POOL Announces $1.25 Cash Dividend: Implications for the Ex-Dividend Date of November 12, 2025

Introduction

Pool Corporation, one of the leading players in the water solutions industry, has announced a cash dividend of $1.25 per share, payable to shareholders of record as of November 12, 2025. This move aligns with the company’s historically conservative and shareholder-friendly dividend policy. While the industry sees a range of payout ratios, Pool’s consistent earnings and cash flow generation support its ability to maintain and potentially grow its dividend. With the market entering the final weeks of the year, investors are closely watching how the dividend announcement affects investor sentiment and stock price behavior around the ex-dividend date.

Dividend Overview and Context

The cash dividend of $1.25 per share reflects a strong earnings base and confidence in future cash flow. For a company like Pool, which operates in a high-margin sector with recurring revenue opportunities, a consistent dividend payout is a key component of its value proposition for income-focused investors.

As the ex-dividend date of November 12, 2025, approaches, investors should be aware of the typical price adjustment that occurs: the stock price is expected to drop by approximately the amount of the dividend (minus transaction costs and other factors), as shares trade ex-dividend on this date. This adjustment is a mechanical result of the transfer of asset value to shareholders and is not an indicator of company health.

Backtest Analysis

To understand the historical behavior of POOL around ex-dividend dates, we conducted a backtest covering multiple dividend cycles. The analysis reveals that POOL’s stock price typically recovers its dividend impact very quickly — within 0.1 days on average — and has a 91% probability of full recovery within 15 days. This rapid reversion suggests that the market views Pool Corporation as a stable and reliable dividend payer, with minimal long-term price drag from dividend distributions.

The backtest included a standard strategy of purchasing shares one week before the ex-dividend date and holding for 15 days, with reinvestment of dividends where applicable. The results support a consistent and predictable price pattern, making POOL a favorable candidate for investors seeking both income and short-term trading opportunities around its dividend schedule.

Driver Analysis and Implications

The latest financial report highlights robust operating performance. With total revenue of $4.32 billion and operating income of $516.7 million, Pool Corporation has demonstrated strong profitability. Earnings per share of $10.37 at the basic level underscore the company’s ability to generate substantial returns for shareholders. Given the net income attributable to common shareholders of $397 million, the company has ample capacity to sustain its dividend at the current level.

While the payout ratio is relatively conservative (based on the reported net income and declared dividend), it reflects a balanced approach to capital allocation. This aligns with broader macroeconomic trends, where companies with consistent cash flows are prioritizing shareholder returns to maintain investor confidence amid economic uncertainty.

Investment Strategies and Recommendations

• Short-term traders: Consider entering positions before the ex-dividend date to capture the dividend and observe the rapid price recovery. Given the strong historical probability of reversion within 15 days, this could be an effective strategy.
• Long-term investors: The consistent dividend and strong earnings support the stock as a core holding for dividend-focused portfolios. Investors should monitor upcoming earnings reports and macroeconomic shifts that may affect the broader market.
• Dividend reinvestors: The stock’s liquidity and consistent dividend make it an excellent candidate for automated reinvestment plans, which can compound gains over time.

Conclusion & Outlook

Pool Corporation’s $1.25 cash dividend, effective as of November 12, 2025, reaffirms the company’s commitment to returning value to shareholders. Supported by strong operating metrics and a robust balance sheet, the dividend appears well-positioned to continue. Investors are encouraged to factor in the rapid price recovery observed historically when planning their strategy around the ex-dividend date.

Looking ahead, the upcoming earnings report and the next dividend announcement will be key events to watch for further insights into the company’s financial trajectory.