Leslie’s Inc. [NASDAQ: LESL] stock went on a downward path that fall over -4.88% on Thursday, amounting to a one-week price decrease of less than -7.55%. The company report on June 10, 2021 that Leslie’s, Inc. Announces Pricing of Secondary Offering.
Leslie’s, Inc. (the “Company” or “Leslie’s”) (Nasdaq: LESL) announced the pricing of the previously announced underwritten secondary offering by certain of the Company’s stockholders (the “Selling Stockholders”) of 24,500,000 shares of the Company’s common stock, at a price of $27.64 per share (before underwriting discounts and commissions) (the “Offering”). The Selling Stockholders have also granted the underwriters a 30-day option to purchase up to an additional 3,675,000 shares of common stock. The Selling Stockholders will receive all of the proceeds from the offering. Leslie’s is not offering any shares of its common stock in the offering and will not receive any proceeds from the offering, including from any exercise by the underwriters of their option to purchase additional shares. The offering is expected to close on June 14, 2021, subject to the satisfaction of customary closing conditions.
Goldman Sachs & Co. LLC, Morgan Stanley, and BofA Securities are acting as joint lead book-running managers and representatives of the underwriters for the Offering. Jefferies and Nomura are also serving as bookrunners for the Offering with Baird, Guggenheim Securities, Piper Sandler, William Blair, Stifel, Telsey Advisory Group, Loop Capital Markets, Ramirez & Co., Inc., and AmeriVet Securities serving as co-managers.
The one-year Leslie’s Inc. stock forecast points to a potential upside of 25.92. The average equity rating for LESL stock is currently 2.00, trading closer to a bullish pattern in the stock market.
The market cap for the stock reached $4.74 billion, with 186.81 million shares outstanding and 180.39 million shares in the current float. Compared to the average trading volume of 1.94M shares, LESL stock reached a trading volume of 4065977 in the most recent trading day, which is why market watchdogs consider the stock to be active.
Guru’s Opinion on Leslie’s Inc. [LESL]:
Based on careful and fact-backed analyses by Wall Street experts, the current consensus on the target price for LESL shares is $33.91 per share. Analysis on target price and performance of stocks is usually carefully studied by market experts, and the current Wall Street consensus on LESL stock is a recommendation set at 2.00. This rating represents a strong Buy recommendation, on the scale from 1 to 5, where 5 would mean strong sell, 4 represents Sell, 3 is Hold, and 2 indicates Buy.
Guggenheim have made an estimate for Leslie’s Inc. shares, keeping their opinion on the stock as Buy, with their previous recommendation back on March 09, 2021. While these analysts kept the previous recommendation, Berenberg raised their target price to Hold. The new note on the price target was released on February 10, 2021, representing the official price target for Leslie’s Inc. stock. Previously, the target price had yet another raise to $26, while Loop Capital analysts kept a Hold rating on LESL stock.
The Average True Range (ATR) for Leslie’s Inc. is set at 1.41, with the Price to Sales ratio for LESL stock in the period of the last 12 months amounting to 3.95.
LESL Stock Performance Analysis:
Leslie’s Inc. [LESL] fell into the red zone at the end of the last week, falling into a negative trend and dropping by -7.55. With this latest performance, LESL shares dropped by -8.52% in over the last four-week period, additionally plugging by 20.25% over the last 6 months .
Overbought and oversold stocks can be easily traced with the Relative Strength Index (RSI), where an RSI result of over 70 would be overbought, and any rate below 30 would indicate oversold conditions. An RSI rate of 50 would represent a neutral market momentum. The current RSI for LESL stock in for the last two-week period is set at 34.52, with the RSI for the last a single of trading hit 26.28, and the three-weeks RSI is set at 39.94 for Leslie’s Inc. [LESL]. The present Moving Average for the last 50 days of trading for this stock 27.68, while it was recorded at 26.59 for the last single week of trading.
Insight into Leslie’s Inc. Fundamentals:
Operating Margin for any stock indicates how profitable investing would be, and Leslie’s Inc. [LESL] shares currently have an operating margin of +13.18 and a Gross Margin at +41.42. Leslie’s Inc.’s Net Margin is presently recorded at +5.27.
Return on Total Capital for LESL is now 34.36, given the latest momentum, and Return on Invested Capital for the company is 14.98. Additionally, LESL Total Debt to Total Capital is recorded at 251.58, with Total Debt to Total Assets ending up at 171.52.
Reflecting on the efficiency of the workforce at the company, Leslie’s Inc. [LESL] managed to generate an average of $15,827 per employee. Receivables Turnover for the company is 34.04 with a Total Asset Turnover recorded at a value of 1.71.Leslie’s Inc.’s liquidity data is similarly interesting compelling, with a Quick Ratio of 0.60 and a Current Ratio set at 1.40.
LESL Stock EPS
The progress of the company may be observed through the prism of EPS growth rate, while Wall Street analysts are focusing on predicting the 5-year EPS growth rate for LESL. When it comes to the mentioned value, analysts are expecting to see the 5-year EPS growth rate for Leslie’s Inc. go to 26.00%.
Leslie’s Inc. [LESL] Insider Position Details
There are presently around $3,767 million, or 98.34% of LESL stock, in the hands of institutional investors. The top three institutional holders of LESL stocks are: CATTERTON MANAGEMENT COMPANY, L.L.C. with ownership of 56,984,873, which is approximately -13.056% of the company’s market cap and around 3.50% of the total institutional ownership; BLACKROCK INC., holding 8,970,240 shares of the stock with an approximate value of $225.33 million in LESL stocks shares; and KAYNE ANDERSON RUDNICK INVESTMENT MANAGEMENT LLC, currently with $159.66 million in LESL stock with ownership of nearly 111.074% of the company’s market capitalization.
Positions in Leslie’s Inc. stocks held by institutional investors increased at the end of May and at the time of the May reporting period, where 159 institutional holders increased their position in Leslie’s Inc. [NASDAQ:LESL] by around 40,294,406 shares. Additionally, 28 investors decreased positions by around 14,321,030 shares, while 2 investors held positions by with 95,356,370 shares. The mentioned changes placed institutional holdings at 149,971,806 shares, according to the latest SEC report filing. LESL stock had 79 new institutional investments in for a total of 16,019,887 shares, while 17 institutional investors sold positions of 3,672,716 shares during the same period.