Comparing Fenbo (NASDAQ:FEBO) and 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 contrast the two businesses based on the strength of their risk, valuation, institutional ownership, earnings, dividends, analyst recommendations and profitability.

Risk and Volatility

Fenbo has a beta of -1.62, indicating that its stock price is 262% less volatile than the S&P 500. Comparatively, Leslie’s has a beta of 1.95, indicating that its stock price is 95% more volatile than the S&P 500.

Insider & Institutional Ownership

0.0% of Fenbo shares are held by institutional investors. 0.5% of Leslie’s shares are held by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company will outperform the market over the long term.

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%

Analyst Ratings

This is a summary of recent recommendations 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 price target of $2.85, indicating a potential downside of 71.92%. Given Leslie’s’ stronger consensus rating and higher probable upside, analysts clearly believe Leslie’s is more favorable than Fenbo.

Valuation and Earnings

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

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Fenbo	$10.90 million	0.91	-$1.37 million	N/A	N/A
Leslie’s	$1.24 billion	0.08	-$236.97 million	($29.69)	-0.34

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

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.