Hayward Holdings (HAYW) AI Stock Analysis

• Market Cap: $3.55B
• Dividend Yield: N/A
• Average Volume (3M): 2.06M
• Price to Earnings (P/E): 26.3
• Beta (1Y): 0.92
• Revenue Growth: 9.66%
• EPS Growth: 44.17%
• Country: US
• Employees: 1,934
• Sector: Industrials
• Sector Strength: 72
• Industry: Electrical Equipment & Parts
• EPS (TTM): 0.14
• Shares Outstanding: 216,863,240
• 10 Day Avg. Volume: 1,462,823
• 30 Day Avg. Volume: 2,063,881
• PEG Ratio: 0.62
• Price to Book (P/B): 2.31
• Price to Sales (P/S): 3.13
• P/FCF Ratio: 17.51
• Enterprise Value/Market Cap: 1.09
• Enterprise Value/Revenue: 3.55
• Enterprise Value/Gross Profit: 7.23
• Enterprise Value/Ebitda: 13.27
• 1Y Price Target: $17.00
• Price Target Upside: -1.28% Downside
• Rating Consensus: Hold
• Number of Analyst Covering: 4
• EPS Forecast (FY): 0.75
• Revenue Forecast (FY): $1.10B

• Rating: 73 Outperform
• Price Target: $17.00 ▼(-1.28% Downside)

Hayward Holdings' strong financial performance and positive earnings call outlook are the most significant factors driving its score. The company's robust balance sheet and effective debt reduction enhance its financial stability. While technical indicators suggest some short-term weakness, the overall outlook remains positive due to strategic initiatives and improved guidance. The valuation is moderate, with no dividend yield, which slightly tempers the overall attractiveness.

Positive Factors

Revenue Growth

The 7% increase in net sales reflects strong demand and effective pricing strategies, indicating robust market position and growth potential.

Margin Expansion

Improved gross profit margins suggest enhanced operational efficiency and cost management, supporting long-term profitability.

Financial Flexibility

Lower leverage enhances financial stability and flexibility, allowing for strategic investments and resilience against economic fluctuations.

Negative Factors

Revenue Growth Fluctuations

Inconsistent revenue growth can indicate market volatility or operational challenges, potentially impacting long-term strategic planning.

New Pool Construction Costs

High construction costs may limit market expansion and consumer adoption, affecting future sales growth in new pool installations.

Competitive Pressure

Rising competition from offshore players could pressure pricing and margins, challenging Hayward's market share and profitability.

Hayward Holdings Business Overview & Revenue Model

Company Description

Hayward Holdings, Inc. designs, manufactures, and markets a portfolio of pool equipment and associated automation systems in North America, Europe, and internationally. The company offers residential and commercial pool equipment, including pumps, filters, heaters, automatic pool cleaners, LED lighting, Internet of things enabled controls, alternate sanitizers, and water features. It sells its products through specialty distributors, retailers, and buying groups. Hayward Holdings, Inc. was founded in 1925 and is headquartered in Charlotte, North Carolina.

How the Company Makes Money

Hayward generates revenue through the sale of its extensive range of pool and spa equipment and accessories. Its core revenue streams include the direct sale of products to pool builders, retailers, and distributors. The company also benefits from a growing demand for energy-efficient and smart pool solutions, which has led to increased sales of its advanced control systems and automation products. Additionally, Hayward has established strategic partnerships with various distributors and retailers, enhancing its market reach and driving sales growth. The company may also see revenue from after-sales services and support, further contributing to its overall earnings.

Hayward Holdings Financial Statement Overview

Summary

Hayward Holdings demonstrates strong financial performance with solid profitability, a stable balance sheet, and improving cash flow generation. The company has effectively reduced its debt, enhancing financial stability. While revenue growth has been inconsistent, recent trends are positive. The company is well-positioned in its industry, with a strong capital structure and efficient operations.

Income Statement

Hayward Holdings shows a solid performance in its income statement with a TTM gross profit margin of 51.31% and a net profit margin of 12.54%, indicating strong profitability. The revenue growth rate of 1.55% in the TTM period reflects a positive trend compared to the previous year. However, the company has experienced fluctuations in revenue growth over the years, which could be a concern. Overall, the company maintains healthy EBIT and EBITDA margins, showcasing operational efficiency.

Balance Sheet

The balance sheet of Hayward Holdings is robust, with a low debt-to-equity ratio of 0.0088 in the TTM period, indicating minimal leverage and financial stability. The return on equity of 9.37% is decent, reflecting effective utilization of equity. The equity ratio is strong, suggesting a solid capital structure. The company has significantly reduced its debt over the years, enhancing its financial health.

Cash Flow

The cash flow statement shows a positive trajectory with a TTM free cash flow growth rate of 17.10%, indicating improved cash generation capabilities. The operating cash flow to net income ratio of 0.84 suggests good cash conversion from earnings. However, the free cash flow to net income ratio of 0.88 indicates that not all earnings are being converted into free cash flow, which could be an area for improvement.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.09B	1.05B	992.45M	1.31B	1.40B	875.40M
Gross Profit	536.11M	501.96M	446.59M	564.91M	623.13M	359.10M
EBITDA	292.14M	278.89M	243.37M	343.07M	362.21M	188.10M
Net Income	137.89M	118.66M	80.69M	179.35M	203.72M	43.30M
Balance Sheet
Total Assets	3.04B	2.99B	2.95B	2.88B	2.98B	2.61B
Cash, Cash Equivalents and Short-Term Investments	448.33M	196.59M	203.10M	56.18M	265.80M	114.86M
Total Debt	13.41M	975.39M	1.16B	1.11B	992.83M	1.30B
Total Liabilities	1.51B	1.57B	1.63B	1.65B	1.61B	1.80B
Stockholders Equity	1.52B	1.42B	1.31B	1.22B	1.37B	803.76M
Cash Flow
Free Cash Flow	191.71M	187.78M	153.55M	86.32M	162.25M	198.20M
Operating Cash Flow	219.28M	212.07M	184.54M	115.94M	189.39M	213.80M
Investing Cash Flow	-41.30M	-54.13M	-55.38M	-92.57M	-48.78M	-13.00M
Financing Cash Flow	-21.86M	-136.79M	-7.61M	-229.24M	10.96M	-135.10M

Hayward Holdings Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 17.22
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HAYW, the sentiment is Positive. The current price of 17.22 is above the 20-day moving average (MA) of 15.91, above the 50-day MA of 15.64, and above the 200-day MA of 14.69, indicating a bullish trend. The MACD of 0.15 indicates Negative momentum. The RSI at 58.44 is Neutral, neither overbought nor oversold. The STOCH value of 77.44 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HAYW.

Hayward Holdings Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ENS	81 Outperform	$5.26B	16.66	18.22%	0.77%	6.17%	20.86%
HAYW	73 Outperform	$3.55B	26.35	9.52%	―	9.66%	44.17%
POWL	68 Neutral	$3.86B	21.51	32.17%	0.33%	9.08%	19.86%
PLPC	67 Neutral	$1.00B	27.07	8.33%	0.38%	15.93%	12.72%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
ATKR	48 Neutral	$2.21B	―	-1.11%	1.95%	-10.98%	-103.99%
EOSE	41 Neutral	$3.92B	―	―	―	324.10%	-214.91%

Hayward Holdings Corporate Events

Hayward Holdings Faces AI-Driven Challenges: Risks to Reputation and Compliance

Hayward Holdings, Inc. faces significant risks associated with its use of artificial intelligence technologies, which may not always enhance business operations or profitability. Potential issues include the incorrect design or implementation of AI systems, reliance on biased data, insufficient oversight, and unforeseen technical challenges, all of which could harm the company’s reputation and performance. Additionally, the use of AI may inadvertently compromise sensitive information or intellectual property, while rapidly evolving regulations add further uncertainty. These factors collectively pose substantial business, compliance, and reputational risks for Hayward Holdings, Inc.

Hayward Holdings Reports Strong Q3 2025 Results

Hayward Holdings, Inc. is a global leader in designing and manufacturing pool and outdoor living technology, offering a range of energy-efficient and sustainable equipment solutions for both residential and commercial use. The company is known for its innovative SmartPad™ technology that connects pool equipment digitally.

Hayward Holdings Reports Strong Q3 Earnings and Guidance

Hayward Holdings, Inc. recently held its earnings call, presenting a generally positive outlook for the company. The call highlighted strong revenue and EBITDA growth, successful margin expansion, and an increase in full-year guidance. The company has shown robust execution in technology adoption and tariff mitigation, although it faces challenges related to weather event comparisons, new pool construction costs, and increased competition. Despite these hurdles, the positive aspects of the company’s performance significantly outweigh the negatives.