Hayward Holdings, Inc. (HAYW)

Hayward Holdings' stock has been impacted by its financial performance and guidance updates in the past six months. The company reported third-quarter fiscal year 2025 results ahead of expectations, with net sales increasing by 7% year-over-year and adjusted diluted EPS rising by 27% year-over-year, leading to increased full-year 2025 net sales guidance. The stock experienced a jump of around 10% following the third-quarter earnings report on October 29, 2025. Earlier in the year, in the second quarter of fiscal year 2025, Hayward also reported revenue ahead of Wall Street's expectations, with sales up 5.3% year-on-year. Analysts have provided various ratings, with a consensus of "buy" for the stock.

The demand for Hayward Holdings' products and services exhibits seasonality, although its business model is largely supported by the non-discretionary aftermarket. Approximately 80% of its historical net sales come from the replacement and repair of existing pool equipment, which occurs on an 8 to 11-year cycle. While the company aims to maintain a constant production level throughout the year to manage inventory effectively, it acknowledges the return to normalized seasonal trends post-COVID-19.

Hayward Holdings, Inc. specializes in residential and commercial pool equipment, including pumps, filters, heaters, pool cleaners, lighting, IoT controls, sanitizers, water features, safety equipment, and in-floor cleaning systems. The company's business model is resilient, with approximately 80% of net sales from the aftermarket, where pool owners replace or repair equipment every 8 to 11 years. Hayward focuses on innovation, energy-efficient, and sustainable solutions, including variable-speed pumps and automation systems.

Hayward Holdings has a global presence in North America, Europe, and internationally, including Australia, Canada, China, and France. North America accounts for approximately 85% of total net sales in fiscal year 2024. The company's global headquarters is in Charlotte, North Carolina. Hayward operates manufacturing facilities in North Carolina, Georgia, Tennessee, Rhode Island, Spain, and China, with distribution centers in Mocksville, North Carolina, and Phoenix, Arizona.

Hayward Holdings maintains a strong brand reputation within the pool and outdoor living sector. The company is recognized as an innovator with a history of producing high-quality products. It is considered a co-leader in the global pool equipment market and boasts a highly-recognized brand with one of the largest installed bases of pool equipment worldwide. Hayward's focus on technological innovation, particularly in smart, IoT-enabled technologies and energy-efficient solutions, contributes positively to its reputation.

Hayward Holdings, Inc. has a diverse ownership structure, with a significant portion held by institutional investors including BlackRock Inc., The Vanguard Group Inc., and JPMorgan Chase & Co. Institutional investors collectively own a substantial stake, with some reports indicating they possess 87% of the company's shares. MSD Partners LP is the largest individual Hayward Holdings shareholder, owning 29.97% of the company's shares. Michael S. Dell is also listed among significant insider shareholders.