📊 LESL Key Takeaways
Is LESL a Good Investment? Thesis Analysis
Leslie's is in severe financial distress with negative stockholders equity of -$489.9M, indicating technical insolvency. The company is burning cash operationally (-$81.1M FCF), generating massive operating losses (-$46.7% margin), and has minimal liquidity ($3.6M cash) against $781.6M in long-term debt. Deteriorating fundamentals and inability to service debt obligations present acute bankruptcy risk.
Why Buy LESL? Key Strengths
- Still generating gross profit of $27.1M, indicating retail operations have some underlying viability
- Current ratio of 1.42x provides minimal short-term liquidity buffer
- Operates in essential consumer goods category (pool and spa supplies)
LESL Investment Risks to Consider
- Negative stockholders equity of -$489.9M indicates technical insolvency with liabilities exceeding assets
- Negative free cash flow of -$85.5M with minimal cash reserves creates critical liquidity crisis
- Interest coverage ratio of -5.1x demonstrates inability to service $781.6M debt burden from operations
- Operating margin of -46.7% shows fundamental business model is not viable at current scale
- Revenue declining 6.6% YoY while losses accelerate indicates deteriorating competitive position
- Quick ratio of 0.30x reflects severe illiquidity and asset quality concerns
Key Metrics to Watch
- Operating cash flow trend and path to positive cash generation
- Gross margin sustainability and ability to maintain retail operations
- Debt refinancing success and covenant compliance status
LESL Financial Metrics
💡 AI Analyst Insight
Leslie's, Inc. presents a mixed fundamental picture. Review the detailed metrics above to form your own investment thesis.
LESL Profitability Ratios
LESL vs Consumer Sector
How Leslie's, Inc. compares to Consumer sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is LESL Overvalued or Undervalued?
Based on fundamental analysis, Leslie's, Inc. has mixed fundamental signals relative to the Consumer 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.
LESL Balance Sheet & Liquidity
LESL 5-Year Financial Trend & Growth Analysis
5-Year Trend Summary: Leslie's, Inc.'s revenue has shown modest growth of 8% over the 5-year period. The most recent EPS of $2.95 reflects profitable operations.
LESL Growth Metrics (YoY)
LESL Quarterly Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q1 2026 | $147.1M | -$44.6M | $-4.82 |
| Q3 2025 | $500.3M | -$13.5M | $-0.07 |
| Q2 2025 | $177.1M | -$34.6M | $-0.19 |
| Q1 2025 | $174.0M | -$39.6M | $-0.21 |
| Q3 2024 | $569.6M | $10.8M | $0.06 |
| Q2 2024 | $188.7M | -$31.5M | $-0.17 |
| Q1 2024 | $174.0M | -$30.3M | $-0.16 |
| Q3 2023 | $610.9M | $10.8M | $0.06 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
LESL Capital Allocation
LESL SEC 10-K & 10-Q Filing Analysis
Access official SEC EDGAR filings for Leslie's, Inc. (CIK: 0001821806)
📋 Recent SEC Filings
❓ Frequently Asked Questions about LESL
What is the AI rating for LESL?
Leslie's, Inc. (LESL) has an AI rating of STRONG SELL with 97% confidence, based on fundamental analysis of SEC EDGAR filings.
What are LESL's key strengths?
Claude: Still generating gross profit of $27.1M, indicating retail operations have some underlying viability. Current ratio of 1.42x provides minimal short-term liquidity buffer.
What are the risks of investing in LESL?
Claude: Negative stockholders equity of -$489.9M indicates technical insolvency with liabilities exceeding assets. Negative free cash flow of -$85.5M with minimal cash reserves creates critical liquidity crisis.
What is LESL's revenue and growth?
Leslie's, Inc. reported revenue of $147.1M.
Does LESL pay dividends?
Leslie's, Inc. pays dividends, with $1.2M distributed to shareholders in the trailing twelve months.
Where can I find LESL SEC filings?
Official SEC filings for Leslie's, Inc. (CIK: 0001821806) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is LESL's EPS?
Leslie's, Inc. has a diluted EPS of $-8.92.
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 LESL a good stock to buy right now?
Based on our AI fundamental analysis in April 2026, Leslie's, Inc. has a STRONG SELL rating with 97% confidence. Review the strengths and risks sections above before making a decision. This is not investment advice.
Is LESL stock overvalued or undervalued?
Valuation metrics for LESL: ROE of N/A (sector avg: 18%), net margin of -56.4% (sector avg: 8%). Compare these metrics with sector averages to assess valuation.
Should I buy LESL stock in 2026?
Our dual AI analysis gives Leslie's, Inc. a combined STRONG SELL rating for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.
What is LESL's free cash flow?
Leslie's, Inc.'s operating cash flow is $-81.1M, with capital expenditures of $4.3M. FCF margin is -58.1%.
How does LESL compare to other Consumer stocks?
Vs Consumer sector averages: Net margin -56.4% (avg: 8%), ROE N/A (avg: 18%), current ratio 1.42 (avg: 1.5).