Leggett & Platt
Market Cap
US$6.2b
Last Updated
2021/09/18 22:02 UTC
Data Sources
Company Financials +
Executive Summary
Leggett & Platt, Incorporated designs, manufactures, and markets engineered components and products worldwide. More Details
Rewards
Risk Analysis
Snowflake Analysis
6 star dividend payer with proven track record.
Similar Companies
Share Price & News
How has Leggett & Platt's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: LEG is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 3% a week.
Volatility Over Time: LEG's weekly volatility (3%) has been stable over the past year.
Market Performance
7 Day Return
-1.1%
LEG
-0.8%
US Consumer Durables
-0.6%
US Market
1 Year Return
4.7%
LEG
36.8%
US Consumer Durables
33.8%
US Market
Return vs Industry: LEG underperformed the US Consumer Durables industry which returned 36.8% over the past year.
Return vs Market: LEG underperformed the US Market which returned 33.8% over the past year.
Shareholder returns
| LEG | Industry | Market | |
|---|---|---|---|
| 7 Day | -1.1% | -0.8% | -0.6% |
| 30 Day | -1.6% | -0.7% | 1.6% |
| 90 Day | -5.7% | 3.3% | 4.6% |
| 1 Year | 8.4%4.7% | 38.3%36.8% | 35.8%33.8% |
| 3 Year | 13.4%1.1% | 89.3%81.9% | 60.0%50.1% |
| 5 Year | 13.1%-5.1% | 101.9%86.3% | 123.0%98.7% |
Long-Term Price Volatility Vs. Market
How volatile is Leggett & Platt's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 week ago | Simply Wall St
Should Income Investors Look At Leggett & Platt, Incorporated (NYSE:LEG) Before Its Ex-Dividend?1 week ago | Simply Wall St
Insiders at Leggett & Platt, Incorporated (NYSE:LEG) sold US$2.1m worth of stock, possibly indicating weakness in the future3 weeks ago | Simply Wall St
Is It Time To Consider Buying Leggett & Platt, Incorporated (NYSE:LEG)?Valuation
Is Leggett & Platt undervalued compared to its fair value and its price relative to the market?
27.5%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: LEG ($46.16) is trading below our estimate of fair value ($63.69)
Significantly Below Fair Value: LEG is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: LEG is poor value based on its PE Ratio (15x) compared to the US Consumer Durables industry average (11x).
PE vs Market: LEG is good value based on its PE Ratio (15x) compared to the US market (17.8x).
Price to Earnings Growth Ratio
PEG Ratio: LEG is poor value based on its PEG Ratio (2.7x)
Price to Book Ratio
PB vs Industry: LEG is overvalued based on its PB Ratio (4x) compared to the US Consumer Durables industry average (2x).
Future Growth
How is Leggett & Platt forecast to perform in the next 1 to 3 years based on estimates from 4 analysts?
5.6%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: LEG's forecast earnings growth (5.6% per year) is above the savings rate (2%).
Earnings vs Market: LEG's earnings (5.6% per year) are forecast to grow slower than the US market (14.9% per year).
High Growth Earnings: LEG's earnings are forecast to grow, but not significantly.
Revenue vs Market: LEG's revenue (3.8% per year) is forecast to grow slower than the US market (9.8% per year).
High Growth Revenue: LEG's revenue (3.8% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: Insufficient data to determine if LEG's Return on Equity is forecast to be high in 3 years time
Past Performance
How has Leggett & Platt performed over the past 5 years?
-4.6%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: LEG has high quality earnings.
Growing Profit Margin: LEG's current net profit margins (8.5%) are higher than last year (5.2%).
Past Earnings Growth Analysis
Earnings Trend: LEG's earnings have declined by 4.6% per year over the past 5 years.
Accelerating Growth: LEG's earnings growth over the past year (82.4%) exceeds its 5-year average (-4.6% per year).
Earnings vs Industry: LEG earnings growth over the past year (82.4%) exceeded the Consumer Durables industry 71.4%.
Return on Equity
High ROE: Whilst LEG's Return on Equity (26.66%) is high, this metric is skewed due to their high level of debt.
Financial Health
How is Leggett & Platt's financial position?
Financial Position Analysis
Short Term Liabilities: LEG's short term assets ($1.9B) exceed its short term liabilities ($1.1B).
Long Term Liabilities: LEG's short term assets ($1.9B) do not cover its long term liabilities ($2.5B).
Debt to Equity History and Analysis
Debt Level: LEG's debt to equity ratio (131.9%) is considered high.
Reducing Debt: LEG's debt to equity ratio has increased from 98.3% to 131.9% over the past 5 years.
Debt Coverage: LEG's debt is well covered by operating cash flow (25.2%).
Interest Coverage: LEG's interest payments on its debt are well covered by EBIT (7.3x coverage).
Balance Sheet
Dividend
What is Leggett & Platt current dividend yield, its reliability and sustainability?
3.64%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: LEG's dividend (3.64%) is higher than the bottom 25% of dividend payers in the US market (1.33%).
High Dividend: LEG's dividend (3.64%) is in the top 25% of dividend payers in the US market (3.6%)
Stability and Growth of Payments
Stable Dividend: LEG's dividends per share have been stable in the past 10 years.
Growing Dividend: LEG's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its reasonable payout ratio (53.8%), LEG's dividend payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: LEG's dividends in 3 years are forecast to be covered by earnings (54.1% payout ratio).
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
1.9yrs
Average management tenure
CEO
Karl Glassman (63 yo)
5.67yrs
Tenure
US$8,742,815
Compensation
Mr. Karl G. Glassman has been the Chief Executive Officer of Leggett & Platt, Incorporated since January 1, 2016, and its Chairman since January 1, 2020. Mr. Glassman served as President of Leggett & Platt...
CEO Compensation Analysis
Compensation vs Market: Karl's total compensation ($USD8.74M) is above average for companies of similar size in the US market ($USD6.44M).
Compensation vs Earnings: Karl's compensation has been consistent with company performance over the past year.
Leadership Team
Experienced Management: LEG's management team is not considered experienced ( 1.9 years average tenure), which suggests a new team.
Board Members
Experienced Board: LEG's board of directors are not considered experienced ( 2.3 years average tenure), which suggests a new board.
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Top Shareholders
Company Information
Leggett & Platt, Incorporated's company bio, employee growth, exchange listings and data sources
Key Information
- Name: Leggett & Platt, Incorporated
- Ticker: LEG
- Exchange: NYSE
- Founded: 1883
- Industry: Home Furnishings
- Sector: Consumer Durables
- Market Cap: US$6.153b
- Shares outstanding: 133.30m
- Website: https://www.leggett.com
Number of Employees
Location
- Leggett & Platt, Incorporated
- No. 1 Leggett Road
- Carthage
- Missouri
- 64836
- United States
Listings
Biography
Leggett & Platt, Incorporated designs, manufactures, and markets engineered components and products worldwide. It operates through three segments: Bedding Products; Specialized Products; and Furniture, Flo...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2021/09/18 22:02 |
| End of Day Share Price | 2021/09/17 00:00 |
| Earnings | 2021/06/30 |
| Annual Earnings | 2020/12/31 |
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.