Added to YB: 2026-06-02
Pitch date: 2026-03-31
SWIM [bearish]
Latham Group, Inc.
-11.19%
current return
Author Info
No bio for this author
Company Info
Latham Group, Inc. designs, manufactures, and markets in-ground residential swimming pools in North America, Australia, and New Zealand.
Market Cap
$711.5M
Pitch Price
$5.45
Price Target
2.00 (-67%)
Dividend
N/A
EV/EBITDA
10.35
P/E
86.67
EV/Sales
1.86
Sector
Leisure Products
Category
N/A
Latham Group, Inc. - $SWIM (short)
SWIM (short): Fiberglass pool maker, ~40% downside, PT $3 (10x mid-cycle homebuilder multiple). Bulls overpay assuming 2019 demand rebound, but units at normalized run-rate. New CEO's ambitious 2026 guide (6% growth) likely missed; margins near 35% peak as SG&A/capex ramp. FL/Sunbelt expansion structurally limited (high water table, hurricanes, UV). Net debt +$100mm Q1'26, ~2.9x lev. Catalysts: guidance cut, 44% holder follow-on, tough 2H comps. Risks: rate cuts, M&A, cyclical appetite.
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