Leslie's
LESL on Nasdaq. Market value $1m.
Should I look at this?
Look carefully before going further
Why it could be worth it
Nothing stands out yet.
What to watch out for
Read the warning sign in its own filings
This is not advice.
Who owns it
1 long-term investor we follow owns it, unchanged from 1 last quarter. 46 funds in all.
| Fund | Value | Share of that fund | Change |
|---|---|---|---|
| Ariel InvestmentsJohn Rogers Jr. | $25m | 0.2% | Cut |
Largest holders overall
- Ariel Investments$25mCut
- Jane Street Group$6mAdded
- Lind Value II ApS$5m
- Josh Arnold Investment Consultant$4mNew
- Vanguard Capital Management$3mCut
- BlackRock$2m
- Goldman Sachs Group$932,541
- Geode Capital Management$820,040Cut
- GSA Capital Partners LLP$752,000Cut
- Performa Ltd (US)$585,655Cut
From 13F filings for the quarter ended 30 June 2026.
Big holders and activists
1 investor owns more than 5%.
- JANE STREET GROUP, LLCPassive investorat least 5.9%+0.8 pts(filed with 2 related holders)Since 30 June 2026
- The Vanguard GroupPassive investorSold down below 5%Since 30 June 2025
- BlackRock, Inc.Passive investorSold down below 5%Since 30 June 2025
- Storm Andrew MurchisonPassive investorSold down below 5%Since 20 May 2026
- Clarkston Capital PartnersPassive investorSold down below 5%Since 31 July 2025
- Lee William BaxterPassive investorSold down below 5%Since 13 August 2026
- Ariel InvestmentsPassive investorSold down below 5%Since 31 July 2026
| Holder | Stake | Since | |
|---|---|---|---|
JANE STREET GROUP, LLC Passive investor | at least 5.9%+0.8 pts (filed with 2 related holders) | 30 June 2026 | |
The Vanguard Group Passive investor | Sold down below 5% | 30 June 2025 | |
BlackRock, Inc. Passive investor | Sold down below 5% | 30 June 2025 | |
Storm Andrew Murchison Passive investor | Sold down below 5% | 20 May 2026 | |
Clarkston Capital Partners Passive investor | Sold down below 5% | 31 July 2025 | |
Lee William Baxter Passive investor | Sold down below 5% | 13 August 2026 | |
Ariel Investments Passive investor | Sold down below 5% | 31 July 2026 |
From Schedule 13D and 13G filings: anyone owning more than 5% must file one.
What insiders did
No insider bought or sold on the open market in the last 12 months.
From Form 4 filings: insiders must report trades in their own company's shares within two days.
Warning signs in its filings
Problems the company itself reported to the SEC, in its own words.
2 serious warning signs in Leslie's’ filings.
We look for five warning signs: doubt it can keep going, weak checks on its own accounts, a notice that its past accounts can't be relied on, a change of auditor, and one customer bringing in a big share of sales. We don't check lawsuits, investigations or debt yet.
We checked the auditor's report, internal controls, restatement notices, auditor changes and big customers in the 10-K filed 18 Dec 2025, plus the 10-Q filed 12 Aug 2026 and 9 later 8-Ks.
Doubt it can keep going
SeriousThe company or its auditor warned it may not have enough money to last the next year.
“These conditions and events raise substantial doubt about the Company’s ability to continue as a going concern.”
Show the full paragraph
We believe that the persistently challenging retail environment, including observed reductions and delays in consumer spending in the pool and spa care industry, along with consumers’ increased price sensitivity after years of persistent inflation, have significantly impacted the Company’s performance. Historically, we have primarily relied on cash generated from operating activities in our third and fourth fiscal quarters to fund our day-to-day operations and service our debt. Although we continue to pursue our strategic initiatives, including ongoing cost optimization efforts, the timing and realization of our strategy cannot guarantee sufficient cash flow will be generated to meet the Company’s debt obligations and operating costs. These conditions and events raise substantial doubt about the Company’s ability to continue as a going concern. Management’s plans to address our more immediate challenges may include the following:
From the 10-Q filed 12 August 2026, Part I, Item 1. Financial Statements. Read it in the filing
Weak checks on its own accounts
SeriousThe company said its checks on its own accounts did not work at the end of its latest quarter. Mistakes could slip into the numbers.
“Based on that evaluation, our Chief Executive Officer (Principal Executive Officer) and Chief Financial Officer and Treasurer (Principal Financial Officer) have concluded that our disclosure controls and procedures were not effective as the material weaknesses in our internal control over financial reporting disclosed in our Annual Report on Form 10-K for the fiscal year ended October 4, 2025 were not yet remediated as of July 4, 2026.”
Show the full paragraph
Our disclosure controls and procedures (as defined in Rules 13a-15(e) and 15d-15(e)) are designed to ensure that information required to be disclosed by us in reports we file or submit under the Securities Exchange Act of 1934, as amended, is recorded, processed, summarized, and reported within the appropriate time periods specified in SEC rules and forms, and that such information is accumulated and communicated to our management, including our Chief Executive Officer and Chief Financial Officer and Treasurer, as appropriate, to allow timely discussions regarding required disclosure. We, under the supervision of and with the participation of our management, including our Chief Executive Officer and Chief Financial Officer and Treasurer, have evaluated the effectiveness of our disclosure controls and procedures as of July 4, 2026. Based on that evaluation, our Chief Executive Officer (Principal Executive Officer) and Chief Financial Officer and Treasurer (Principal Financial Officer) have concluded that our disclosure controls and procedures were not effective as the material weaknesses in our internal control over financial reporting disclosed in our Annual Report on Form 10-K for the fiscal year ended October 4, 2025 were not yet remediated as of July 4, 2026.
From the 10-Q filed 12 August 2026, Part I, Item 4. Controls and Procedures. Read it in the filing
Changed auditor
Worth knowingThe company changed its auditor (the firm that checks its books) in the last two years.
“In addition, on January 27, 2026, the Audit Committee approved the dismissal of Ernst & Young LLP (“EY”) as the Company’s independent registered public accounting firm, effective upon the completion of EY’s interim review of the Company’s financial statements for the quarter ended January 3, 2026.”
From an 8-K filed 30 January 2026: Change of auditor. Read it in the filing
A 10-K is the yearly report every US company files with the SEC. An 8-K is a short notice of a big event.
The deep dive
Everything above is arithmetic on public filings. The deep dive reads the last ten years of annual reports, the proxy statements, and the earnings calls, then argues the case the way Buffett, Klarman, and Hohn would, and checks every claim against the source.
- What the business is worth, as a range, and the margin of safety at today’s price
- Prices to start buying, buy, and buy hard
- The three things that would make this a mistake
- Every number footnoted to the filing it came from
Your first deep dive is free.
Not advice. Numbers on this page come from SEC filings and are updated each night; prices are updated again after the US market closes. The five-year figures are rounded.