WallStSmart

Pool Corporation (POOL)vsWatsco Inc (WSO)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Watsco Inc generates 35% more annual revenue ($7.28B vs $5.39B). POOL leads profitability with a 7.4% profit margin vs 6.5%. WSO appears more attractively valued with a PEG of 1.21. POOL earns a higher WallStSmart Score of 55/100 (C).

POOL

Buy

55

out of 100

Grade: C

Growth: 3.3Profit: 7.5Value: 4.7Quality: 6.5
Piotroski: 4/9Altman Z: 2.84

WSO

Buy

54

out of 100

Grade: C-

Growth: 2.7Profit: 6.5Value: 5.7Quality: 8.5
Piotroski: 3/9Altman Z: 4.76
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

POOLSignificantly Overvalued (-80.5%)

Margin of Safety

-80.5%

Fair Value

$150.43

Current Price

$173.04

$22.61 premium

UndervaluedFair: $150.43Overvalued

Intrinsic value data unavailable for WSO.

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

POOL2 strengths · Avg: 9.0/10
Return on EquityProfitability
35.8%10/10

Every $100 of equity generates 36 in profit

P/E RatioValuation
17.0x8/10

Attractively priced relative to earnings

WSO2 strengths · Avg: 9.5/10
Altman Z-ScoreHealth
4.7610/10

Safe zone — low bankruptcy risk

Debt/EquityHealth
0.189/10

Conservative balance sheet, low leverage

Areas to Watch

POOL4 concerns · Avg: 3.8/10
PEG RatioValuation
1.604/10

Expensive relative to growth rate

Revenue GrowthGrowth
2.2%4/10

2.2% revenue growth

EPS GrowthGrowth
0.0%4/10

0.0% earnings growth

Profit MarginProfitability
7.4%3/10

7.4% margin — thin

WSO4 concerns · Avg: 3.5/10
P/E RatioValuation
27.1x4/10

Moderate valuation

Revenue GrowthGrowth
2.1%4/10

2.1% revenue growth

Profit MarginProfitability
6.5%3/10

6.5% margin — thin

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

Comparative Analysis Report

WallStSmart Research

Bull Case : POOL

The strongest argument for POOL centers on Return on Equity, P/E Ratio.

Bull Case : WSO

The strongest argument for WSO centers on Altman Z-Score, Debt/Equity. PEG of 1.21 suggests the stock is reasonably priced for its growth.

Bear Case : POOL

The primary concerns for POOL are PEG Ratio, Revenue Growth, EPS Growth.

Bear Case : WSO

The primary concerns for WSO are P/E Ratio, Revenue Growth, Profit Margin.

Key Dynamics to Monitor

POOL carries more volatility with a beta of 1.05 — expect wider price swings.

POOL is growing revenue faster at 2.2% — sustainability is the question.

WSO generates stronger free cash flow (-11M), providing more financial flexibility.

Monitor INDUSTRIAL DISTRIBUTION industry trends, competitive dynamics, and regulatory changes.

Bottom Line

POOL scores higher overall (55/100 vs 54/100). Both earn "Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Pool Corporation

INDUSTRIALS · INDUSTRIAL DISTRIBUTION · USA

Pool Corporation is a major distributor of swimming pool supplies, equipment, and related outdoor products.

Visit Website →

Watsco Inc

INDUSTRIALS · INDUSTRIAL DISTRIBUTION · USA

Watsco, Inc. distributes air conditioning, heating and refrigeration equipment; and related parts and supplies in the United States, Canada, Mexico and Puerto Rico. The company is headquartered in Miami, Florida.

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