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 Analysis

Moderate growth potential and slightly overvalued.


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

Stable Share Price: LL's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

32.1%

LL

0.8%

US Specialty Retail

-1.0%

US Market


1 Year Return

-10.9%

LL

17.6%

US Specialty Retail

18.0%

US Market

Return vs Industry: LL underperformed the US Specialty Retail industry which returned 17.6% over the past year.

Return vs Market: LL underperformed the US Market which returned 18% over the past year.


Shareholder returns

LLIndustryMarket
7 Day32.1%0.8%-1.0%
30 Day33.0%1.2%0.6%
90 Day18.8%5.8%7.9%
1 Year-10.9%-10.9%19.4%17.6%20.4%18.0%
3 Year-39.9%-39.9%44.7%37.7%48.0%38.5%
5 Year-79.9%-79.9%47.8%35.8%72.2%53.3%

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?

28.1%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: LL ($10.45) is trading below our estimate of fair value ($14.56)

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


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

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 (2.1x) compared to the US Specialty Retail industry average (1.5x).


Next Steps

Future Growth

How is Lumber Liquidators Holdings forecast to perform in the next 1 to 3 years based on estimates from 7 analysts?

41.1%

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 (1.7%).

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

High Growth Earnings: LL's is expected to become profitable in the next 3 years.

Revenue vs Market: LL's revenue (3% per year) is forecast to grow slower than the US market (7.6% per year).

High Growth Revenue: LL's revenue (3% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: LL's Return on Equity is forecast to be low in 3 years time (5.9%).


Next Steps

Past Performance

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

-29.9%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: LL is currently unprofitable.

Growing Profit Margin: LL is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: LL is unprofitable, and losses have increased over the past 5 years at a rate of -29.9% 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 (7.9%).


Return on Equity

High ROE: LL has a negative Return on Equity (-44.32%), as it is currently unprofitable.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Lumber Liquidators Holdings's financial position?


Financial Position Analysis

Short Term Liabilities: LL's short term assets ($352.5M) exceed its short term liabilities ($237.7M).

Long Term Liabilities: LL's short term assets ($352.5M) exceed its long term liabilities ($192.1M).


Debt to Equity History and Analysis

Debt Level: LL's debt to equity ratio (62.4%) 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 3.9x 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%1.4%markettop25%3.7%industryaverage1.8%forecastin3Years0%

Current dividend yield vs market & industry

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.


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.


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

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

2.1yrs

Average management tenure


CEO

Charles Tyson (57yo)

US$1,648,333

Compensation

Mr. Charles E. Tyson serves as Interim President, Principal Executive Officer at Lumber Liquidators Holdings, Inc. since February 5, 2020. He has been Chief Customer Experience Officer of Lumber Liquidator ...


CEO Compensation Analysis

Compensation vs Market: Charles's total compensation ($USD1.65M) is about average for companies of similar size in the US market ($USD1.67M).

Compensation vs Earnings: Insufficient data to compare Charles's compensation with company performance.


Leadership Team

NamePositionTenureCompensationOwnership
Charles Tyson
Interim President0yrsUS$1.65m0.066% $196.9k
Michael Reeves
Senior VP2.7yrsUS$673.47k0.16% $466.4k
Jennifer Bohaty-Yelle
Chief Ethics & Compliance Officer1.8yrsUS$753.99k0.052% $157.3k
Nancy Walsh
Chief Financial Officer0.4yrsno data0.15% $456.2k
Timothy Mulvaney
Senior VP & Chief Accounting Officer2.7yrsno data0.13% $400.9k
Christopher Thomsen
Senior VP & Chief Information Officer3.5yrsno data0.090% $269.8k
Danielle O'Brien
Investor Relations Executive0yrsno datano data
Michael Horn
Senior Vice President of Sales & Services2.1yrsno data0.070% $210.9k
Jay Keith
Vice President of Human Resources0yrsno datano data
Doug Clark
Senior Vice President of Supply Chain1.3yrsno datano data

2.1yrs

Average Tenure

51yo

Average Age

Experienced Management: LL's management team is considered experienced (2.1 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Jimmie Wade
Independent Director8.4yrsUS$236.00k0.12% $372.3k
Nancy Taylor
Independent Chairman4.3yrsUS$417.50k0.15% $456.4k
David Levin
Independent Director2.8yrsUS$137.50k0.011% $32.1k
Martin Roper
Independent Director3.8yrsUS$229.00k0.26% $771.0k
Terri Graham
Independent Director1.4yrsUS$54.42k0.033% $100.4k
Douglas Moore
Independent Director13.8yrsUS$140.00k0.096% $287.7k
Famous Rhodes
Independent Director2.2yrsUS$153.65k0.035% $105.7k

3.8yrs

Average Tenure

59yo

Average Age

Experienced Board: LL's board of directors are considered experienced (3.8 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 not been meaningfully diluted in the past year.


Top Shareholders

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$300.018m
  • Shares outstanding: 28.71m
  • 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 company offers hardwood species, engineered hardwood, laminates, resilient vinyl flooring, waterproof vinyl plank, and porcelain tile; renewable flooring, and bamboo and cork products; and a selection of flooring enhancements and accessories, including moldings, noise-reducing underlay, adhesives, and flooring tools under the Bellawood brand. It also provides in-home delivery and installation services. The company primarily serves homeowners, or to contractors on behalf of homeowners. As of September 30, 2019, it operated through 419 stores in North America. The company also offers its products through its Website, catalogs, and call center. Lumber Liquidators Holdings, Inc. was founded in 1994 and is headquartered in Toano, Virginia. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/02/23 01:21
End of Day Share Price2020/02/21 00:00
Earnings2019/09/30
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.