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Pool Corporation

POOL
NASDAQ
$206.24

Does Pool have pricing power in its industry?

Pool Corporation scores an above-average 66 out of 100 for pricing power, indicating a significant ability to influence prices without significantly impacting demand or volume. This strength is particularly notable for a distributor and likely stems from POOL's dominant market position as the largest wholesaler in its specialized niche.

Its extensive network and purchasing volume provide leverage with suppliers, allowing for favorable procurement costs. Critically, the demand for pool maintenance and repair supplies is often non-discretionary once a pool is installed, giving POOL the ability to pass on cost increases to its customers, who are largely pool service professionals.

The company's robust TTM Gross Margin of 29.6% and TTM Operating Margin of 12.0% attest to this capability, outperforming typical distributor margins.

The rapid 5-year Revenue CAGR of 50.8% and 3-year Revenue CAGR of 55.3% further demonstrate that this pricing ability has not hindered sales growth, but rather contributed to strong top-line expansion and profitability.