What Does This Latest Acquisition Mean for Latham Group (SWIM)

Latham Group Inc. (NASDAQ:SWIM) is one of the 12 most promising small-cap industrial stocks under $30.

On March 4, Latham Group Inc. (NASDAQ:SWIM) announced the acquisition of Freedom Pools, which manufactures and installs fiberglass pools across Australia and New Zealand. The transaction was valued at roughly $17 million and was finalized during the last week of February.

This deal is anticipated to be highly accretive for Latham Group Inc. (NASDAQ:SWIM). It is expected to boost Latham’s topline by around $20 million and adjusted EBITDA by roughly $4 million. The acquisition was completely financed through the company’s existing cash balance.

Earlier on March 4, Matthew Bouley from Barclays increased the firm’s price target on Latham Group Inc. (NASDAQ:SWIM) from $7 to $8. The analyst reiterated an Equal Weight rating on the stock, which currently yields an adjusted upside potential of more than 44%.

Bouley noted that the company’s 2026 projections remain ahead of consensus forecasts. He also acknowledged the company’s expanding EBITDA margin amid “lean manufacturing and value engineering.”

Latham Group Inc. (NASDAQ:SWIM) is a designer of in-ground swimming pools, such as fiberglass and packaged pools. The company also offers safety and seasonal pool covers and liners. It markets its products through dealers and distributors under various brands such as CoverStar, Narellan, and Radiant.

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