deep Analysis

Return on Equity (ROE) measures how effectively a company generates profit from every dollar of shareholders’ equity — a 34.2% ROE means Pool Corporation produced $0.342 in net income for each dollar of equity.

That figure is well above the Industrials sector median of 12.6%, placing the company in the 81st percentile among its peers. However, the trend data is marked N/A, with no year-over-year or quarter-over-quarter change provided, so no direction can be inferred from recent period comparisons. The combination of a very high current ROE and an absent trend implies that while the company’s profitability efficiency is strong, the lack of historical context adds uncertainty about whether this level is sustainable or improving. This mixed picture supports the overall NEUTRAL verdict: the metric signals a clear advantage over peers, but the missing trend prevents a clear bullish or bearish conclusion.

Frequently Asked Questions

What does the Return on Equity (ROE) tell investors about POOL?

ROE measures how effectively management turns equity into profit. Consistently above 15% is typically considered strong. Negative equity distorts this metric.

How is the Return on Equity (ROE) calculated?

Return on Equity (ROE) is calculated as: Net Income / Shareholders' Equity.

How does POOL's Return on Equity (ROE) compare to its sector?

POOL's Return on Equity (ROE) of 34.2% compares to a Industrials sector median of 12.6%, placing it in the 81th percentile.

Who are POOL's closest peers by Return on Equity (ROE)?

The closest Industrials peers by Return on Equity (ROE) include: PWR (13.5%), RTX (11.6%), AME (13.9%), SAIA (10.2%), CARR (9.9%).

The Formula

Net Income / Shareholders' Equity

Why It Matters

ROE measures how effectively management turns equity into profit. Consistently above 15% is typically considered strong. Negative equity distorts this metric.