Head to Head Review: Pool (NASDAQ:POOL) & ATC Venture Group (OTCMKTS:ATCV)

ATC Venture Group (OTCMKTS:ATCV) and Pool (NASDAQ:POOL) are both consumer discretionary companies, but which is the superior business? We will contrast the two companies based on the strength of their risk, valuation, institutional ownership, earnings, dividends, profitability and analyst recommendations.

Profitability

This table compares ATC Venture Group and Pool’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
ATC Venture Group	N/A	N/A	N/A
Pool	7.57%	32.37%	10.93%

Volatility and Risk

ATC Venture Group has a beta of 8.07, meaning that its stock price is 707% more volatile than the S&P 500. Comparatively, Pool has a beta of 1.1, meaning that its stock price is 10% more volatile than the S&P 500.

Valuation and Earnings

This table compares ATC Venture Group and Pool”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
ATC Venture Group	N/A	N/A	N/A	N/A	N/A
Pool	$5.29 billion	1.41	$406.40 million	$10.87	18.89

Pool has higher revenue and earnings than ATC Venture Group.

Analyst Recommendations

This is a breakdown of recent ratings for ATC Venture Group and Pool, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
ATC Venture Group	0	0	0	0	0.00
Pool	2	6	4	0	2.17

Pool has a consensus target price of $261.38, indicating a potential upside of 27.28%. Given Pool’s stronger consensus rating and higher possible upside, analysts plainly believe Pool is more favorable than ATC Venture Group.

Insider & Institutional Ownership

99.0% of Pool shares are held by institutional investors. 49.9% of ATC Venture Group shares are held by company insiders. Comparatively, 3.0% of Pool shares are held by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock will outperform the market over the long term.

Summary

Pool beats ATC Venture Group on 8 of the 10 factors compared between the two stocks.

About ATC Venture Group

ATC Venture Group Inc., through its subsidiary, Simonsen Iron Works Inc., engages in the design, manufacture, and assembly of an array of parts for original equipment manufacturers and other customers. The company was formerly known as Cycle Country Accessories Corp. and changed its name to ATC Venture Group Inc. in January 2012. ATC Venture Group Inc. was incorporated in 1906 and is based in Minnetonka, Minnesota.

About Pool

Pool Corporation distributes swimming pool supplies, equipment, and related leisure products in the United States and internationally. The company offers maintenance products, including chemicals, supplies, and pool accessories; repair and replacement parts for pool equipment, such as cleaners, filters, heaters, pumps, and lights; and building materials, such as concrete, plumbing and electrical components, functional and decorative pool surfaces, decking materials, tiles, hardscapes, and natural stones for pool installations and remodeling. It also provides pool equipment and components for new pool construction and the remodeling of existing pools; irrigation and related products, such as irrigation system components, and professional turf care equipment and supplies; commercial products, including heaters, safety equipment, commercial decking equipment, and commercial pumps and filters. In addition, the company offers fiberglass pools, and hot tubs and packaged pool kits comprising walls, liners, braces, and coping for in-ground and above-ground pools; and other pool construction and recreational products comprising discretionary recreational and related outdoor living products, such as grills and components for outdoor kitchens. It serves swimming pool remodelers and builders; specialty retailers that sell swimming pool supplies; swimming pool repair and service businesses; irrigation construction and landscape maintenance contractors; and commercial pool operators and pool contractors. Pool Corporation was incorporated in 1993 and is headquartered in Covington, Louisiana.