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Latham Group, Inc. (SWIM) Stock Fundamental Analysis & AI Rating 2026

SWIM Nasdaq Plastics Products, NEC NY CIK: 0001833197
Recently Updated • Analysis: Apr 16, 2026 • SEC Data: 2025-12-31
HOLD
68% Conf
Pending
Analysis scheduled

📊 SWIM Key Takeaways

Revenue: $545.9M
Net Margin: 2.0%
Free Cash Flow: $38.0M
Current Ratio: 2.77x
Debt/Equity: 0.69x
EPS: $0.09
AI Rating: HOLD with 68% confidence
Latham Group, Inc. (SWIM) receives a HOLD rating with 68% confidence from our AI fundamental analysis based on SEC 10-K filings. With revenue of $545.9M, net profit margin of 2.0%, and return on equity (ROE) of 2.7%, Latham Group, Inc. demonstrates mixed fundamentals in the Materials sector. Below is our complete SWIM stock analysis for 2026.

Is Latham Group, Inc. (SWIM) a Good Investment?

Claude

Latham Group demonstrates solid liquidity and positive free cash flow generation, but suffers from deteriorating profitability fundamentals with flat net income despite 7.4% revenue growth, indicating significant margin compression. The 2.0% net margin and 5.6% operating margin are structurally weak, yielding poor capital returns (2.7% ROE, 1.4% ROA) that fail to justify the 0.69x debt-to-equity leverage.

Why Buy Latham Group, Inc. Stock? SWIM Key Strengths

Claude
  • + Strong liquidity position with 2.77x current ratio and 1.82x quick ratio
  • + Positive free cash flow generation of $38.0M with 7.0% FCF margin exceeding net margin
  • + Manageable debt leverage (0.69x D/E) with solid 6.1x interest coverage ratio
  • + Steady revenue growth of 7.4% YoY in consumer discretionary sector

SWIM Stock Risks: Latham Group, Inc. Investment Risks

Claude
  • ! Profitability stagnation: flat net income YoY despite 7.4% revenue growth signals margin compression
  • ! Structurally low profit margins (2.0% net, 5.6% operating) limit earnings potential and capital returns
  • ! Weak capital efficiency: ROE of 2.7% and ROA of 1.4% indicate poor asset utilization
  • ! High absolute long-term debt of $279.8M limits financial flexibility despite acceptable ratios

Key Metrics to Watch

Claude
  • * Operating margin trend (currently only 5.6%)
  • * Gross margin sustainability (33.4%)
  • * Free cash flow generation relative to capex intensity
  • * Debt reduction progress on $279.8M long-term debt balance

Latham Group, Inc. (SWIM) Financial Metrics & Key Ratios

Revenue
$545.9M
Net Income
$11.1M
EPS (Diluted)
$0.09
Free Cash Flow
$38.0M
Total Assets
$823.2M
Cash Position
$71.0M

💡 AI Analyst Insight

Strong liquidity with a 2.77x current ratio provides a solid financial cushion.

SWIM Profit Margin, ROE & Profitability Analysis

Gross Margin 33.4%
Operating Margin 5.6%
Net Margin 2.0%
ROE 2.7%
ROA 1.4%
FCF Margin 7.0%

SWIM vs Materials Sector: How Latham Group, Inc. Compares

How Latham Group, Inc. compares to Materials sector averages

Net Margin
SWIM 2.0%
vs
Sector Avg 10.0%
SWIM Sector
ROE
SWIM 2.7%
vs
Sector Avg 14.0%
SWIM Sector
Current Ratio
SWIM 2.8x
vs
Sector Avg 1.6x
SWIM Sector
Debt/Equity
SWIM 0.7x
vs
Sector Avg 0.6x
SWIM Sector

Sector benchmarks are approximate industry averages. Actual sector performance may vary.

Is Latham Group, Inc. Stock Overvalued? SWIM Valuation Analysis 2026

Based on fundamental analysis, Latham Group, Inc. shows some fundamental concerns relative to the Materials sector in 2026.

Return on Equity
2.7%
Sector avg: 14%
Net Profit Margin
2.0%
Sector avg: 10%
Revenue Growth
N/A
Year-over-year
Debt/Equity
0.69x
Sector avg: 0.6x

Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.

Latham Group, Inc. Balance Sheet: SWIM Debt, Cash & Liquidity

Current Ratio
2.77x
Quick Ratio
1.82x
Debt/Equity
0.69x
Debt/Assets
50.7%
Interest Coverage
6.14x
Long-term Debt
$279.8M

SWIM Revenue & Earnings Growth: 5-Year Financial Trend

SWIM 5-year financial data: Year 2021: Revenue $630.5M, Net Income $7.5M, EPS $0.08. Year 2022: Revenue $695.7M, Net Income $16.0M, EPS $0.16. Year 2023: Revenue $695.7M, Net Income -$62.3M, EPS $-0.56. Year 2024: Revenue $695.7M, Net Income -$5.7M, EPS $-0.05. Year 2025: Revenue $566.5M, Net Income -$2.4M, EPS $-0.02.
Revenue
Net Income
EPS (right axis)

5-Year Trend Summary: Latham Group, Inc.'s revenue has declined by 10% over the 5-year period, indicating business contraction. The most recent EPS of $-0.02 indicates the company is currently unprofitable.

SWIM Revenue Growth, EPS Growth & YoY Performance

Revenue Growth
N/A
Year-over-year
Net Income Growth
N/A
Year-over-year
EPS Growth
N/A
Earnings per share
FCF Margin
7.0%
Free cash flow / Revenue

SWIM Quarterly Earnings & Performance

Quarterly financial performance data for Latham Group, Inc. including revenue, net income, and earnings per share.
Quarter Revenue Net Income EPS
Q3 2025 $150.5M $5.9M $0.05
Q2 2025 $160.1M $5.4M $0.05
Q1 2025 $110.6M -$6.0M $-0.05
Q3 2024 $150.5M -$2.5M $-0.02
Q2 2024 $160.1M $5.4M $0.05
Q1 2024 $110.6M -$7.9M $-0.07
Q3 2023 $160.8M -$2.5M $-0.02
Q2 2023 $177.1M $1.5M $0.01

Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.

Latham Group, Inc. Dividends, Buybacks & Capital Allocation

Operating Cash Flow
$63.4M
Cash generated from operations
Capital Expenditures
$25.4M
Investment in assets
Dividends Paid
$110.0M
Returned to shareholders

SWIM SEC Filings: Latest 10-K & 10-Q Analysis

Access official SEC EDGAR filings for Latham Group, Inc. (CIK: 0001833197)

📋 Recent SEC Filings

Date Form Document Action
Mar 20, 2026 DEF 14A ny20065092x1_def14a.htm View →
Mar 16, 2026 4 xslF345X05/wk-form4_1773685860.xml View →
Mar 16, 2026 4 xslF345X05/wk-form4_1773685728.xml View →
Mar 16, 2026 4 xslF345X05/wk-form4_1773685625.xml View →
Mar 16, 2026 4 xslF345X05/wk-form4_1773685428.xml View →

Frequently Asked Questions about SWIM

What is the AI rating for SWIM?

Latham Group, Inc. (SWIM) has an AI rating of HOLD with 68% confidence, based on fundamental analysis of SEC EDGAR filings.

What are SWIM's key strengths?

Claude: Strong liquidity position with 2.77x current ratio and 1.82x quick ratio. Positive free cash flow generation of $38.0M with 7.0% FCF margin exceeding net margin.

What are the risks of investing in SWIM?

Claude: Profitability stagnation: flat net income YoY despite 7.4% revenue growth signals margin compression. Structurally low profit margins (2.0% net, 5.6% operating) limit earnings potential and capital returns.

What is SWIM's revenue and growth?

Latham Group, Inc. reported revenue of $545.9M.

Does SWIM pay dividends?

Latham Group, Inc. pays dividends, with $110.0M distributed to shareholders in the trailing twelve months.

Where can I find SWIM SEC filings?

Official SEC filings for Latham Group, Inc. (CIK: 0001833197) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.

What is SWIM's EPS?

Latham Group, Inc. has a diluted EPS of $0.09.

How is the AI analysis conducted?

Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined rating reflects both perspectives for balanced insights.

Is SWIM a good stock to buy right now?

Based on our AI fundamental analysis in April 2026, Latham Group, Inc. has a HOLD rating with 68% confidence. Review the strengths and risks sections above before making a decision. This is not investment advice.

Is SWIM stock overvalued or undervalued?

Valuation metrics for SWIM: ROE of 2.7% (sector avg: 14%), net margin of 2.0% (sector avg: 10%). Compare these metrics with sector averages to assess valuation.

Should I buy SWIM stock in 2026?

Our dual AI analysis gives Latham Group, Inc. a combined HOLD rating for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.

What is SWIM's free cash flow?

Latham Group, Inc.'s operating cash flow is $63.4M, with capital expenditures of $25.4M. FCF margin is 7.0%.

How does SWIM compare to other Materials stocks?

Vs Materials sector averages: Net margin 2.0% (avg: 10%), ROE 2.7% (avg: 14%), current ratio 2.77 (avg: 1.6).

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Disclaimer: This analysis is generated by Claude AI (Anthropic) and ChatGPT (OpenAI) based on publicly available SEC EDGAR filings. It does not include stock price data and should not be considered financial advice. All fundamental data is sourced from SEC public domain filings. Always conduct your own research and consult with a qualified financial advisor before making investment decisions.
Data Source: SEC EDGAR | Analysis Date: Apr 16, 2026 | Data as of: 2025-12-31 | Powered by Claude AI