NEW YORK, Aug. 08, 2024 (GLOBE NEWSWIRE) -- Bragar Eagel & Squire, P.C., a nationally recognized shareholder rights law firm, is investigating potential claims against Leslie’s, Inc. (NASDAQ: LESL) on behalf of long-term stockholders following a class action complaint that was filed against Leslie’s on September 8, 2023 with a Class Period from February 5, 2021 to July 13, 2023. Our investigation concerns whether the board of directors of Leslie’s have breached their fiduciary duties to the company.

The Class  Action alleges  that, during  the Class  Period, Defendants  misled investors and/or failed to disclose that  (1) the Company’s growth was  caused by customers over purchasing  products; (2) such  sales inflated revenues  and earnings and  were  not  indicative  of  durable  and  sustainable  demand  or financial growth; (3) the  Company prolonged the  inflated customer demand  by warning  customers  that  Leslie’s  could  not  “guarantee  availability”   of chemicals in the future; and (4) any slowdown in sales was not a normalization of past seasonality, but was due to the prior excess stockpiling.

On July 13,  2023, Leslie’s  issued a press  release announcing  disappointing preliminary results for  its fiscal  third quarter of  2023 ended  on July  1, 2023, including a 9% year-over-year sales  decline and a cut to the  Company’s fiscal 2023 guidance. The press release quoted Defendant Egeck, revealing that “consumers entered  the pool  season  with a  greater  than normal  amount  of chemicals left[ ]over from last year.” In addition, the Company announced that its  Chief  Financial  Officer  would   depart  the  following  month.   These revelations shocked analysts, resulting in  several downgrades, with one  firm concluding that “pretty much everything in the company’s preliminary  earnings release was more negative than we could have anticipated.” In response to this news, the  price of  Leslie’s common  stock  declined more  than 29%,  from  a closing price of $9.52 per share on July 13, 2023, to a closing price of $6.70 per share on  July 14,  2023. Leslie’s common  stock price  continued to  fall another $1.24 per  share the following  trading day, or  over 18%, closing  at $5.46 per share on July 17, 2023.

If you are a long-term stockholder of Leslie’s, have information, would like to learn more about these claims, or have any questions concerning this announcement or your rights or interests with respect to these matters, please contact Brandon Walker or Marion Passmore by email at investigations@bespc.com, by telephone at (212) 355-4648, or by filling out this contact form. There is no cost or obligation to you.

About Bragar Eagel & Squire, P.C.:

Bragar Eagel & Squire, P.C. is a nationally recognized law firm with offices in New York and California. The firm represents individual and institutional investors in commercial, securities, derivative, and other complex litigation in state and federal courts across the country. For more information about the firm, please visit www.bespc.com. Attorney advertising. Prior results do not guarantee similar outcomes.

Contact Information:

Bragar Eagel & Squire, P.C.
Brandon Walker, Esq.
Marion Passmore, Esq.
(212) 355-4648
investigations@bespc.com
www.bespc.com