Leon's Furniture Limited, together with its subsidiaries, operates as a retailer of home furnishings, mattresses, appliances, and electronics in Canada.
Flawless balance sheet average dividend payer.
Share Price & News
How has Leon's Furniture's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: LNF has not had significant price volatility in the past 3 months.
7 Day Return
CA Specialty Retail
1 Year Return
CA Specialty Retail
Return vs Industry: LNF exceeded the Canadian Specialty Retail industry which returned -43.3% over the past year.
Return vs Market: LNF exceeded the Canadian Market which returned -22.9% over the past year.
Price Volatility Vs. Market
How volatile is Leon's Furniture's share price compared to the market and industry in the last 5 years?
Simply Wall St News
3 weeks ago | Simply Wall StShould You Take Comfort From Insider Transactions At Leon's Furniture Limited (TSE:LNF)?
1 month ago | Simply Wall StLeon's Furniture Limited (TSE:LNF)'s Could Be A Buy For Its Upcoming Dividend
1 month ago | Simply Wall StDoes Leon's Furniture Limited (TSE:LNF) Create Value For Shareholders?
Is Leon's Furniture undervalued compared to its fair value and its price relative to the market?
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: LNF (CA$13.92) is trading below our estimate of fair value (CA$33.19)
Significantly Below Fair Value: LNF is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: LNF is poor value based on its PE Ratio (10.1x) compared to the Specialty Retail industry average (9.8x).
PE vs Market: LNF is good value based on its PE Ratio (10.1x) compared to the Canadian market (10.5x).
Price to Earnings Growth Ratio
PEG Ratio: Insufficient data to calculate LNF's PEG Ratio to determine if it is good value.
Price to Book Ratio
PB vs Industry: LNF is overvalued based on its PB Ratio (1.2x) compared to the CA Specialty Retail industry average (0.9x).
How is Leon's Furniture forecast to perform in the next 1 to 3 years based on estimates from 2 analysts?
Forecasted annual revenue growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: Insufficient data to determine if LNF's forecast earnings growth is above the savings rate (1.4%).
Earnings vs Market: Insufficient data to determine if LNF's earnings are forecast to grow faster than the Canadian market
High Growth Earnings: Insufficient data to determine if earnings are expected to grow significantly over the next 3 years.
Revenue vs Market: LNF's revenue is expected to decline over the next 3 years (-0.5% per year).
High Growth Revenue: LNF's revenue is forecast to decline over the next 3 years (-0.5% per year).
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: Insufficient data to determine if LNF's Return on Equity is forecast to be high in 3 years time
How has Leon's Furniture performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: LNF has high quality earnings.
Growing Profit Margin: LNF's current net profit margins (4.7%) are lower than last year (5%).
Past Earnings Growth Analysis
Earnings Trend: LNF's earnings have grown by 9.5% per year over the past 5 years.
Accelerating Growth: LNF's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: LNF had negative earnings growth (-3.7%) over the past year, making it difficult to compare to the Specialty Retail industry average (-3.7%).
Return on Equity
High ROE: LNF's Return on Equity (11.7%) is considered low.
How is Leon's Furniture's financial position?
Financial Position Analysis
Short Term Liabilities: LNF's short term assets (CA$698.3M) exceed its short term liabilities (CA$571.0M).
Long Term Liabilities: LNF's short term assets (CA$698.3M) exceed its long term liabilities (CA$643.2M).
Debt to Equity History and Analysis
Debt Level: LNF's debt to equity ratio (15.7%) is considered satisfactory.
Reducing Debt: LNF's debt to equity ratio has reduced from 74.3% to 15.7% over the past 5 years.
Debt Coverage: LNF's debt is well covered by operating cash flow (163.1%).
Interest Coverage: LNF's interest payments on its debt are well covered by EBIT (6.7x coverage).
What is Leon's Furniture's current dividend yield, its reliability and sustainability?
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: LNF's dividend (4.6%) is higher than the bottom 25% of dividend payers in the Canadian market (2.68%).
High Dividend: LNF's dividend (4.6%) is low compared to the top 25% of dividend payers in the Canadian market (8.42%).
Stability and Growth of Payments
Stable Dividend: LNF's dividend payments have been volatile in the past 10 years.
Growing Dividend: LNF's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its reasonably low payout ratio (40.6%), LNF's dividend payments are well covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: LNF's dividends in 3 years are forecast to be well covered by earnings (48.9% payout ratio).
How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
Edward Leon (62yo)
Mr. Edward Florian Leon has been Chief Executive Officer at Leon's Furniture Ltd. since October 1, 2018. Mr. Leon has been President of Leon's Furniture Ltd. since June 17, 2015 and served as its Chief Ope ...
CEO Compensation Analysis
Compensation vs Market: Edward's total compensation ($USD1.83M) is about average for companies of similar size in the Canadian market ($USD1.67M).
Compensation vs Earnings: Edward's compensation has been consistent with company performance over the past year.
|CEO, President & Director||1.5yrs||CA$2.56m||0.37% CA$4.1m|
|Chief Financial Officer||2.25yrs||CA$857.85k||0.15% CA$1.7m|
|President of the Leon's Division||4.67yrs||CA$932.02k||0.061% CA$687.1k|
|President of the Brick Division||3.42yrs||CA$948.95k||0.075% CA$841.6k|
|Vice-President of Operations at The Brick Ltd||no data||CA$506.09k||0.23% CA$2.6m|
|VP of Legal & Corporate Secretary||4.67yrs||no data||0.071% CA$803.1k|
Experienced Management: LNF's management team is considered experienced (3.4 years average tenure).
|CEO, President & Director||1.5yrs||CA$2.56m||0.37% CA$4.1m|
|Independent Director||43.25yrs||CA$90.00k||no data|
|Independent Director||28.25yrs||CA$74.00k||0.0037% CA$41.7k|
|Vice Chairman||1.5yrs||CA$80.00k||1.36% CA$15.3m|
|Independent Director||12.25yrs||CA$90.00k||0.0056% CA$62.7k|
|Independent Director||16.25yrs||CA$90.00k||0.010% CA$115.1k|
|Independent Director||6.33yrs||CA$80.00k||no data|
Experienced Board: LNF's board of directors are seasoned and experienced ( 15.6 years average tenure).
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: LNF insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Leon's Furniture Limited's company bio, employee growth, exchange listings and data sources
- Name: Leon's Furniture Limited
- Ticker: LNF
- Exchange: TSX
- Founded: 1909
- Industry: Homefurnishing Retail
- Sector: Retail
- Market Cap: CA$1.125b
- Shares outstanding: 80.84m
- Website: https://www.leons.ca
Number of Employees
- Leon's Furniture Limited
- 45 Gordon Mackay Road
- M9N 3X3
|Ticker||Exchange||Primary Security||Security Type||Country||Currency||Listed on|
|LNF||TSX (The Toronto Stock Exchange)||Yes||Common Shares||CA||CAD||Jan 1975|
|LEFU.F||OTCPK (Pink Sheets LLC)||Yes||Common Shares||US||USD||Jan 1975|
Leon's Furniture Limited, together with its subsidiaries, operates as a retailer of home furnishings, mattresses, appliances, and electronics in Canada. The company also operates as a commercial retailer of appliances to builders, developers, hotels, and property management companies. In addition, it offers household furniture, electronics, home office products, and appliance repair services; and insurance products. The company sells its products through a network of retail stores under the Leon’s, The Brick, The Brick Outlet, and The Brick Mattress Store banners, as well as through Websites, including leons.ca, thebrick.com, and furniture.ca. As of December 31, 2019, it had 304 retail stores. Leon's Furniture Limited was founded in 1909 and is headquartered in Toronto, Canada.
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2020/04/08 01:01|
|End of Day Share Price||2020/04/07 00:00|
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.