The Hammers have made a wonderful start to the 2015/16 campaign, and edged out Chelsea 2-1 over the weekend to move into third place in the Premier League table.
Slaven Bilic's side are the second highest scorers in England's top-flight, and Le Tissier believes that they have considerable strength in depth following a productive summer of reinforcement.
"What's most impressive about West Ham United is that you look at the bench and it's not bad," the Southampton legend said. "They have [Nikica] Jelavic, [Michail] Antonio, who they paid a lot of money for, and Enner Valencia. It's a very good squad."
But when asked whether the Hammers could finish above Chelsea this season, Le Tissier was less enthusiastic and responded with a simple 'no'.
West Ham are currently nine points clear of Chelsea, and they looked a class above them on Saturday as they stormed to an impressive victory.
Goals from Mauro Zarate and Andy Carroll provided the Hammers with the victory, but Le Tissier feels that Chelsea are capable of closing the large gap.
There are still plenty of points to play for this season, and there is a widely held opinion that Chelsea cannot continue playing this poorly over the long-term, given the quality of their squad.