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La-Z-Boy Incorporated (NYSE:LZB) is a company with exceptional fundamental characteristics. Upon building up an investment case for a stock, we should look at various aspects. In the case of LZB, it is a company with great financial health as well as a a strong history of performance. Below is a brief commentary on these key aspects. For those interested in understanding where the figures come from and want to see the analysis, read the full report on La-Z-Boy here.
Excellent balance sheet with proven track record
Over the past year, LZB has grown its earnings by 36%, with its most recent figure exceeding its annual average over the past five years. Not only did LZB outperformed its past performance, its growth also surpassed the Consumer Durables industry expansion, which generated a 35% earnings growth. This is what investors like to see! LZB's ability to maintain an adequate level of cash to meet upcoming liabilities is a good sign for its financial health. This implies that LZB manages its cash and cost levels well, which is a crucial insight into the health of the company. LZB appears to have made good use of debt, producing operating cash levels of 5.73x total debt in the prior year. This is a strong indication that debt is reasonably met with cash generated.
For La-Z-Boy, I've compiled three pertinent aspects you should look at:
- Future Outlook: What are well-informed industry analysts predicting for LZB’s future growth? Take a look at our free research report of analyst consensus for LZB’s outlook.
- Valuation: What is LZB worth today? Is the stock undervalued, even when its growth outlook is factored into its intrinsic value? The intrinsic value infographic in our free research report helps visualize whether LZB is currently mispriced by the market.
- Other Attractive Alternatives : Are there other well-rounded stocks you could be holding instead of LZB? Explore our interactive list of stocks with large potential to get an idea of what else is out there you may be missing!
We aim to bring you long-term focused research analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material.
If you spot an error that warrants correction, please contact the editor at firstname.lastname@example.org. This article by Simply Wall St is general in nature. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Simply Wall St has no position in the stocks mentioned. Thank you for reading.