LEON'S FURNITURE LTD (LNF.CA) Stock Fundamental Analysis

TSX:LNF • CA5266821092

29.01 CAD
+0.15 (+0.52%)
Last: Feb 20, 2026, 07:00 PM
Fundamental Rating

6

LNF gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 18 industry peers in the Specialty Retail industry. While LNF has a great health rating, its profitability is only average at the moment. LNF has a decent growth rate and is not valued too expensively.


Dividend Valuation Growth Profitability Health

6

1. Profitability

1.1 Basic Checks

  • In the past year LNF was profitable.
  • In the past year LNF had a positive cash flow from operations.
  • In the past 5 years LNF has always been profitable.
  • LNF had a positive operating cash flow in each of the past 5 years.
LNF.CA Yearly Net Income VS EBIT VS OCF VS FCFLNF.CA Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 100M 200M 300M 400M 500M

1.2 Ratios

  • With a decent Return On Assets value of 7.15%, LNF is doing good in the industry, outperforming 66.67% of the companies in the same industry.
  • The Return On Equity of LNF (14.25%) is better than 66.67% of its industry peers.
  • LNF has a Return On Invested Capital of 9.15%. This is in the better half of the industry: LNF outperforms 66.67% of its industry peers.
  • The Average Return On Invested Capital over the past 3 years for LNF is in line with the industry average of 11.30%.
Industry RankSector Rank
ROA 7.15%
ROE 14.25%
ROIC 9.15%
ROA(3y)7%
ROA(5y)7.24%
ROE(3y)15.43%
ROE(5y)17.71%
ROIC(3y)9.82%
ROIC(5y)11.29%
LNF.CA Yearly ROA, ROE, ROICLNF.CA Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 2024 5 10 15 20 25

1.3 Margins

  • LNF's Profit Margin of 6.77% is in line compared to the rest of the industry. LNF outperforms 55.56% of its industry peers.
  • In the last couple of years the Profit Margin of LNF has grown nicely.
  • Looking at the Operating Margin, with a value of 8.58%, LNF is in line with its industry, outperforming 55.56% of the companies in the same industry.
  • LNF's Operating Margin has been stable in the last couple of years.
  • LNF has a better Gross Margin (45.03%) than 72.22% of its industry peers.
  • LNF's Gross Margin has been stable in the last couple of years.
Industry RankSector Rank
OM 8.58%
PM (TTM) 6.77%
GM 45.03%
OM growth 3Y-12.63%
OM growth 5Y1.03%
PM growth 3Y-9.31%
PM growth 5Y5.61%
GM growth 3Y0.22%
GM growth 5Y0.33%
LNF.CA Yearly Profit, Operating, Gross MarginsLNF.CA Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 2024 10 20 30 40

7

2. Health

2.1 Basic Checks

  • With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), LNF is creating some value.
  • The number of shares outstanding for LNF has been increased compared to 1 year ago.
  • LNF has less shares outstanding than it did 5 years ago.
  • The debt/assets ratio for LNF has been reduced compared to a year ago.
LNF.CA Yearly Shares OutstandingLNF.CA Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 2024 20M 40M 60M
LNF.CA Yearly Total Debt VS Total AssetsLNF.CA Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 2023 2024 500M 1B 1.5B 2B

2.2 Solvency

  • An Altman-Z score of 3.10 indicates that LNF is not in any danger for bankruptcy at the moment.
  • LNF has a better Altman-Z score (3.10) than 72.22% of its industry peers.
  • The Debt to FCF ratio of LNF is 1.88, which is an excellent value as it means it would take LNF, only 1.88 years of fcf income to pay off all of its debts.
  • Looking at the Debt to FCF ratio, with a value of 1.88, LNF belongs to the top of the industry, outperforming 83.33% of the companies in the same industry.
  • A Debt/Equity ratio of 0.32 indicates that LNF is not too dependend on debt financing.
  • The Debt to Equity ratio of LNF (0.32) is better than 83.33% of its industry peers.
Industry RankSector Rank
Debt/Equity 0.32
Debt/FCF 1.88
Altman-Z 3.1
ROIC/WACC1.03
WACC8.86%
LNF.CA Yearly LT Debt VS Equity VS FCFLNF.CA Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 200M 400M 600M 800M 1B

2.3 Liquidity

  • A Current Ratio of 1.57 indicates that LNF should not have too much problems paying its short term obligations.
  • Looking at the Current ratio, with a value of 1.57, LNF belongs to the top of the industry, outperforming 83.33% of the companies in the same industry.
  • A Quick Ratio of 0.90 indicates that LNF may have some problems paying its short term obligations.
  • LNF has a Quick ratio of 0.90. This is in the better half of the industry: LNF outperforms 77.78% of its industry peers.
Industry RankSector Rank
Current Ratio 1.57
Quick Ratio 0.9
LNF.CA Yearly Current Assets VS Current LiabilitesLNF.CA Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 2023 2024 200M 400M 600M 800M 1B

5

3. Growth

3.1 Past

  • The Earnings Per Share has grown by an impressive 33.50% over the past year.
  • The Earnings Per Share has been growing by 9.92% on average over the past years. This is quite good.
  • The Revenue has been growing slightly by 1.99% in the past year.
  • LNF shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 1.82% yearly.
EPS 1Y (TTM)33.5%
EPS 3Y-4.99%
EPS 5Y9.92%
EPS Q2Q%35.19%
Revenue 1Y (TTM)1.99%
Revenue growth 3Y-0.19%
Revenue growth 5Y1.82%
Sales Q2Q%4.1%

3.2 Future

  • Based on estimates for the next years, LNF will show a small growth in Earnings Per Share. The EPS will grow by 4.99% on average per year.
  • Based on estimates for the next years, LNF will show a small growth in Revenue. The Revenue will grow by 2.50% on average per year.
EPS Next Y4.77%
EPS Next 2Y4.15%
EPS Next 3Y4.99%
EPS Next 5YN/A
Revenue Next Year3.15%
Revenue Next 2Y2.63%
Revenue Next 3Y2.5%
Revenue Next 5YN/A

3.3 Evolution

  • The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
  • The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
LNF.CA Yearly Revenue VS EstimatesLNF.CA Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 500M 1B 1.5B 2B 2.5B
LNF.CA Yearly EPS VS EstimatesLNF.CA Yearly EPS VS EstimatesYearly EPS VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 0.5 1 1.5 2 2.5

6

4. Valuation

4.1 Price/Earnings Ratio

  • With a Price/Earnings ratio of 11.03, the valuation of LNF can be described as very reasonable.
  • Based on the Price/Earnings ratio, LNF is valued cheaper than 83.33% of the companies in the same industry.
  • The average S&P500 Price/Earnings ratio is at 26.99. LNF is valued rather cheaply when compared to this.
  • The Price/Forward Earnings ratio is 11.99, which indicates a very decent valuation of LNF.
  • LNF's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. LNF is cheaper than 77.78% of the companies in the same industry.
  • LNF's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 28.06.
Industry RankSector Rank
PE 11.03
Fwd PE 11.99
LNF.CA Price Earnings VS Forward Price EarningsLNF.CA Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 20 40 60

4.2 Price Multiples

  • Based on the Enterprise Value to EBITDA ratio, LNF is valued a bit cheaper than 61.11% of the companies in the same industry.
  • 66.67% of the companies in the same industry are more expensive than LNF, based on the Price/Free Cash Flow ratio.
Industry RankSector Rank
P/FCF 7.81
EV/EBITDA 5.92
LNF.CA Per share dataLNF.CA EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 10 20 30

4.3 Compensation for Growth

  • The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
  • LNF has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)2.31
PEG (5Y)1.11
EPS Next 2Y4.15%
EPS Next 3Y4.99%

6

5. Dividend

5.1 Amount

  • LNF has a Yearly Dividend Yield of 3.53%. Purely for dividend investing, there may be better candidates out there.
  • Compared to an average industry Dividend Yield of 1.59, LNF pays a better dividend. On top of this LNF pays more dividend than 88.89% of the companies listed in the same industry.
  • LNF's Dividend Yield is rather good when compared to the S&P500 average which is at 1.85.
Industry RankSector Rank
Dividend Yield 3.53%

5.2 History

  • The dividend of LNF has a limited annual growth rate of 5.74%.
  • LNF has been paying a dividend for at least 10 years, so it has a reliable track record.
  • The dividend of LNF decreased in the last 3 years.
Dividend Growth(5Y)5.74%
Div Incr Years2
Div Non Decr Years2
LNF.CA Yearly Dividends per shareLNF.CA Yearly Dividends per shareYearly Dividends per share 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0.5 1 1.5

5.3 Sustainability

  • LNF pays out 31.00% of its income as dividend. This is a sustainable payout ratio.
  • The dividend of LNF is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP31%
EPS Next 2Y4.15%
EPS Next 3Y4.99%
LNF.CA Yearly Income VS Free CF VS DividendLNF.CA Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 100M 200M 300M 400M
LNF.CA Dividend Payout.LNF.CA Dividend Payout, showing the Payout Ratio.LNF.CA Dividend Payout.PayoutRetained Earnings

LEON'S FURNITURE LTD

TSX:LNF (2/20/2026, 7:00:00 PM)

29.01

+0.15 (+0.52%)

Chartmill FA Rating
GICS IndustryGroupConsumer Discretionary Distribution & Retail
GICS IndustrySpecialty Retail
Earnings (Last)11-06
Earnings (Next)02-25
Inst Owners6.1%
Inst Owner ChangeN/A
Ins Owners3.37%
Ins Owner ChangeN/A
Market Cap2.00B
Revenue(TTM)2.57B
Net Income(TTM)173.99M
Analysts74.55
Price Target34.64 (19.41%)
Short Float %N/A
Short RatioN/A
Dividend
Industry RankSector Rank
Dividend Yield 3.53%
Yearly Dividend0.74
Dividend Growth(5Y)5.74%
DP31%
Div Incr Years2
Div Non Decr Years2
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)20.27%
Min EPS beat(2)17.84%
Max EPS beat(2)22.69%
EPS beat(4)4
Avg EPS beat(4)32.62%
Min EPS beat(4)17.84%
Max EPS beat(4)55.17%
EPS beat(8)7
Avg EPS beat(8)22.53%
EPS beat(12)8
Avg EPS beat(12)9.79%
EPS beat(16)10
Avg EPS beat(16)11.52%
Revenue beat(2)1
Avg Revenue beat(2)0.76%
Min Revenue beat(2)-0.08%
Max Revenue beat(2)1.6%
Revenue beat(4)2
Avg Revenue beat(4)0.51%
Min Revenue beat(4)-2.95%
Max Revenue beat(4)3.5%
Revenue beat(8)4
Avg Revenue beat(8)0.06%
Revenue beat(12)4
Avg Revenue beat(12)-1.11%
Revenue beat(16)5
Avg Revenue beat(16)-0.37%
PT rev (1m)0%
PT rev (3m)1.28%
EPS NQ rev (1m)-0.86%
EPS NQ rev (3m)-2%
EPS NY rev (1m)-0.72%
EPS NY rev (3m)0.58%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-0.9%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.04%
Valuation
Industry RankSector Rank
PE 11.03
Fwd PE 11.99
P/S 0.78
P/FCF 7.81
P/OCF 6.78
P/B 1.63
P/tB 3.56
EV/EBITDA 5.92
EPS(TTM)2.63
EY9.07%
EPS(NY)2.42
Fwd EY8.34%
FCF(TTM)3.71
FCFY12.81%
OCF(TTM)4.28
OCFY14.76%
SpS37.34
BVpS17.75
TBVpS8.15
PEG (NY)2.31
PEG (5Y)1.11
Graham Number32.41
Profitability
Industry RankSector Rank
ROA 7.15%
ROE 14.25%
ROCE 12.11%
ROIC 9.15%
ROICexc 11.42%
ROICexgc 20.86%
OM 8.58%
PM (TTM) 6.77%
GM 45.03%
FCFM 9.95%
ROA(3y)7%
ROA(5y)7.24%
ROE(3y)15.43%
ROE(5y)17.71%
ROIC(3y)9.82%
ROIC(5y)11.29%
ROICexc(3y)11.56%
ROICexc(5y)15.42%
ROICexgc(3y)22.28%
ROICexgc(5y)62.58%
ROCE(3y)12.98%
ROCE(5y)14.93%
ROICexgc growth 3Y-53.9%
ROICexgc growth 5Y2.49%
ROICexc growth 3Y-28.04%
ROICexc growth 5Y2.69%
OM growth 3Y-12.63%
OM growth 5Y1.03%
PM growth 3Y-9.31%
PM growth 5Y5.61%
GM growth 3Y0.22%
GM growth 5Y0.33%
F-Score6
Asset Turnover1.05
Health
Industry RankSector Rank
Debt/Equity 0.32
Debt/FCF 1.88
Debt/EBITDA 1.2
Cap/Depr 35.8%
Cap/Sales 1.52%
Interest Coverage 9.57
Cash Conversion 89.45%
Profit Quality 146.89%
Current Ratio 1.57
Quick Ratio 0.9
Altman-Z 3.1
F-Score6
WACC8.86%
ROIC/WACC1.03
Cap/Depr(3y)40.93%
Cap/Depr(5y)35.48%
Cap/Sales(3y)1.77%
Cap/Sales(5y)1.59%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)33.5%
EPS 3Y-4.99%
EPS 5Y9.92%
EPS Q2Q%35.19%
EPS Next Y4.77%
EPS Next 2Y4.15%
EPS Next 3Y4.99%
EPS Next 5YN/A
Revenue 1Y (TTM)1.99%
Revenue growth 3Y-0.19%
Revenue growth 5Y1.82%
Sales Q2Q%4.1%
Revenue Next Year3.15%
Revenue Next 2Y2.63%
Revenue Next 3Y2.5%
Revenue Next 5YN/A
EBIT growth 1Y15.8%
EBIT growth 3Y-12.8%
EBIT growth 5Y2.87%
EBIT Next Year68.3%
EBIT Next 3Y21.06%
EBIT Next 5Y12.37%
FCF growth 1Y16.61%
FCF growth 3Y-1.39%
FCF growth 5Y7.31%
OCF growth 1Y11.55%
OCF growth 3Y3.21%
OCF growth 5Y8.02%

LEON'S FURNITURE LTD / LNF.CA FAQ

What is the ChartMill fundamental rating of LEON'S FURNITURE LTD (LNF.CA) stock?

ChartMill assigns a fundamental rating of 6 / 10 to LNF.CA.


Can you provide the valuation status for LEON'S FURNITURE LTD?

ChartMill assigns a valuation rating of 6 / 10 to LEON'S FURNITURE LTD (LNF.CA). This can be considered as Fairly Valued.


How profitable is LEON'S FURNITURE LTD (LNF.CA) stock?

LEON'S FURNITURE LTD (LNF.CA) has a profitability rating of 6 / 10.


What is the valuation of LEON'S FURNITURE LTD based on its PE and PB ratios?

The Price/Earnings (PE) ratio for LEON'S FURNITURE LTD (LNF.CA) is 11.03 and the Price/Book (PB) ratio is 1.63.


Can you provide the dividend sustainability for LNF stock?

The dividend rating of LEON'S FURNITURE LTD (LNF.CA) is 6 / 10 and the dividend payout ratio is 31%.