LL Flooring Holdings (NYSE:LL) - Share price, News & Analysis

LL fundamental analysis
Snowflake Score
Valuation	5/6
Future Growth	2/6
Past Performance	1/6
Financial Health	6/6
Dividends	0/6

LL Stock Overview

LL Flooring Holdings, Inc., together with its subsidiaries, operates as a multi-channel specialty retailer of hard-surface flooring, and hard-surface flooring enhancements and accessories.

Rewards

Trading at 26.6% below our estimate of its fair value

Earnings are forecast to grow 12.69% per year

Risk Analysis

High level of non-cash earnings

Profit margins (3.1%) are lower than last year (5.4%)

Shareholders have been diluted in the past year

LL Flooring Holdings Competitors

Home Depot

NYSE:HD

US$311.0b

Lowe's Companies

NYSE:LOW

US$128.3b

Floor & Decor Holdings

NYSE:FND

US$7.3b

Tile Shop Holdings

NasdaqCM:TTSH

US$244.9m

Price History & Performance

Summary of all time highs, changes and price drops for LL Flooring Holdings
Historical stock prices
Current Share Price	US$11.01
52 Week High	US$23.70
52 Week Low	US$10.76
Beta	2.17
1 Month Change	-21.13%
3 Month Change	-23.44%
1 Year Change	-52.01%
3 Year Change	4.16%
5 Year Change	-63.12%
Change since IPO	12.81%

Shareholder Returns

	LL	US Specialty Retail	US Market
7D	-0.4%	0.2%	0.5%
1Y	-52.0%	-24.9%	-11.5%

Return vs Industry: LL underperformed the US Specialty Retail industry which returned -23% over the past year.

Return vs Market: LL underperformed the US Market which returned -8.1% over the past year.

Price Volatility

Is LL's price volatile compared to industry and market?
LL volatility
LL Average Weekly Movement	8.1%
Specialty Retail Industry Average Movement	8.3%
Market Average Movement	7.9%
10% most volatile stocks in US Market	17.0%
10% least volatile stocks in US Market	3.0%

Stable Share Price: LL is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 8% a week.

Volatility Over Time: LL's weekly volatility (8%) has been stable over the past year.

About the Company

Founded	Employees	CEO	Website
1994	2,436	Charles Tyson	https://www.llflooring.com

LL Flooring Holdings, Inc., together with its subsidiaries, operates as a multi-channel specialty retailer of hard-surface flooring, and hard-surface flooring enhancements and accessories. The company offers hardwood species; waterproof vinyl plank, engineered hardwood, laminate, bamboo, porcelain tile, and cork products; and flooring enhancements and accessories, including moldings, underlayment, adhesives, and tools under the Bellawood and Coreluxe brand names. It also provides in-home delivery and installation services.

LL Flooring Holdings Fundamentals Summary

How do LL Flooring Holdings's earnings and revenue compare to its market cap?
LL fundamental statistics
Market Cap	US$337.69m
Earnings (TTM)	US$35.11m
Revenue (TTM)	US$1.15b

9.3x

P/E Ratio

0.3x

P/S Ratio

Is LL overvalued?

See Fair Value and valuation analysis

Earnings & Revenue

Key profitability statistics from the latest earnings report
LL income statement (TTM)
Revenue	US$1.15b
Cost of Revenue	US$719.40m
Gross Profit	US$428.53m
Other Expenses	US$393.42m
Earnings	US$35.11m

Last Reported Earnings

Mar 31, 2022

Next Earnings Date

n/a

Earnings per share (EPS)	1.18
Gross Margin	37.33%
Net Profit Margin	3.06%
Debt/Equity Ratio	0%

How did LL perform over the long term?

See historical performance and comparison

Valuation

Is LL Flooring Holdings undervalued compared to its fair value and its price relative to the market?

Valuation Score

5/6

Valuation Score 5/6

Below Fair Value
Significantly Below Fair Value
PE vs Industry
PE vs Market
PEG Ratio
PB vs Industry

26.6%

Undervalued compared to fair value

Share Price vs. Fair Value

Below Fair Value: LL ($11.01) is trading below our estimate of fair value ($15)

Significantly Below Fair Value: LL is trading below fair value by more than 20%.

Price To Earnings Ratio

PE vs Industry: LL is poor value based on its PE Ratio (9.3x) compared to the US Specialty Retail industry average (6.7x).

PE vs Market: LL is good value based on its PE Ratio (9.3x) compared to the US market (16x).

Price to Earnings Growth Ratio

PEG Ratio: LL is good value based on its PEG Ratio (0.7x)

Price to Book Ratio

PB vs Industry: LL is good value based on its PB Ratio (1.2x) compared to the US Specialty Retail industry average (2x).

Future Growth

How is LL Flooring Holdings forecast to perform in the next 1 to 3 years based on estimates from 2 analysts?

Future Growth Score

2/6

Future Growth Score 2/6

Earnings vs Savings Rate
Earnings vs Market
High Growth Earnings
Revenue vs Market
High Growth Revenue
Future ROE

12.7%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts

Analyst Future Growth Forecasts

Earnings vs Savings Rate: LL's forecast earnings growth (12.7% per year) is above the savings rate (1.9%).

Earnings vs Market: LL's earnings (12.7% per year) are forecast to grow faster than the US market (12.4% per year).

High Growth Earnings: LL's earnings are forecast to grow, but not significantly.

Revenue vs Market: LL's revenue (4.5% per year) is forecast to grow slower than the US market (7.8% per year).

High Growth Revenue: LL's revenue (4.5% 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 LL's Return on Equity is forecast to be high in 3 years time

Past Performance

How has LL Flooring Holdings performed over the past 5 years?

Past Performance Score

1/6

Past Performance Score 1/6

Quality Earnings
Growing Profit Margin
Earnings Trend
Accelerating Growth
Earnings vs Industry
High ROE

58.6%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: LL has a high level of non-cash earnings.

Growing Profit Margin: LL's current net profit margins (3.1%) are lower than last year (5.4%).

Past Earnings Growth Analysis

Earnings Trend: LL has become profitable over the past 5 years, growing earnings by 58.6% per year.

Accelerating Growth: LL's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: LL had negative earnings growth (-41.3%) over the past year, making it difficult to compare to the Specialty Retail industry average (82.9%).

Return on Equity

High ROE: LL's Return on Equity (12.7%) is considered low.

Financial Health

How is LL Flooring Holdings's financial position?

Financial Health Score

6/6

Financial Health Score 6/6

Short Term Liabilities
Long Term Liabilities
Debt Level
Reducing Debt
Debt Coverage
Interest Coverage

Financial Position Analysis

Short Term Liabilities: LL's short term assets ($398.0M) exceed its short term liabilities ($265.8M).

Long Term Liabilities: LL's short term assets ($398.0M) exceed its long term liabilities ($108.4M).

Debt to Equity History and Analysis

Debt Level: LL is debt free.

Reducing Debt: LL has no debt compared to 5 years ago when its debt to equity ratio was 34.8%.

Debt Coverage: LL has no debt, therefore it does not need to be covered by operating cash flow.

Interest Coverage: LL has no debt, therefore coverage of interest payments is not a concern.

Balance Sheet

Dividend

What is LL Flooring Holdings's current dividend yield, its reliability and sustainability?

Dividend Score

0/6

Dividend Score 0/6

Notable Dividend
High Dividend
Stable Dividend
Growing Dividend
Earnings Coverage
Future Dividend Coverage

Dividend Yield vs Market

Notable Dividend: Unable to evaluate LL's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate LL's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.

Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if LL's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if LL's dividend payments have been increasing.

Earnings Payout to Shareholders

Earnings Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.

Cash Payout to Shareholders

Cash Flow Coverage: Unable to calculate sustainability of dividends as LL has not reported any payouts.

Next Steps

Explore strong dividend paying companies in the Retail industry.

Management

How experienced are the management team and are they aligned to shareholders interests?

2.3yrs

Average management tenure

CEO

Charles Tyson (59 yo)

2.25yrs

Tenure

US$2,174,088

Compensation

Mr. Charles E. Tyson has been President and Chief Executive Officer of LL Flooring Holdings, Inc. (formerly known as Lumber Liquidators Holdings, Inc.) since May 26, 2020 and has been its Director since Ma...

CEO Compensation Analysis

Compensation vs Market: Charles's total compensation ($USD2.17M) is about average for companies of similar size in the US market ($USD2.63M).

Compensation vs Earnings: Charles's compensation has been consistent with company performance over the past year.

Leadership Team

Experienced Management: LL's management team is considered experienced (2.3 years average tenure).

Board Members

Experienced Board: LL's board of directors are considered experienced (4.4 years average tenure).

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 been diluted in the past year, with total shares outstanding growing by 2.6%.

Data	Last Updated (UTC time)
Company Analysis	2022/05/18 00:00
End of Day Share Price	2022/05/18 00:00
Earnings	2022/03/31
Annual Earnings	2021/12/31