POOL Corp Receives Top Rating from Warren Buffett Strategy

According to a recent report, POOL Corp has achieved a remarkable 96% rating using the Patient Investor model based on Warren Buffett's strategy, indicating strong interest in the stock due to its predictable profitability and low debt levels.

Date: 14-09-2024

AI Rating: 8

POOL Corp Analysis Overview

POOL Corp (POOL) has received a substantial rating of 96% under the Patient Investor model, which reflects positive investor sentiment towards the stock. The high score is predominantly driven by the stock's underlying fundamentals and its reasonable valuation.

Key Metrics and Ratings

The analysis evaluated several important financial metrics, all of which POOL passed:

Earnings Predictability: PASS
Debt Service: PASS
Return on Equity (ROE): PASS
Return on Total Capital: PASS
Free Cash Flow (FCF): PASS
Use of Retained Earnings: PASS
Share Repurchase: PASS
Initial Rate of Return: PASS
Expected Return: PASS

Passing these criteria indicates that POOL Corp demonstrates strong financial health with predictable earnings and effective management of debt. The high ROE signifies that POOL effectively uses equity investments to generate profits.

Investor Implications

The strong fundamentals combined with a high assessment score make POOL Corp an attractive investment option, likely to bolster investor confidence and, subsequently, its stock price.

Stocks: POOL