Ariel Investments released its “Ariel Fund” Q2 2025 investor letter, citing a volatile period with a bear market scare in April, followed by a strong recovery. Positive economic data and strong earnings pushed U.S. indices to new highs, with growth stocks outperforming value stocks. Ariel Fund returned 6.96%, lagging behind some indices.

Leslie’s, Inc. (NASDAQ: LESL), a direct-to-consumer pool and spa care brand, saw a one-month return of -14.61% and lost 86.52% in the last 52 weeks. On July 18, 2025, LESL stock closed at $0.3963 per share, with a market cap of $73.483 million, according to Ariel Fund’s investor letter.

Ariel Fund expressed disappointment in Leslie’s, Inc., attributing performance issues to adverse weather conditions impacting sales. The company aims to boost performance through pricing evaluations, inventory optimization, and customer loyalty programs. Ariel Fund remains optimistic about Leslie’s potential despite current challenges.

Leslie’s, Inc. (NASDAQ: LESL) is not among the 30 Most Popular Stocks Among Hedge Funds. In Q2 2025, Leslie’s reported sales of $177.1 million, down from $188.7 million in the previous year due to weaker foot traffic. While Leslie’s shows investment potential, Ariel Investments sees greater upside in certain AI stocks with less downside risk.

Read more at Yahoo Finance: Here’s Why Leslie’s (LESL) Continued to Weigh on Ariel Fund’s Performance