NYSE:LZB

Stock Analysis Report

Executive Summary

La-Z-Boy Incorporated manufactures, markets, imports, exports, distributes, and retails upholstery furniture products, accessories, and casegoods furniture products in the United States, Canada, and internationally.

Snowflake

Fundamentals

Flawless balance sheet average dividend payer.


Similar Companies

Share Price & News

How has La-Z-Boy's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

-2.4%

LZB

-1.3%

US Consumer Durables

-0.6%

US Market


1 Year Return

0.4%

LZB

12.7%

US Consumer Durables

0.7%

US Market

LZB underperformed the Consumer Durables industry which returned 12.7% over the past year.

LZB matched the United States of America Market (0.6%) over the past year.


Share holder returns

LZBIndustryMarket
7 Day-2.4%-1.3%-0.6%
30 Day2.5%1.3%2.9%
90 Day4.3%4.5%1.3%
1 Year2.1%0.4%14.2%12.7%2.9%0.7%
3 Year30.2%24.1%44.1%39.8%44.6%35.2%
5 Year71.0%58.5%37.0%28.6%61.9%44.2%

Price Volatility Vs. Market

How volatile is La-Z-Boy's share price compared to the market and industry in the last 5 years?


Simply Wall St News

2 weeks ago | Simply Wall St

Does La-Z-Boy Incorporated’s (NYSE:LZB) ROCE Reflect Well On The Business?

Valuation

Is La-Z-Boy undervalued based on future cash flows and its price relative to the stock market?

22.22x

Price to Earnings (PE) ratio


Intrinsic Value Based on Future Cash Flows

La-Z-Boy's share price is above the future cash flow value, it's not available at a moderate discount (< 20%).

La-Z-Boy's share price is above the future cash flow value, it's not available at a substantial discount (< 40%).


Price Based on Earnings

La-Z-Boy is overvalued based on earnings compared to the US Consumer Durables industry average.

La-Z-Boy is overvalued based on earnings compared to the United States of America market.


Price Based on Expected Growth

La-Z-Boy is poor value based on expected growth next year.


Price Based on Value of Assets

La-Z-Boy is overvalued based on assets compared to the US Consumer Durables industry average.


Next Steps

Future Growth

How is La-Z-Boy expected to perform in the next 1 to 3 years based on estimates from 4 analysts?

12.2%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

La-Z-Boy's revenue is expected to grow by 3.9% yearly, however this is not considered high growth (20% yearly).

La-Z-Boy's earnings are expected to grow by 12.2% yearly, however this is not considered high growth (20% yearly).

La-Z-Boy's revenue growth is positive but not above the United States of America market average.

La-Z-Boy's earnings growth is positive but not above the United States of America market average.

La-Z-Boy's earnings growth is expected to exceed the low risk savings rate of 2.7%.


Earnings per Share Growth Estimates


Future Return on Equity

La-Z-Boy is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).


Next Steps

Past Performance

How has La-Z-Boy performed over the past 5 years?

5.1%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

La-Z-Boy's year on year earnings growth rate has been positive over the past 5 years, however the most recent earnings are below average.

La-Z-Boy's 1-year earnings growth is negative, it can't be compared to the 5-year average.

La-Z-Boy's 1-year earnings growth is negative, it can't be compared to the US Consumer Durables industry average.


Return on Equity

La-Z-Boy has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).


Return on Assets

La-Z-Boy used its assets less efficiently than the US Consumer Durables industry average last year based on Return on Assets.


Return on Capital Employed

La-Z-Boy's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).


Next Steps

Financial Health

How is La-Z-Boy's financial position?


Financial Position Analysis

La-Z-Boy is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.

La-Z-Boy's cash and other short term assets cover its long term commitments.


Debt to Equity History and Analysis

La-Z-Boy has no debt.

La-Z-Boy had no debt 5 years ago.

La-Z-Boy has no debt, it does not need to be covered by operating cash flow.

La-Z-Boy has no debt, therefore coverage of interest payments is not a concern.


Balance Sheet

High level of physical assets or inventory.

La-Z-Boy has no debt, it does not need to be covered by short term assets.


Next Steps

Dividend

What is La-Z-Boy's current dividend yield, its reliability and sustainability?

2.23%

Expected Dividend Yield


Dividend Yield and Payments Analysis

La-Z-Boy's pays a higher dividend yield than the bottom 25% of dividend payers in United States of America (1.44%).

La-Z-Boy's dividend is below the markets top 25% of dividend payers in United States of America (3.71%).

Dividends per share have been volatile in the past 10 years (annual drop of over 20%).

Dividends per share have increased over the past 10 years.


Current Payout to Shareholders

Dividends paid are well covered by earnings (2.9x coverage).


Future Payout to Shareholders

Dividends after 3 years are expected to be well covered by earnings (3.9x coverage).


Next Steps

Management

What is the CEO of La-Z-Boy's salary, the management and board of directors tenure and is there insider trading?

2.2yrs

Average management tenure


CEO

Kurt Darrow (64yo)

16yrs

Tenure

US$6,561,010

Compensation

Mr. Kurt L. Darrow has been the President and Chief Executive Officer at La-Z-Boy Inc. since September 9, 2003. Mr. Darrow served as the President of La-Z-Boy Residential, flagship brand and largest divisi ...


CEO Compensation Analysis

Kurt's remuneration is higher than average for companies of similar size in United States of America.

Kurt's compensation has increased by more than 20% whilst company earnings have fallen more than 20% in the past year.


Management Age and Tenure

2.2yrs

Average Tenure

54.5yo

Average Age

The tenure for the La-Z-Boy management team is about average.


Board Age and Tenure

7.1yrs

Average Tenure

65.5yo

Average Age

The tenure for the La-Z-Boy board of directors is about average.


Insider Trading

No 3 month open market individual insider trading information.


Recent Insider Transactions

SellUS$457,20325 Feb 19
J. Collier
EntityIndividual
Shares12,814
Max PriceUS$35.68

Ownership Breakdown


Management Team

  • Steve Krull (54yo)

    VP, General Counsel & Corporate Secretary

    • Tenure: 0.7yrs
  • Kurt Darrow (64yo)

    Chairman

    • Tenure: 16yrs
    • Compensation: US$6.56m
  • Otis Sawyer (61yo)

    Senior VP & President of La-Z-Boy Portfolio Brands

    • Tenure: 11.6yrs
    • Compensation: US$1.54m
  • Kathy Liebmann

    Director of Investor Relations & Corporate Communications

    • Tenure: 14.1yrs
  • Bob Ireland

    Head of Strategic Initiatives

    • Tenure: 13.4yrs
  • David Behen

    Chief Information Officer & VP

    • Tenure: 2.3yrs
  • Darrell Edwards (55yo)

    Senior VP & COO

    • Tenure: 0.3yrs
    • Compensation: US$1.98m
  • Melinda Whittington (51yo)

    Senior VP & CFO

    • Tenure: 1.3yrs
    • Compensation: US$2.50m
  • Lindsay Barnes (41yo)

    VP, Corporate Controller & Chief Accounting Officer

    • Tenure: 2.1yrs
  • Katie Vanderjagt

    Chief Human Resources Officer

    • Tenure: 1.1yrs

Board Members

  • H. Levy (69yo)

    Independent Director

    • Tenure: 22.7yrs
    • Compensation: US$196.11k
  • Nido Qubein (70yo)

    Independent Director

    • Tenure: 13.7yrs
    • Compensation: US$206.11k
  • W. McCollough (69yo)

    Lead Director

    • Tenure: 4.1yrs
    • Compensation: US$226.11k
  • Ed Holman (72yo)

    Independent Director

    • Tenure: 9.7yrs
    • Compensation: US$205.35k
  • Lauren Peters (57yo)

    Director

    • Tenure: 3.1yrs
    • Compensation: US$172.34k
  • Kurt Darrow (64yo)

    Chairman

    • Tenure: 16yrs
    • Compensation: US$6.56m
  • Janet Kerr (64yo)

    Independent Director

    • Tenure: 10.6yrs
    • Compensation: US$194.32k
  • Mike Lawton (60yo)

    Independent Director

    • Tenure: 6.1yrs
    • Compensation: US$197.07k
  • Sarah Gallagher (67yo)

    Director

    • Tenure: 3.1yrs
    • Compensation: US$172.34k
  • Becky O’Grady (50yo)

    Director

    • Tenure: 0.08yrs

Company Information

La-Z-Boy Incorporated's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: La-Z-Boy Incorporated
  • Ticker: LZB
  • Exchange: NYSE
  • Founded: 1927
  • Industry: Home Furnishings
  • Sector: Consumer Durables
  • Market Cap: US$1.507b
  • Shares outstanding: 46.63m
  • Website: https://www.la-z-boy.com

Number of Employees


Location

  • La-Z-Boy Incorporated
  • One La-Z-Boy Drive
  • Monroe
  • Michigan
  • 48162
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
LZBNYSE (New York Stock Exchange)YesCommon SharesUSUSDDec 1972
LAZDB (Deutsche Boerse AG)YesCommon SharesDEEURDec 1972

Biography

La-Z-Boy Incorporated manufactures, markets, imports, exports, distributes, and retails upholstery furniture products, accessories, and casegoods furniture products in the United States, Canada, and intern ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/09/21 23:39
End of Day Share Price2019/09/20 00:00
Earnings2019/07/27
Annual Earnings2019/04/27


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.