How Hayward Holdings' (HAYW) Upbeat 2025 Sales Outlook Has Changed Its Investment Story

• Hayward Holdings recently reported improved third quarter earnings, with sales rising to US$244.34 million and net income increasing to US$24.03 million, surpassing the same period last year; the company also raised its full-year 2025 net sales guidance to between US$1.095 billion and US$1.11 billion.
• This upward revision in guidance signals management's increased confidence in business momentum and suggests ongoing demand for Hayward's pool equipment and automation solutions.
• We'll explore how Hayward's raised 2025 sales outlook could shape the company's investment narrative and long-term margin expectations.

Rare earth metals are the new gold rush. Find out which 37 stocks are leading the charge.

Hayward Holdings Investment Narrative Recap

To see Hayward Holdings as a compelling investment, you need to believe that demand for pool equipment and automation will remain resilient even as housing and consumer spending slow and competition intensifies. While the company’s raised 2025 sales guidance highlights management’s growing optimism, it does not significantly alter the biggest near-term catalyst, growth in automated and connected pool products, or the ongoing risk that a shift toward repairs over replacements could weigh on margins.

Among recent announcements, the upward revision in full-year 2025 sales guidance stands out, reinforcing progress on revenue and profit growth after reporting third quarter sales of US$244.34 million and net income of US$24.03 million. This higher outlook provides some support for those focused on sales momentum, but longer-term questions about margin sustainability and aftermarket trends persist.

However, it is worth highlighting for investors that underlying risks remain if more homeowners continue to repair rather than replace key pool equipment ...

Read the full narrative on Hayward Holdings (it's free!)

Hayward Holdings' outlook anticipates $1.3 billion in revenue and $198.0 million in earnings by 2028. This projection relies on a 5.8% annual revenue growth rate and a $67.6 million increase in earnings from the current $130.4 million.

Uncover how Hayward Holdings' forecasts yield a $16.93 fair value, a 5% upside to its current price.

Exploring Other Perspectives

The Simply Wall St Community contributed two fair value estimates for Hayward Holdings, ranging from US$10.98 to US$16.93 per share. While views differ on valuation, many are closely watching how automation and product upgrades could influence both growth and margins in the years ahead.

Explore 2 other fair value estimates on Hayward Holdings - why the stock might be worth as much as 5% more than the current price!

Build Your Own Hayward Holdings Narrative

Disagree with existing narratives? Create your own in under 3 minutes - extraordinary investment returns rarely come from following the herd.

• A great starting point for your Hayward Holdings research is our analysis highlighting 2 key rewards that could impact your investment decision.
• Our free Hayward Holdings research report provides a comprehensive fundamental analysis summarized in a single visual - the Snowflake - making it easy to evaluate Hayward Holdings' overall financial health at a glance.

Interested In Other Possibilities?

Every day counts. These free picks are already gaining attention. See them before the crowd does:

• These 13 companies survived and thrived after COVID and have the right ingredients to survive Trump's tariffs. Discover why before your portfolio feels the trade war pinch.
• Find companies with promising cash flow potential yet trading below their fair value.
• Trump has pledged to "unleash" American oil and gas and these 22 US stocks have developments that are poised to benefit.

This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team@simplywallst.com