Ollie’s Bargain Outlet (NASDAQ:OLLI) vs. Leslie’s (NASDAQ:LESL) Financial Contrast

Ollie’s Bargain Outlet (NASDAQ:OLLI) and Leslie’s (NASDAQ:LESL) are both consumer staples companies, but which is the superior stock? We will compare the two companies based on the strength of their dividends, valuation, analyst recommendations, risk, institutional ownership, earnings and profitability.

Risk and Volatility

Ollie’s Bargain Outlet has a beta of 0.41, indicating that its share price is 59% less volatile than the S&P 500. Comparatively, Leslie’s has a beta of 1.22, indicating that its share price is 22% more volatile than the S&P 500.

Profitability

This table compares Ollie’s Bargain Outlet and Leslie’s’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Ollie’s Bargain Outlet	8.74%	12.66%	8.20%
Leslie’s	-6.72%	N/A	-4.96%

Valuation and Earnings

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

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Ollie’s Bargain Outlet	$2.27 billion	3.31	$199.76 million	$3.45	35.57
Leslie’s	$1.33 billion	0.02	-$23.38 million	($9.00)	-0.33

Ollie’s Bargain Outlet has higher revenue and earnings than Leslie’s. Leslie’s is trading at a lower price-to-earnings ratio than Ollie’s Bargain Outlet, indicating that it is currently the more affordable of the two stocks.

Analyst Ratings

This is a breakdown of current ratings and recommmendations for Ollie’s Bargain Outlet and Leslie’s, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Ollie’s Bargain Outlet	0	5	9	0	2.64
Leslie’s	2	8	0	0	1.80

Ollie’s Bargain Outlet presently has a consensus price target of $145.31, suggesting a potential upside of 18.41%. Leslie’s has a consensus price target of $26.75, suggesting a potential upside of 800.67%. Given Leslie’s’ higher probable upside, analysts clearly believe Leslie’s is more favorable than Ollie’s Bargain Outlet.

Summary

Ollie’s Bargain Outlet beats Leslie’s on 10 of the 12 factors compared between the two stocks.

About Ollie’s Bargain Outlet

Ollie’s Bargain Outlet Holdings, Inc. is a holding company, which engages in the retail of closeouts, excess inventory, and salvage merchandise. It offers overstocks, package changes, manufacturer refurbished goods, and irregulars. The company’s products include housewares, food, books and stationery, bed and bath, floor coverings, electronics and toys. Ollie’s Bargain Outlet Holdings was founded by Mark Butler, Mort Bernstein, Oliver Rosenberg and Harry Coverman on July 29, 1982, and is headquartered in Harrisburg, PA.

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.