NYSE:LL

Stock Analysis Report

Lumber Liquidators Holdings

Executive Summary

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

Snowflake

Fundamentals

Moderate growth potential with imperfect balance sheet.


Similar Companies

Share Price & News

How has Lumber Liquidators Holdings's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

3.6%

LL

3.7%

US Specialty Retail

1.0%

US Market


1 Year Return

-27.1%

LL

2.7%

US Specialty Retail

6.7%

US Market

Return vs Industry: LL underperformed the US Specialty Retail industry which returned 2.7% over the past year.

Return vs Market: LL underperformed the US Market which returned 6.7% over the past year.


Shareholder returns

LLIndustryMarket
7 Day3.6%3.7%1.0%
30 Day-1.9%0.04%-1.8%
90 Day-21.3%0.7%-1.8%
1 Year-27.1%-27.1%4.4%2.7%9.1%6.7%
3 Year-48.9%-48.9%40.0%32.8%46.1%36.6%
5 Year-83.8%-83.8%59.2%45.2%66.9%48.6%

Price Volatility Vs. Market

How volatile is Lumber Liquidators Holdings's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Lumber Liquidators Holdings undervalued compared to its fair value and its price relative to the market?

28.0%

Undervalued compared to fair value


Share Price vs. Fair Value

Undervalued: LL ($9.58) is trading below our estimate of fair value ($13.3)

Significantly Undervalued: LL is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

PE vs Industry: LL is unprofitable, so we can't compare its PE Ratio to the Specialty Retail industry average.

PE vs Market: LL is unprofitable, so we can't compare its PE Ratio to the US market.


Price to Earnings Growth Ratio

Low PEG Ratio: Insufficient data to calculate LL's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: LL is overvalued based on its PB Ratio (1.9x) compared to the US Specialty Retail industry average (1.3x).


Next Steps

Future Growth

How is Lumber Liquidators Holdings forecast to perform in the next 1 to 3 years based on estimates from 11 analysts?

41.8%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: LL is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (2.7%).

Earnings vs Market: LL is forecast to become profitable over the next 3 year, which is considered above average market growth.

High Growth Earnings: LL's loss is forecast to worsen by 0% next year.

Revenue vs Market: LL's revenue (4% per year) is forecast to grow slower than the US market (7.3% per year).

High Growth Revenue: LL's revenue (4% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

High Future ROE: LL's Return on Equity is forecast to be low in 3 years time (11.9%).


Next Steps

Past Performance

How has Lumber Liquidators Holdings performed over the past 5 years?

-36.8%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: LL is unprofitable, and losses have increased over the past 5 years at a rate of -36.8% per year.

Accelerating Growth: Unable to compare LL's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: LL is unprofitable, making it difficult to compare its past year earnings growth to the Specialty Retail industry (8.3%).


Return on Equity

High ROE: LL has a negative Return on Equity (-41.54%), as it is currently unprofitable.


Return on Assets

ROA vs Industry: LL is currently unprofitable, so its Return on Assets is negative.


Return on Capital Employed

ROCE Improving: LL is currently unprofitable, so its Return on Capital Employed is negative.


Next Steps

Financial Health

How is Lumber Liquidators Holdings's financial position?


Financial Position Analysis

Short Term Liabilities: LL's short term assets ($356.4M) exceeds its short term liabilities ($243.1M)

Long Term Liabilities: LL's short term assets (356.4M) exceeds its long term liabilities (193.8M)


Debt to Equity History and Analysis

Debt Level: LL's debt to equity ratio (63.3%) is considered high

Reducing Debt: Insufficient data to determine if LL's debt to equity ratio has reduced over the past 5 years.


Balance Sheet

Inventory Level: LL has a high level of physical assets or inventory.

Debt Coverage by Assets: LL's debt is covered by short term assets (assets are 3.981850x debt).


Cash Runway Analysis

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

Stable Cash Runway: LL has less than a year of cash runway based on its current free cash flow.

Forecast Cash Runway: Insufficient data to determine if LL has enough cash runway if its free cash flow continues to grow or shrink based on historical rates.


Next Steps

Dividend

What is Lumber Liquidators Holdings's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

companyn/amarketbottom25%1.5%markettop25%3.8%industryaverage2.0%forecastin3Years0%

Current dividend yield vs market & industry


Stability and Growth of Payments

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

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

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.


Current Payout to Shareholders

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


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of LL's dividend in 3 years as they are not forecast to pay a notable one for the US market.


Next Steps

Management

What is the CEO of Lumber Liquidators Holdings's salary, the management and board of directors tenure and is there insider trading?

2.0yrs

Average management tenure


CEO

Dennis Knowles (54yo)

2.9yrs

Tenure

US$2,322,693

Compensation

Mr. Dennis R. Knowles has been the Chief Executive Officer of Lumber Liquidators, Inc. since November 9, 2016. Mr. Knowles is also the Chief Executive Officer at Lumber Liquidators Holdings, Inc. since Nov ...


CEO Compensation Analysis

Compensation vs. Market: Dennis's total compensation ($USD2.32M) is about average for companies of similar size in the US market ($USD1.17M).

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


Management Age and Tenure

2.0yrs

Average Tenure

52.5yo

Average Age

Experienced Management: LL's management team is considered experienced (2 years average tenure).


Board Age and Tenure

3.2yrs

Average Tenure

57.5yo

Average Age

Experienced Board: LL's board of directors are considered experienced (3.2 years average tenure).


Insider Trading

Insider Buying: LL insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

SellUS$14,605,51313 Sep 19
F9 Investments, LLC
EntityCompany
Shares1,250,472
Max PriceUS$11.68
BuyUS$10,608,37120 Aug 19
F9 Investments, LLC
EntityCompany
Shares1,346,240
Max PriceUS$7.88
BuyUS$123,96220 Aug 19
Michael Reeves
EntityIndividual
Role
Chief Legal Officer
Senior VP
Shares14,900
Max PriceUS$8.32
BuyUS$112,61012 Aug 19
Dennis Knowles
EntityIndividual
Role
Chief Executive Officer
President
Shares14,000
Max PriceUS$8.04
BuyUS$39,59203 Jun 19
Charles Tyson
EntityIndividual
Role
Senior Key Executive
Chief Customer Experience Officer
Shares4,000
Max PriceUS$9.90

Ownership Breakdown


Management Team

  • Dennis Knowles (54yo)

    President

    • Tenure: 2.9yrs
    • Compensation: US$2.32m
  • Nancy Walsh (58yo)

    Chief Financial Officer

    • Tenure: 0.08yrs
  • Charles Tyson (57yo)

    Chief Customer Experience Officer

    • Tenure: 1.3yrs
    • Compensation: US$1.65m
  • Timothy Mulvaney (50yo)

    Senior VP & Chief Accounting Officer

    • Tenure: 2.3yrs
  • Chris Thomsen (43yo)

    Senior VP & Chief Information Officer

    • Tenure: 3.2yrs
  • Michael Reeves (51yo)

    Senior VP

    • Tenure: 2.3yrs
    • Compensation: US$673.47k
  • Michael Horn (64yo)

    Senior Vice President of Sales & Services

    • Tenure: 1.8yrs
  • Jennifer Bohaty-Yelle (49yo)

    Chief Ethics & Compliance Officer

    • Tenure: 1.5yrs
    • Compensation: US$753.99k
  • Jay Keith

    Vice President of Human Resources

    • Tenure: 0yrs
  • Danielle O'Brien

    Investor Relations Executive

    • Tenure: 0yrs

Board Members

  • Jim Wade (65yo)

    Independent Director

    • Tenure: 8.1yrs
    • Compensation: US$236.00k
  • Nancy Taylor (59yo)

    Independent Chairman

    • Tenure: 3.9yrs
    • Compensation: US$417.50k
  • David Levin (68yo)

    Independent Director

    • Tenure: 2.4yrs
    • Compensation: US$137.50k
  • Martin Roper (56yo)

    Independent Director

    • Tenure: 3.5yrs
    • Compensation: US$229.00k
  • Terri Graham (54yo)

    Independent Director

    • Tenure: 1.1yrs
    • Compensation: US$54.42k
  • Douglas Moore (62yo)

    Independent Director

    • Tenure: 13.5yrs
    • Compensation: US$140.00k
  • Famous Rhodes (44yo)

    Independent Director

    • Tenure: 1.8yrs
    • Compensation: US$153.65k
  • Dennis Knowles (54yo)

    President

    • Tenure: 2.9yrs
    • Compensation: US$2.32m

Company Information

Lumber Liquidators Holdings, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Lumber Liquidators Holdings, Inc.
  • Ticker: LL
  • Exchange: NYSE
  • Founded: 1994
  • Industry: Home Improvement Retail
  • Sector: Retail
  • Market Cap: US$274.956m
  • Shares outstanding: 28.70m
  • Website: https://www.lumberliquidators.com

Number of Employees


Location

  • Lumber Liquidators Holdings, Inc.
  • 3000 John Deere Road
  • Toano
  • Virginia
  • 23168
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
LLNYSE (New York Stock Exchange)YesCommon StockUSUSDNov 2007
LKUDB (Deutsche Boerse AG)YesCommon StockDEEURNov 2007

Biography

Lumber Liquidators 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 compa ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/14 23:58
End of Day Share Price2019/10/14 00:00
Earnings2019/06/30
Annual Earnings2018/12/31


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.