Pool Corp (POOL) has experienced a significant downturn, with the stock down roughly 40% to 71% from its 2022 peak due to compressed margins, falling net income, and a drop in new pool construction from 100,000 units down to 58,000.

While POOL currently screens as cheap trading at a 15x P/E multiple compared to its normal P/E of 26x, management has continued increasing its dividend despite falling earnings and declining operating cash flow, creating a notable dividend and balance sheet risk.