📊 HAYW Key Takeaways
Is Hayward Holdings, Inc. (HAYW) a Good Investment?
Hayward Holdings exhibits fundamental distress despite reported earnings growth. Operating cash flow is deeply negative (-$150.6M) while net income is positive, indicating severe working capital or earnings quality issues. Interest coverage of 0.8x means the company cannot cover debt service from operations, creating an unsustainable financial position.
Hayward shows solid fundamentals with high margins, strong free cash flow generation, and ample liquidity alongside moderate leverage. Earnings are growing faster than revenue, indicating mix/pricing or efficiency gains; debt is manageable but bears monitoring given only mid-single-digit interest coverage.
Why Buy Hayward Holdings, Inc. Stock? HAYW Key Strengths
- Strong gross margin of 46.5% demonstrates pricing power and operational efficiency
- Net income growing 27.7% YoY, outpacing revenue growth of 6.7%, shows improving margins
- Excellent short-term liquidity with current ratio of 3.26x and quick ratio of 2.47x
- High gross and operating margins with accelerating net income/EPS growth
- Robust free cash flow (20%+ FCF margin) and low capex needs
- Strong liquidity (current 2.9x, quick 2.3x) and moderate leverage (D/E 0.6x)
HAYW Stock Risks: Hayward Holdings, Inc. Investment Risks
- Operating cash flow is -$150.6M while net income is +$23.4M - massive disconnect signals working capital deterioration or earnings quality concerns
- Interest coverage ratio of 0.8x indicates company cannot service debt from operating income, creating critical solvency risk
- Free cash flow of -$157.8M with -61.8% FCF margin means the company is not self-sustaining and burning cash despite profitability claims
- Very low returns on equity (1.4%) and assets (0.7%) despite 46.5% gross margins indicate poor capital efficiency
- Long-term debt of $942.8M represents significant leverage relative to $23.4M net income
- Demand cyclicality tied to housing/consumer discretionary could temper revenue growth
- Potential margin compression from input costs or competitive pricing pressures
- Interest coverage of 4.6x leaves earnings sensitive to higher rates or EBITDA softness
Key Metrics to Watch
- Operating cash flow trend - must return to positive to validate earnings quality
- Interest coverage ratio - needs to exceed 1.5x minimum to ensure debt serviceability
- Working capital changes - identify root cause of cash burn discrepancy with reported earnings
- Free cash flow generation - monitor path to positive FCF and cash runway sustainability
- Gross margin
- Interest coverage
Hayward Holdings, Inc. (HAYW) Financial Metrics & Key Ratios
💡 AI Analyst Insight
Strong liquidity with a 3.26x current ratio provides a solid financial cushion.
HAYW Profit Margin, ROE & Profitability Analysis
HAYW vs Industrial Sector: How Hayward Holdings, Inc. Compares
How Hayward Holdings, Inc. compares to Industrial sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is Hayward Holdings, Inc. Stock Overvalued? HAYW Valuation Analysis 2026
Based on fundamental analysis, Hayward Holdings, Inc. has mixed fundamental signals relative to the Industrial sector in 2026.
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.
Hayward Holdings, Inc. Balance Sheet: HAYW Debt, Cash & Liquidity
HAYW Revenue & Earnings Growth: 5-Year Financial Trend
5-Year Trend Summary: Hayward Holdings, Inc.'s revenue has declined by 20% over the 5-year period, indicating business contraction. The most recent EPS of $0.37 reflects profitable operations.
HAYW Revenue Growth, EPS Growth & YoY Performance
HAYW Quarterly Earnings & Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q1 2026 | $228.8M | $14.3M | $0.06 |
| Q3 2025 | $227.6M | $9.8M | $0.07 |
| Q2 2025 | $284.4M | $9.8M | $0.17 |
| Q1 2025 | $212.6M | $9.8M | $0.04 |
| Q3 2024 | $220.3M | $8.4M | $0.05 |
| Q2 2024 | $283.5M | $8.4M | $0.13 |
| Q1 2024 | $210.1M | $8.4M | $0.04 |
| Q3 2023 | $220.3M | $8.4M | $0.05 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
Hayward Holdings, Inc. Dividends, Buybacks & Capital Allocation
HAYW SEC Filings: Latest 10-K & 10-Q Analysis
Access official SEC EDGAR filings for Hayward Holdings, Inc. (CIK: 0001834622)
📋 Recent SEC Filings
❓ Frequently Asked Questions about HAYW
What is the AI rating for HAYW?
Hayward Holdings, Inc. (HAYW) has a Combined AI Rating of HOLD from Claude (SELL) and ChatGPT (BUY) with 75% combined confidence, based on fundamental analysis of SEC EDGAR filings.
What are HAYW's key strengths?
Claude: Strong gross margin of 46.5% demonstrates pricing power and operational efficiency. Net income growing 27.7% YoY, outpacing revenue growth of 6.7%, shows improving margins. ChatGPT: High gross and operating margins with accelerating net income/EPS growth. Robust free cash flow (20%+ FCF margin) and low capex needs.
What are the risks of investing in HAYW?
Claude: Operating cash flow is -$150.6M while net income is +$23.4M - massive disconnect signals working capital deterioration or earnings quality concerns. Interest coverage ratio of 0.8x indicates company cannot service debt from operating income, creating critical solvency risk. ChatGPT: Demand cyclicality tied to housing/consumer discretionary could temper revenue growth. Potential margin compression from input costs or competitive pricing pressures.
What is HAYW's revenue and growth?
Hayward Holdings, Inc. reported revenue of $255.2M.
Does HAYW pay dividends?
Hayward Holdings, Inc. does not currently pay dividends.
Where can I find HAYW SEC filings?
Official SEC filings for Hayward Holdings, Inc. (CIK: 0001834622) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is HAYW's EPS?
Hayward Holdings, Inc. has a diluted EPS of $0.11.
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 HAYW a good stock to buy right now?
Based on our AI fundamental analysis in May 2026, Hayward Holdings, Inc. has a HOLD rating with 75% confidence. Review the strengths and risks sections above before making a decision. This is not investment advice.
Is HAYW stock overvalued or undervalued?
Valuation metrics for HAYW: ROE of 1.4% (sector avg: 15%), net margin of 9.2% (sector avg: 10%). Compare these metrics with sector averages to assess valuation.
Should I buy HAYW stock in 2026?
Our dual AI analysis gives Hayward Holdings, 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 HAYW's free cash flow?
Hayward Holdings, Inc.'s operating cash flow is $-150.6M, with capital expenditures of $7.1M. FCF margin is -61.8%.
How does HAYW compare to other Industrial stocks?
Vs Industrial sector averages: Net margin 9.2% (avg: 10%), ROE 1.4% (avg: 15%), current ratio 3.26 (avg: 1.8).