Latham Group Drops 24.66% as Wynnchurch Capital Sells Stake

On March 24, 2025, Latham Group's stock price was $12.54 in pre-market trading, reflecting a notable shift in investor sentiment towards the company.

Wynnchurch Capital Partners IV, L.P. recently reduced its stake in Latham Group Inc, selling 3,932,818 shares at $6.54 per share. This transaction resulted in a -24.66% change in the firm's position, leaving it with 11,050,953 shares, which now represents 9.54% of the firm's portfolio. This move indicates a strategic adjustment in the firm's investment approach, possibly influenced by market conditions or company performance.

Latham Group Inc, a prominent designer, manufacturer, and marketer of in-ground residential swimming pools, liners, and covers, operates primarily in North America, Australia, and New Zealand. The company's financial metrics reveal a complex picture, with a PE Percentage of 0.00, indicating it is currently operating at a loss. Despite these challenges, the company has shown impressive EBITDA growth of 165.70% over the past three years, alongside earnings growth of 35.50%.

The company's financial health is further illustrated by its Cash to Debt Ratio of 0.18, indicating limited liquidity relative to debt obligations. The company's Altman Z score is 1.83, suggesting potential financial distress. The Piotroski F-Score is 3, reflecting weak financial strength. Despite these challenges, the company's Growth Rank is 8/10, indicating strong growth potential.