LEGGETT & PLATT INC (LEG) Stock Fundamental Analysis
USA • New York Stock Exchange • NYSE:LEG • US5246601075
11.67 USD
-0.1 (-0.85%)
At close: Jan 30, 2026
11.53 USD
-0.14 (-1.2%)
After Hours: 1/30/2026, 8:04:00 PM
LEG gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 60 industry peers in the Household Durables industry. LEG has only an average score on both its financial health and profitability. LEG has a valuation in line with the averages, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
- In the past year LEG was profitable.
- In the past year LEG had a positive cash flow from operations.
- The reported net income has been mixed in the past 5 years: LEG reported negative net income in multiple years.
- Each year in the past 5 years LEG had a positive operating cash flow.
1.2 Ratios
- LEG has a Return On Assets of 6.37%. This is in the better half of the industry: LEG outperforms 61.67% of its industry peers.
- With an excellent Return On Equity value of 23.09%, LEG belongs to the best of the industry, outperforming 91.67% of the companies in the same industry.
- LEG's Return On Invested Capital of 7.58% is in line compared to the rest of the industry. LEG outperforms 55.00% of its industry peers.
- LEG had an Average Return On Invested Capital over the past 3 years of 8.00%. This is in line with the industry average of 9.52%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.37% | ||
| ROE | 23.09% | ||
| ROIC | 7.58% |
ROA(3y)-3.65%
ROA(5y)0.38%
ROE(3y)-21.86%
ROE(5y)-4.68%
ROIC(3y)8%
ROIC(5y)8.74%
1.3 Margins
- LEG has a Profit Margin (5.38%) which is comparable to the rest of the industry.
- The Operating Margin of LEG (6.28%) is comparable to the rest of the industry.
- LEG's Operating Margin has declined in the last couple of years.
- LEG's Gross Margin of 18.28% is on the low side compared to the rest of the industry. LEG is outperformed by 78.33% of its industry peers.
- LEG's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 6.28% | ||
| PM (TTM) | 5.38% | ||
| GM | 18.28% |
OM growth 3Y-18.8%
OM growth 5Y-10.74%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-5.29%
GM growth 5Y-4.1%
2. Health
2.1 Basic Checks
- The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so LEG is destroying value.
- LEG has more shares outstanding than it did 1 year ago.
- Compared to 5 years ago, LEG has more shares outstanding
- Compared to 1 year ago, LEG has a worse debt to assets ratio.
2.2 Solvency
- An Altman-Z score of 3.01 indicates that LEG is not in any danger for bankruptcy at the moment.
- Looking at the Altman-Z score, with a value of 3.01, LEG is in line with its industry, outperforming 50.00% of the companies in the same industry.
- The Debt to FCF ratio of LEG is 5.35, which is a neutral value as it means it would take LEG, 5.35 years of fcf income to pay off all of its debts.
- LEG's Debt to FCF ratio of 5.35 is in line compared to the rest of the industry. LEG outperforms 53.33% of its industry peers.
- A Debt/Equity ratio of 1.54 is on the high side and indicates that LEG has dependencies on debt financing.
- The Debt to Equity ratio of LEG (1.54) is worse than 85.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.54 | ||
| Debt/FCF | 5.35 | ||
| Altman-Z | 3.01 |
ROIC/WACC0.92
WACC8.26%
2.3 Liquidity
- A Current Ratio of 2.15 indicates that LEG has no problem at all paying its short term obligations.
- LEG's Current ratio of 2.15 is on the low side compared to the rest of the industry. LEG is outperformed by 60.00% of its industry peers.
- LEG has a Quick Ratio of 1.35. This is a normal value and indicates that LEG is financially healthy and should not expect problems in meeting its short term obligations.
- The Quick ratio of LEG (1.35) is better than 65.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.15 | ||
| Quick Ratio | 1.35 |
3. Growth
3.1 Past
- LEG shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -5.45%.
- LEG shows a very negative growth in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -16.39% yearly.
- LEG shows a decrease in Revenue. In the last year, the revenue decreased by -6.06%.
- Measured over the past years, LEG shows a decrease in Revenue. The Revenue has been decreasing by -1.60% on average per year.
EPS 1Y (TTM)-5.45%
EPS 3Y-27.71%
EPS 5Y-16.39%
EPS Q2Q%-9.38%
Revenue 1Y (TTM)-6.06%
Revenue growth 3Y-4.75%
Revenue growth 5Y-1.6%
Sales Q2Q%-5.93%
3.2 Future
- LEG is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 7.17% yearly.
- Based on estimates for the next years, LEG will show a decrease in Revenue. The Revenue will decrease by -0.23% on average per year.
EPS Next Y0.76%
EPS Next 2Y2.28%
EPS Next 3Y5.09%
EPS Next 5Y7.17%
Revenue Next Year-6.87%
Revenue Next 2Y-5.35%
Revenue Next 3Y-2.22%
Revenue Next 5Y-0.23%
3.3 Evolution
- The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
- When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
- A Price/Earnings ratio of 11.22 indicates a reasonable valuation of LEG.
- Compared to the rest of the industry, the Price/Earnings ratio of LEG indicates a somewhat cheap valuation: LEG is cheaper than 66.67% of the companies listed in the same industry.
- Compared to an average S&P500 Price/Earnings ratio of 28.32, LEG is valued rather cheaply.
- A Price/Forward Earnings ratio of 10.62 indicates a reasonable valuation of LEG.
- 76.67% of the companies in the same industry are more expensive than LEG, based on the Price/Forward Earnings ratio.
- The average S&P500 Price/Forward Earnings ratio is at 25.57. LEG is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.22 | ||
| Fwd PE | 10.62 |
4.2 Price Multiples
- LEG's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. LEG is cheaper than 71.67% of the companies in the same industry.
- LEG's Price/Free Cash Flow ratio is rather cheap when compared to the industry. LEG is cheaper than 88.33% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 5.65 | ||
| EV/EBITDA | 6.77 |
4.3 Compensation for Growth
- The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates LEG does not grow enough to justify the current Price/Earnings ratio.
PEG (NY)14.77
PEG (5Y)N/A
EPS Next 2Y2.28%
EPS Next 3Y5.09%
5. Dividend
5.1 Amount
- With a Yearly Dividend Yield of 1.70%, LEG has a reasonable but not impressive dividend return.
- LEG's Dividend Yield is a higher than the industry average which is at 1.22.
- LEG's Dividend Yield is comparable with the S&P500 average which is at 1.83.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.7% |
5.2 History
- The dividend of LEG decreases each year by -8.18%.
- LEG has paid a dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)-8.18%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
- 11.94% of the earnings are spent on dividend by LEG. This is a low number and sustainable payout ratio.
DP11.94%
EPS Next 2Y2.28%
EPS Next 3Y5.09%
LEGGETT & PLATT INC / LEG FAQ
What is the fundamental rating for LEG stock?
ChartMill assigns a fundamental rating of 4 / 10 to LEG.
What is the valuation status of LEGGETT & PLATT INC (LEG) stock?
ChartMill assigns a valuation rating of 6 / 10 to LEGGETT & PLATT INC (LEG). This can be considered as Fairly Valued.
Can you provide the profitability details for LEGGETT & PLATT INC?
LEGGETT & PLATT INC (LEG) has a profitability rating of 4 / 10.
What is the valuation of LEGGETT & PLATT INC based on its PE and PB ratios?
The Price/Earnings (PE) ratio for LEGGETT & PLATT INC (LEG) is 11.22 and the Price/Book (PB) ratio is 1.63.
What is the earnings growth outlook for LEGGETT & PLATT INC?
The Earnings per Share (EPS) of LEGGETT & PLATT INC (LEG) is expected to grow by 0.76% in the next year.