LEGGETT & PLATT INC (LEG) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:LEG - US5246601075 - Common Stock
11.17 USD
-0.23 (-2.02%)
11.17 USD
0 (0%)
LEG gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 61 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 on the other hand it scores bad on growth.
1. Profitability
1.1 Basic Checks
LEG had positive earnings in the past year.
LEG had a positive operating cash flow in the past year.
The reported net income has been mixed in the past 5 years: LEG reported negative net income in multiple years.
In the past 5 years LEG always reported a positive cash flow from operatings.
1.2 Ratios
The Return On Assets of LEG (6.37%) is comparable to the rest of the industry.
LEG has a Return On Equity of 23.09%. This is amongst the best in the industry. LEG outperforms 93.44% of its industry peers.
With a Return On Invested Capital value of 7.58%, LEG perfoms like the industry average, outperforming 54.10% of the companies in the same industry.
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 9.75%.
| 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's Profit Margin of 5.38% is fine compared to the rest of the industry. LEG outperforms 60.66% of its industry peers.
With a Operating Margin value of 6.28%, LEG perfoms like the industry average, outperforming 44.26% of the companies in the same industry.
LEG's Operating Margin has declined in the last couple of years.
The Gross Margin of LEG (18.28%) is worse than 81.97% 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
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), LEG is creating some value.
Compared to 1 year ago, LEG has more shares outstanding
The number of shares outstanding for LEG has been increased compared to 5 years ago.
Compared to 1 year ago, LEG has a worse debt to assets ratio.
2.2 Solvency
An Altman-Z score of 3.00 indicates that LEG is not in any danger for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 3.00, LEG is in line with its industry, outperforming 47.54% of the companies in the same industry.
LEG has a debt to FCF ratio of 5.35. This is a neutral value as LEG would need 5.35 years to pay back of all of its debts.
With a Debt to FCF ratio value of 5.35, LEG perfoms like the industry average, outperforming 55.74% of the companies in the same industry.
LEG has a Debt/Equity ratio of 1.54. This is a high value indicating a heavy dependency on external financing.
LEG has a worse Debt to Equity ratio (1.54) than 83.61% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.54 | ||
| Debt/FCF | 5.35 | ||
| Altman-Z | 3 |
ROIC/WACC0.97
WACC7.79%
2.3 Liquidity
A Current Ratio of 2.15 indicates that LEG has no problem at all paying its short term obligations.
LEG has a Current ratio (2.15) which is comparable to the rest of the industry.
A Quick Ratio of 1.35 indicates that LEG should not have too much problems paying its short term obligations.
LEG has a better Quick ratio (1.35) than 63.93% 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%.
The earnings per share for LEG have been decreasing by -16.39% on average. This is quite bad
The Revenue has decreased by -6.06% in the past year.
The Revenue has been decreasing by -1.60% on average over the past years.
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 Y1%
EPS Next 2Y2.28%
EPS Next 3Y5.09%
EPS Next 5Y7.17%
Revenue Next Year-6.87%
Revenue Next 2Y-5.33%
Revenue Next 3Y-2.2%
Revenue Next 5Y-0.23%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
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
With a Price/Earnings ratio of 10.74, the valuation of LEG can be described as very reasonable.
LEG's Price/Earnings ratio is a bit cheaper when compared to the industry. LEG is cheaper than 62.30% of the companies in the same industry.
When comparing the Price/Earnings ratio of LEG to the average of the S&P500 Index (26.41), we can say LEG is valued rather cheaply.
LEG is valuated reasonably with a Price/Forward Earnings ratio of 10.17.
Based on the Price/Forward Earnings ratio, LEG is valued a bit cheaper than 73.77% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 35.40. LEG is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.74 | ||
| Fwd PE | 10.17 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of LEG indicates a somewhat cheap valuation: LEG is cheaper than 72.13% of the companies listed in the same industry.
88.52% of the companies in the same industry are more expensive than LEG, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 5.41 | ||
| EV/EBITDA | 6.67 |
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)10.74
PEG (5Y)N/A
EPS Next 2Y2.28%
EPS Next 3Y5.09%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 1.97%, LEG has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 3.10, LEG pays a better dividend. On top of this LEG pays more dividend than 80.33% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.32, LEG has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.97% |
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
LEG pays out 11.94% of its income as dividend. This is a sustainable payout ratio.
DP11.94%
EPS Next 2Y2.28%
EPS Next 3Y5.09%
11.17
-0.23 (-2.02%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Durables & Apparel
GICS IndustryHousehold Durables
Earnings (Last)
Earnings (Next)
Inst Owners86.32%
Inst Owner Change-2.38%
Ins Owners0.89%
Ins Owner Change-7.99%
Market Cap1.51B
Revenue(TTM)4.17B
Net Income(TTM)224.40M
Analysts49.09
Price Target11.22 (0.45%)
Short Float %6.59%
Short Ratio4.72
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.97% |
Yearly Dividend1.02
Dividend Growth(5Y)-8.18%
DP11.94%
Div Incr Years0
Div Non Decr Years0
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-1.8%
Min EPS beat(2)-2.61%
Max EPS beat(2)-0.99%
EPS beat(4)2
Avg EPS beat(4)2.08%
Min EPS beat(4)-2.61%
Max EPS beat(4)9.25%
EPS beat(8)2
Avg EPS beat(8)-1.02%
EPS beat(12)3
Avg EPS beat(12)0.68%
EPS beat(16)6
Avg EPS beat(16)2.04%
Revenue beat(2)1
Avg Revenue beat(2)-0.54%
Min Revenue beat(2)-1.12%
Max Revenue beat(2)0.04%
Revenue beat(4)2
Avg Revenue beat(4)-0.02%
Min Revenue beat(4)-1.12%
Max Revenue beat(4)1.77%
Revenue beat(8)2
Avg Revenue beat(8)-0.76%
Revenue beat(12)3
Avg Revenue beat(12)-1.51%
Revenue beat(16)6
Avg Revenue beat(16)-0.51%
PT rev (1m)13.79%
PT rev (3m)10%
EPS NQ rev (1m)2.17%
EPS NQ rev (3m)1.08%
EPS NY rev (1m)-0.24%
EPS NY rev (3m)-2.33%
Revenue NQ rev (1m)-3.29%
Revenue NQ rev (3m)-4.57%
Revenue NY rev (1m)-0.87%
Revenue NY rev (3m)-1.28%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.74 | ||
| Fwd PE | 10.17 | ||
| P/S | 0.36 | ||
| P/FCF | 5.41 | ||
| P/OCF | 4.46 | ||
| P/B | 1.56 | ||
| P/tB | 11.78 | ||
| EV/EBITDA | 6.67 |
EPS(TTM)1.04
EY9.31%
EPS(NY)1.1
Fwd EY9.83%
FCF(TTM)2.06
FCFY18.48%
OCF(TTM)2.5
OCFY22.41%
SpS30.81
BVpS7.18
TBVpS0.95
PEG (NY)10.74
PEG (5Y)N/A
Graham Number12.96
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.37% | ||
| ROE | 23.09% | ||
| ROCE | 9.59% | ||
| ROIC | 7.58% | ||
| ROICexc | 9.11% | ||
| ROICexgc | 14.5% | ||
| OM | 6.28% | ||
| PM (TTM) | 5.38% | ||
| GM | 18.28% | ||
| FCFM | 6.7% |
ROA(3y)-3.65%
ROA(5y)0.38%
ROE(3y)-21.86%
ROE(5y)-4.68%
ROIC(3y)8%
ROIC(5y)8.74%
ROICexc(3y)8.89%
ROICexc(5y)9.67%
ROICexgc(3y)18.06%
ROICexgc(5y)21.73%
ROCE(3y)10.16%
ROCE(5y)11.09%
ROICexgc growth 3Y-24.14%
ROICexgc growth 5Y-12.98%
ROICexc growth 3Y-12.28%
ROICexc growth 5Y-5.12%
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%
F-Score8
Asset Turnover1.18
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.54 | ||
| Debt/FCF | 5.35 | ||
| Debt/EBITDA | 3.87 | ||
| Cap/Depr | 47.6% | ||
| Cap/Sales | 1.42% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 87.66% | ||
| Profit Quality | 124.6% | ||
| Current Ratio | 2.15 | ||
| Quick Ratio | 1.35 | ||
| Altman-Z | 3 |
F-Score8
WACC7.79%
ROIC/WACC0.97
Cap/Depr(3y)59.68%
Cap/Depr(5y)54.18%
Cap/Sales(3y)2.07%
Cap/Sales(5y)1.97%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-5.45%
EPS 3Y-27.71%
EPS 5Y-16.39%
EPS Q2Q%-9.38%
EPS Next Y1%
EPS Next 2Y2.28%
EPS Next 3Y5.09%
EPS Next 5Y7.17%
Revenue 1Y (TTM)-6.06%
Revenue growth 3Y-4.75%
Revenue growth 5Y-1.6%
Sales Q2Q%-5.93%
Revenue Next Year-6.87%
Revenue Next 2Y-5.33%
Revenue Next 3Y-2.2%
Revenue Next 5Y-0.23%
EBIT growth 1Y-1.06%
EBIT growth 3Y-22.65%
EBIT growth 5Y-12.17%
EBIT Next Year50.24%
EBIT Next 3Y19.56%
EBIT Next 5Y11.08%
FCF growth 1Y-40.89%
FCF growth 3Y10.81%
FCF growth 5Y-15.65%
OCF growth 1Y-43.33%
OCF growth 3Y4.06%
OCF growth 5Y-14.47%
LEGGETT & PLATT INC / LEG FAQ
What is the fundamental rating for LEG stock?
ChartMill assigns a fundamental rating of 4 / 10 to LEG.
Can you provide the valuation status for LEGGETT & PLATT INC?
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.
Can you provide the expected EPS growth for LEG stock?
The Earnings per Share (EPS) of LEGGETT & PLATT INC (LEG) is expected to grow by 1% in the next year.
Can you provide the dividend sustainability for LEG stock?
The dividend rating of LEGGETT & PLATT INC (LEG) is 5 / 10 and the dividend payout ratio is 11.94%.