POOL vs. TREX

Last updated Jun 3, 2026

POOL (Pool Corporation) and TREX (Trex Company, Inc.) are both stocks. POOL operates in Leisure (Consumer Cyclical), while TREX operates in Building Products & Equipment (Industrials). Over the past 10 years, POOL returned 8.17%/yr vs 14.44%/yr for TREX. At a 0.38 correlation, their price movements are largely independent.

Performance

POOL vs. TREX - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Pool Corporation (POOL) and Trex Company, Inc. (TREX). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, POOL achieves a -20.43% return, which is significantly lower than TREX's 18.56% return. Over the past 10 years, POOL has underperformed TREX with an annualized return of 8.17%, while TREX has yielded a comparatively higher 14.44% annualized return.

POOL

• 1D: -1.36%
• 1M: -13.05%
• YTD: -20.43%
• 6M: -25.62%
• 1Y: -38.80%
• 3Y*: -16.71%
• 5Y*: -15.20%
• 10Y*: 8.17%

TREX

• 1D: 0.07%
• 1M: 7.22%
• YTD: 18.56%
• 6M: 19.34%
• 1Y: -22.36%
• 3Y*: -9.38%
• 5Y*: -15.17%
• 10Y*: 14.44%

*Multi-year figures are annualized to reflect compound growth (CAGR)

POOL vs. TREX - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
POOL Pool Corporation	-20.43%	-31.81%	-13.39%	33.51%	-46.03%	52.98%	76.95%	44.50%	15.97%	25.78%
TREX Trex Company, Inc.	18.56%	-49.18%	-16.62%	95.58%	-68.65%	61.29%	86.29%	51.42%	9.53%	68.31%

Correlation

The correlation between POOL and TREX is 0.61, which is moderate. They share some common price drivers but move independently often enough to provide real diversification benefit when combined.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.61
Correlation (3Y) Calculated over the trailing 3-year period	0.59
Correlation (5Y) Calculated over the trailing 5-year period	0.63
Correlation (10Y) Calculated over the trailing 10-year period	0.54
Correlation (All Time) Calculated using the full available price history since Apr 9, 1999	0.38

Over the past year, POOL and TREX have become more correlated (0.61) than their long-term average of 0.38, meaning their price movements have been converging.

Fundamentals

Market Cap POOL : $6.54B TREX : $4.37B
EPS POOL : $10.96 TREX : $1.80
PE Ratio POOL : 16.38 TREX : 23.16
PS Ratio POOL : 1.24 TREX : 3.76
PB Ratio POOL : 5.52 TREX : 4.39
Total Revenue (TTM) POOL : $5.36B TREX : $1.18B
Gross Profit (TTM) POOL : $1.59B TREX : $461.26M
EBITDA (TTM) POOL : $636.22M TREX : $308.51M

Return for Risk

POOL vs. TREX — Risk / Return Rank

Compare risk-adjusted metric ranks to identify better-performing investments over the past 12 months.

POOL

POOL Risk / Return Rank: 5
POOL Sharpe Ratio Rank: 2
POOL Sortino Ratio Rank: 4
POOL Omega Ratio Rank: 5
POOL Calmar Ratio Rank: 9
POOL Martin Ratio Rank: 4

TREX

TREX Risk / Return Rank: 23
TREX Sharpe Ratio Rank: 21
TREX Sortino Ratio Rank: 23
TREX Omega Ratio Rank: 22
TREX Calmar Ratio Rank: 25
TREX Martin Ratio Rank: 27

The rank (0–100) shows how this investment's returns compare to the risk taken. Higher = better. Based on the past 12 months of data, combining Sharpe, Sortino, and other metrics used by quantitative funds and institutional investors.

POOL vs. TREX - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Pool Corporation (POOL) and Trex Company, Inc. (TREX). Risk-adjusted metrics are performance indicators that assess an investment's returns in relation to its risk, enabling a more accurate comparison of different investment options.

	POOL	TREX	Difference
Sharpe ratio Return per unit of total volatility	-1.17	-0.45	-0.72
Sortino ratio Return per unit of downside risk	-1.70	-0.29	-1.41
Omega ratio Gain probability vs. loss probability	0.80	0.96	-0.16
Calmar ratio Return relative to maximum drawdown	-0.83	-0.46	-0.37
Martin ratio Return relative to average drawdown	-1.56	-0.73	-0.83
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

POOL vs. TREX - Sharpe Ratio Comparison

The current POOL Sharpe Ratio is -1.17, which is lower than the TREX Sharpe Ratio of -0.45. The chart below compares the historical Sharpe Ratios of POOL and TREX, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

Sharpe Ratios by Period

	POOL	TREX	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	-1.17	-0.45	-0.72
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	-0.45	-0.32	-0.13
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.26	0.31	-0.05
Sharpe Ratio (All Time) Calculated using the full available price history	0.57	0.25	+0.32

Drawdowns

POOL vs. TREX - Drawdown Comparison

The maximum POOL drawdown since its inception was -75.71%, smaller than the maximum TREX drawdown of -90.53%. Use the drawdown chart below to compare losses from any high point for POOL and TREX.

Drawdown Indicators

	POOL	TREX	Difference
Max Drawdown Largest peak-to-trough decline	-75.71%	-90.53%	+14.82%
Max Drawdown (1Y) Largest decline over 1 year	-46.86%	-56.01%	+9.15%
Max Drawdown (3Y) Largest decline over 3 years	-56.77%	-69.90%	+13.13%
Max Drawdown (5Y) Largest decline over 5 years	-67.85%	-78.58%	+10.73%
Max Drawdown (10Y) Largest decline over 10 years	-67.85%	-78.58%	+10.73%
Current Drawdown Current decline from peak	-66.83%	-70.44%	+3.61%
Average Drawdown Average peak-to-trough decline	-18.32%	-38.73%	+20.41%
Ulcer Index Depth and duration of drawdowns from previous peaks	24.99%	34.95%	-9.96%

Volatility

POOL vs. TREX - Volatility Comparison

The current volatility for Pool Corporation (POOL) is 11.08%, while Trex Company, Inc. (TREX) has a volatility of 14.37%. This indicates that POOL experiences smaller price fluctuations and is considered to be less risky than TREX based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	POOL	TREX	Difference
Volatility (1M) Calculated over the trailing 1-month period	11.08%	14.37%	-3.29%
Volatility (6M) Calculated over the trailing 6-month period	26.08%	25.83%	+0.25%
Volatility (1Y) Calculated over the trailing 1-year period	33.29%	50.09%	-16.80%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	33.87%	47.05%	-13.18%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	31.53%	46.33%	-14.80%

Dividends

POOL vs. TREX - Dividend Comparison

POOL's dividend yield for the trailing twelve months is around 2.81%, while TREX has not paid dividends to shareholders.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
POOL Pool Corporation	2.81%	2.16%	1.38%	1.08%	1.26%	0.53%	0.61%	0.99%	1.16%	1.10%	1.14%	1.24%
TREX Trex Company, Inc.	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%

Financials

POOL vs. TREX - Profitability Comparison

The chart below illustrates the profitability comparison between Pool Corporation and Trex Company, Inc. over time, highlighting three key metrics: Gross Profit Margin, Operating Margin, and Net Profit Margin.

POOL - Gross Margin

Gross margin is calculated as gross profit divided by revenue. For the three months ending on Jun 2026, Pool Corporation reported a gross profit of 329.87M and revenue of 1.14B. Therefore, the gross margin over that period was 29.0%.

TREX - Gross Margin

Gross margin is calculated as gross profit divided by revenue. For the three months ending on Jun 2026, Trex Company, Inc. reported a gross profit of 139.02M and revenue of 343.40M. Therefore, the gross margin over that period was 40.5%.

POOL - Operating Margin

Operating margin is calculated as operating income divided by revenue. For the three months ending on Jun 2026, Pool Corporation reported an operating income of 82.61M and revenue of 1.14B, resulting in an operating margin of 7.3%.

TREX - Operating Margin

Operating margin is calculated as operating income divided by revenue. For the three months ending on Jun 2026, Trex Company, Inc. reported an operating income of 83.51M and revenue of 343.40M, resulting in an operating margin of 24.3%.

POOL - Net Margin

Net margin is calculated as net income divided by revenue. For the three months ending on Jun 2026, Pool Corporation reported a net income of 53.23M and revenue of 1.14B, resulting in a net margin of 4.7%.

TREX - Net Margin

Net margin is calculated as net income divided by revenue. For the three months ending on Jun 2026, Trex Company, Inc. reported a net income of 61.40M and revenue of 343.40M, resulting in a net margin of 17.9%.

Frequently Asked Questions

Can I hold both POOL and TREX in my portfolio?

POOL and TREX have a correlation of 0.61, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, POOL or TREX?

TREX has higher volatility (14.37%) compared to POOL (11.08%). In terms of maximum drawdown, POOL dropped -75.71% vs TREX's -90.53%.

Which has better risk-adjusted returns?

TREX currently has the higher Sharpe Ratio (-0.45 vs -1.17), meaning it's delivered slightly more return per unit of risk over the trailing 12 months. However, this ranking shifts over time - use the Risk/Return Score above for a more comprehensive view that combines Sharpe, Sortino, and other measures used by quantitative funds.