Contrasting Fenbo (NASDAQ:FEBO) & Leslie’s (NASDAQ:LESL)

Fenbo (NASDAQ:FEBO) and Leslie’s (NASDAQ:LESL) are both small-cap consumer staples companies, but which is the superior investment? We will compare the two businesses based on the strength of their profitability, dividends, valuation, earnings, analyst recommendations, risk and institutional ownership.

Earnings and Valuation

This table compares Fenbo and Leslie’s”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Fenbo	$85.02 million	0.11	-$1.37 million	N/A	N/A
Leslie’s	$1.22 billion	0.08	-$236.97 million	($29.69)	-0.33

Fenbo has higher earnings, but lower revenue than Leslie’s.

Institutional & Insider Ownership

0.0% of Fenbo shares are owned by institutional investors. 0.5% of Leslie’s shares are owned by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock is poised for long-term growth.

Analyst Recommendations

This is a breakdown of current ratings and recommmendations for Fenbo and Leslie’s, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Fenbo	1	0	0	0	1.00
Leslie’s	2	4	1	0	1.86

Leslie’s has a consensus target price of $2.85, indicating a potential downside of 71.15%. Given Leslie’s’ stronger consensus rating and higher possible upside, analysts plainly believe Leslie’s is more favorable than Fenbo.

Volatility & Risk

Fenbo has a beta of -1.62, suggesting that its share price is 262% less volatile than the S&P 500. Comparatively, Leslie’s has a beta of 1.93, suggesting that its share price is 93% more volatile than the S&P 500.

Profitability

This table compares Fenbo and Leslie’s’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Fenbo	N/A	N/A	N/A
Leslie’s	-22.64%	N/A	-8.22%

Summary

Leslie’s beats Fenbo on 6 of the 11 factors compared between the two stocks.

About Fenbo

Fenbo Holdings Limited, through its subsidiaries, manufactures and sells personal care electric appliances and toys products. The company offers curling wands and irons, flat irons and hair straighteners, hair dryers, trimmers, nail polishers, pet shampoo brushes, eyebrow pliers, etc. It serves customers in Europe, North America, South America, Asia, and internationally. The company was founded in 1993 and is headquartered in Kwun Tong, Hong Kong. Fenbo Holdings Limited operates as a subsidiary of Luxury Max Investments Limited.

About Leslie’s

Leslie’s, Inc. operates as a direct-to-consumer pool and spa care brand in the United States. The company markets and sells pool and spa supplies and related products and services. It also offers various pool and spa maintenance items, such as chemicals, equipment and parts, cleaning and maintenance equipment, safety, recreational, and fitness related products. In addition, the company provides installation and repair services for pool and spa equipment. It also sells its products through e-commerce websites and third-party marketplaces. The company offers complimentary, commercial-grade in-store, water testing, and analysis services. It serves the residential, professional, and commercial consumers. Leslie’s, Inc. was founded in 1963 and is based in Phoenix, Arizona.