Pool Corporation

Methodology

Pool Corporation's distribution of swimming pool supplies creates relatively stable earnings from maintenance and remodeling demand, though new pool construction adds cyclicality. The calculation works reasonably well when normalizing for housing cycle impacts and focusing on recurring replacement and service demand rather than new construction exposure.

Methodology

Pool Corp typically trades at premium PEG ratios reflecting market leadership in pool distribution, recurring maintenance demand, and limited competition in a fragmented industry. While growth appears modest, the defensive characteristics and market position justify valuations. Compare to Pool Corp's historical range and other specialty distributors.

Methodology

Pool Corp offers a modest dividend with management prioritizing acquisitions and network expansion alongside shareholder returns. The small dividend adds some value though capital appreciation from market consolidation matters more. For this specialty distributor, consistent execution and acquisition strategy matter more than current yield.