LA-Z-BOY INC (LZB) Fundamental Analysis & Valuation
NYSE:LZB • US5053361078
Current stock price
34.74 USD
-0.47 (-1.33%)
At close:
34.74 USD
0 (0%)
After Hours:
This LZB fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.
1. LZB Profitability Analysis
1.1 Basic Checks
- LZB had positive earnings in the past year.
- In the past year LZB had a positive cash flow from operations.
- In the past 5 years LZB has always been profitable.
- Each year in the past 5 years LZB had a positive operating cash flow.
1.2 Ratios
- LZB has a Return On Assets (4.01%) which is comparable to the rest of the industry.
- The Return On Equity of LZB (8.02%) is comparable to the rest of the industry.
- LZB has a Return On Invested Capital (6.21%) which is in line with its industry peers.
- LZB had an Average Return On Invested Capital over the past 3 years of 8.59%. This is in line with the industry average of 8.88%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.01% | ||
| ROE | 8.02% | ||
| ROIC | 6.21% |
ROA(3y)6.55%
ROA(5y)6.68%
ROE(3y)12.66%
ROE(5y)14.05%
ROIC(3y)8.59%
ROIC(5y)9.19%
1.3 Margins
- Looking at the Profit Margin, with a value of 3.93%, LZB is in line with its industry, outperforming 51.67% of the companies in the same industry.
- LZB's Profit Margin has been stable in the last couple of years.
- LZB has a Operating Margin of 6.49%. This is comparable to the rest of the industry: LZB outperforms 51.67% of its industry peers.
- LZB's Operating Margin has declined in the last couple of years.
- LZB has a Gross Margin of 43.48%. This is amongst the best in the industry. LZB outperforms 81.67% of its industry peers.
- In the last couple of years the Gross Margin of LZB has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 6.49% | ||
| PM (TTM) | 3.93% | ||
| GM | 43.48% |
OM growth 3Y-5.45%
OM growth 5Y-2.81%
PM growth 3Y-9.48%
PM growth 5Y0.77%
GM growth 3Y4.16%
GM growth 5Y0.74%
2. LZB Health Analysis
2.1 Basic Checks
- With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), LZB is destroying value.
- The number of shares outstanding for LZB has been reduced compared to 1 year ago.
- Compared to 5 years ago, LZB has less shares outstanding
- Compared to 1 year ago, LZB has a worse debt to assets ratio.
2.2 Solvency
- LZB has an Altman-Z score of 2.66. This is not the best score and indicates that LZB is in the grey zone with still only limited risk for bankruptcy at the moment.
- LZB has a Altman-Z score of 2.66. This is comparable to the rest of the industry: LZB outperforms 41.67% of its industry peers.
- LZB has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | 2.66 |
ROIC/WACC0.63
WACC9.92%
2.3 Liquidity
- LZB has a Current Ratio of 1.66. This is a normal value and indicates that LZB is financially healthy and should not expect problems in meeting its short term obligations.
- With a Current ratio value of 1.66, LZB is not doing good in the industry: 78.33% of the companies in the same industry are doing better.
- A Quick Ratio of 1.18 indicates that LZB should not have too much problems paying its short term obligations.
- Looking at the Quick ratio, with a value of 1.18, LZB is in line with its industry, outperforming 51.67% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.66 | ||
| Quick Ratio | 1.18 |
3. LZB Growth Analysis
3.1 Past
- The earnings per share for LZB have decreased by -8.45% in the last year.
- Measured over the past 5 years, LZB shows a small growth in Earnings Per Share. The EPS has been growing by 6.39% on average per year.
- LZB shows a small growth in Revenue. In the last year, the Revenue has grown by 1.69%.
- The Revenue has been growing slightly by 4.36% on average over the past years.
EPS 1Y (TTM)-8.45%
EPS 3Y-2.07%
EPS 5Y6.39%
EPS Q2Q%-10.29%
Revenue 1Y (TTM)1.69%
Revenue growth 3Y-3.63%
Revenue growth 5Y4.36%
Sales Q2Q%3.8%
3.2 Future
- Based on estimates for the next years, LZB will show a small growth in Earnings Per Share. The EPS will grow by 6.20% on average per year.
- LZB is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 1.89% yearly.
EPS Next Y-9.34%
EPS Next 2Y1.3%
EPS Next 3Y4.28%
EPS Next 5Y6.2%
Revenue Next Year1.51%
Revenue Next 2Y1.8%
Revenue Next 3Y2.28%
Revenue Next 5Y1.89%
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 stable.
- The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. LZB Valuation Analysis
4.1 Price/Earnings Ratio
- The Price/Earnings ratio is 12.82, which indicates a correct valuation of LZB.
- Compared to the rest of the industry, the Price/Earnings ratio of LZB is on the same level as its industry peers.
- When comparing the Price/Earnings ratio of LZB to the average of the S&P500 Index (26.54), we can say LZB is valued rather cheaply.
- A Price/Forward Earnings ratio of 11.56 indicates a reasonable valuation of LZB.
- 63.33% of the companies in the same industry are more expensive than LZB, based on the Price/Forward Earnings ratio.
- When comparing the Price/Forward Earnings ratio of LZB to the average of the S&P500 Index (21.68), we can say LZB is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.82 | ||
| Fwd PE | 11.56 |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, LZB is valued cheaper than 81.67% of the companies in the same industry.
- Compared to the rest of the industry, the Price/Free Cash Flow ratio of LZB indicates a somewhat cheap valuation: LZB is cheaper than 76.67% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 8.99 | ||
| EV/EBITDA | 6.09 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)2.01
EPS Next 2Y1.3%
EPS Next 3Y4.28%
5. LZB Dividend Analysis
5.1 Amount
- LZB has a Yearly Dividend Yield of 2.70%.
- Compared to an average industry Dividend Yield of 1.30, LZB pays a better dividend. On top of this LZB pays more dividend than 86.67% of the companies listed in the same industry.
- LZB's Dividend Yield is a higher than the S&P500 average which is at 1.82.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.7% |
5.2 History
- The dividend of LZB is nicely growing with an annual growth rate of 9.12%!
- LZB has been paying a dividend for at least 10 years, so it has a reliable track record.
- LZB has not decreased its dividend in the past 5 years, so it has a somewhat stable track record.
Dividend Growth(5Y)9.12%
Div Incr Years5
Div Non Decr Years5
5.3 Sustainability
- LZB pays out 44.43% of its income as dividend. This is a bit on the high side, but may be sustainable.
- The dividend of LZB is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP44.43%
EPS Next 2Y1.3%
EPS Next 3Y4.28%
LZB Fundamentals: All Metrics, Ratios and Statistics
34.74
-0.47 (-1.33%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Durables & Apparel
GICS IndustryHousehold Durables
Industry Strength39.13
Industry Growth39.75
Earnings (Last)02-17 2026-02-17/amc
Earnings (Next)06-15 2026-06-15/amc
Inst Owners103.02%
Inst Owner Change-0.19%
Ins Owners2.62%
Ins Owner Change-0.04%
Market Cap1.42B
Revenue(TTM)2.13B
Net Income(TTM)83.64M
Analysts80
Price Target45.39 (30.66%)
Short Float %3.93%
Short Ratio3.74
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.7% |
Yearly Dividend0.84
Dividend Growth(5Y)9.12%
DP44.43%
Div Incr Years5
Div Non Decr Years5
Ex-Date03-03 2026-03-03 (0.242)
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)4.63%
Min EPS beat(2)-6.6%
Max EPS beat(2)15.87%
EPS beat(4)1
Avg EPS beat(4)-2.04%
Min EPS beat(4)-15.39%
Max EPS beat(4)15.87%
EPS beat(8)4
Avg EPS beat(8)4.69%
EPS beat(12)7
Avg EPS beat(12)7.87%
EPS beat(16)11
Avg EPS beat(16)12.65%
Revenue beat(2)1
Avg Revenue beat(2)-0.24%
Min Revenue beat(2)-0.98%
Max Revenue beat(2)0.49%
Revenue beat(4)2
Avg Revenue beat(4)-0.11%
Min Revenue beat(4)-1.35%
Max Revenue beat(4)1.39%
Revenue beat(8)6
Avg Revenue beat(8)1.24%
Revenue beat(12)9
Avg Revenue beat(12)0.85%
Revenue beat(16)13
Avg Revenue beat(16)1.63%
PT rev (1m)0%
PT rev (3m)4.71%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-16.17%
EPS NY rev (1m)0%
EPS NY rev (3m)-0.63%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-2.98%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.46%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.82 | ||
| Fwd PE | 11.56 | ||
| P/S | 0.67 | ||
| P/FCF | 8.99 | ||
| P/OCF | 5.98 | ||
| P/B | 1.36 | ||
| P/tB | 2.03 | ||
| EV/EBITDA | 6.09 |
EPS(TTM)2.71
EY7.8%
EPS(NY)3.01
Fwd EY8.65%
FCF(TTM)3.87
FCFY11.13%
OCF(TTM)5.81
OCFY16.72%
SpS51.98
BVpS25.48
TBVpS17.14
PEG (NY)N/A
PEG (5Y)2.01
Graham Number39.414 (13.45%)
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.01% | ||
| ROE | 8.02% | ||
| ROCE | 8.63% | ||
| ROIC | 6.21% | ||
| ROICexc | 7.69% | ||
| ROICexgc | 10.46% | ||
| OM | 6.49% | ||
| PM (TTM) | 3.93% | ||
| GM | 43.48% | ||
| FCFM | 7.44% |
ROA(3y)6.55%
ROA(5y)6.68%
ROE(3y)12.66%
ROE(5y)14.05%
ROIC(3y)8.59%
ROIC(5y)9.19%
ROICexc(3y)11.28%
ROICexc(5y)12.34%
ROICexgc(3y)14.64%
ROICexgc(5y)16.2%
ROCE(3y)11.95%
ROCE(5y)12.79%
ROICexgc growth 3Y-14.13%
ROICexgc growth 5Y-4.21%
ROICexc growth 3Y-13.73%
ROICexc growth 5Y-4.28%
OM growth 3Y-5.45%
OM growth 5Y-2.81%
PM growth 3Y-9.48%
PM growth 5Y0.77%
GM growth 3Y4.16%
GM growth 5Y0.74%
F-Score5
Asset Turnover1.02
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 168.14% | ||
| Cap/Sales | 3.74% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 128.24% | ||
| Profit Quality | 189.15% | ||
| Current Ratio | 1.66 | ||
| Quick Ratio | 1.18 | ||
| Altman-Z | 2.66 |
F-Score5
WACC9.92%
ROIC/WACC0.63
Cap/Depr(3y)146.87%
Cap/Depr(5y)149.65%
Cap/Sales(3y)3.02%
Cap/Sales(5y)2.9%
Profit Quality(3y)96.43%
Profit Quality(5y)109.29%
High Growth Momentum
Growth
EPS 1Y (TTM)-8.45%
EPS 3Y-2.07%
EPS 5Y6.39%
EPS Q2Q%-10.29%
EPS Next Y-9.34%
EPS Next 2Y1.3%
EPS Next 3Y4.28%
EPS Next 5Y6.2%
Revenue 1Y (TTM)1.69%
Revenue growth 3Y-3.63%
Revenue growth 5Y4.36%
Sales Q2Q%3.8%
Revenue Next Year1.51%
Revenue Next 2Y1.8%
Revenue Next 3Y2.28%
Revenue Next 5Y1.89%
EBIT growth 1Y-11.71%
EBIT growth 3Y-8.89%
EBIT growth 5Y1.43%
EBIT Next Year21.43%
EBIT Next 3Y12.21%
EBIT Next 5Y13.21%
FCF growth 1Y18.05%
FCF growth 3Y261.09%
FCF growth 5Y-0.9%
OCF growth 1Y29.56%
OCF growth 3Y33.34%
OCF growth 5Y2.66%
LA-Z-BOY INC / LZB Fundamental Analysis FAQ
Can you provide the ChartMill fundamental rating for LA-Z-BOY INC?
ChartMill assigns a fundamental rating of 5 / 10 to LZB.
What is the valuation status of LA-Z-BOY INC (LZB) stock?
ChartMill assigns a valuation rating of 5 / 10 to LA-Z-BOY INC (LZB). This can be considered as Fairly Valued.
Can you provide the profitability details for LA-Z-BOY INC?
LA-Z-BOY INC (LZB) has a profitability rating of 5 / 10.
Can you provide the financial health for LZB stock?
The financial health rating of LA-Z-BOY INC (LZB) is 6 / 10.
Can you provide the dividend sustainability for LZB stock?
The dividend rating of LA-Z-BOY INC (LZB) is 6 / 10 and the dividend payout ratio is 44.43%.