La-Z-Boy (LZB) came out with quarterly earnings of $0.62 per share, in line with the Zacks Consensus Estimate. This compares to earnings of $0.62 per share a year ago. These figures are adjusted for non-recurring items. A quarter ago, it was expected that this furniture company would post earnings of $0.68 per share when it actually produced earnings of $0.95, delivering a surprise of 39.71%. Over the last four quarters, the company has surpassed consensus EPS estimates two times. La-Z-Boy, which belongs to ...

Financial Performance - Consolidated delivered sales for the first quarter of Fiscal 2025 were $496 million, up 3% compared to the prior year[1]. - GAAP diluted EPS decreased to $0.61 from $0.63, while Non-GAAP diluted EPS remained at $0.62[6]. - Operating cash flow for the quarter was $52 million, doubling from $26 million in the same period last year[8]. - Sales for the quarter ended July 27, 2024, were $495,532, an increase of 2% from $481,651 in the same quarter last year[19]. - Gross profit for the quarter was $213,343, compared to $205,728 in the prior year, reflecting a gross margin improvement[19]. - Operating income decreased to $32,370 from $34,526 year-over-year, indicating a decline of approximately 6%[19]. - Net income attributable to La-Z-Boy Incorporated was $26,159, down from $27,479, representing a decrease of about 4.8%[19]. - Basic net income per share was $0.62, slightly down from $0.64 in the previous year[19]. - Consolidated operating income for the quarter was $32,370, a decrease of 6.3% from $34,526 in the same quarter last year[25]. - Non-GAAP operating income was $32,764, down from $33,751, reflecting a decline of 2.9% year-over-year[27]. - GAAP net income attributable to La-Z-Boy Incorporated was $26,159, compared to $27,479 in the previous year, representing a decrease of 4.8%[27]. - Diluted EPS for GAAP net income was $0.61, down from $0.63 in the same quarter last year[27]. - Non-GAAP net income attributable to La-Z-Boy was $26,453, slightly down from $26,945, a decrease of 1.8% year-over-year[27]. Segment Performance - Retail segment written sales increased 4%, but same-store sales decreased 3% due to lower traffic and softer demand[6]. - Wholesale segment sales rose 5% to $351 million, driven by higher delivered volume to external customers[7]. - Joybird's written sales increased 9%, while delivered sales decreased 3% to $35 million[7]. - Wholesale segment sales to external customers rose to $256,020, up 8.4% from $236,251 year-over-year[25]. - Retail segment sales decreased to $202,370, down 2.1% from $208,243 in the prior year[25]. - The wholesale segment's operating income margin was 6.8%, slightly down from 7.0% in the prior year[29]. - The retail segment's operating income margin decreased to 10.2% from 14.1% year-over-year[29]. Cash Flow and Shareholder Returns - La-Z-Boy returned approximately $42 million to shareholders, including $34 million in share repurchases and $8 million in dividends[8]. - The company ended the quarter with $342 million in cash and no external debt[8]. - Net cash provided by operating activities was $52,318, significantly higher than $25,913 in the same quarter last year[23]. - The company reported a net cash used for investing activities of $17,193, compared to $12,679 in the prior year[23]. Assets and Equity - Total current assets as of July 27, 2024, were $834,375, a decrease from $836,808 as of April 27, 2024[21]. - Total assets increased to $1,917,615 from $1,913,442, showing a slight growth[21]. - Total equity decreased to $1,010,476 from $1,013,360, indicating a slight decline in shareholder equity[21]. Future Outlook - The company expects second quarter sales to be in the range of $495-515 million, with Non-GAAP operating margin projected between 6-7%[2].

Financial Performance - Consolidated delivered sales for the first quarter of fiscal 2025 were $496 million, reflecting a 3% increase compared to the prior year [1][7] - The GAAP diluted earnings per share (EPS) was $0.61, down from $0.63 in the previous year, while Non-GAAP diluted EPS remained stable at $0.62 [1][7][28] - Operating cash flow for the quarter was $52 million, doubling the amount from the same period last year [1][10] Segment Performance - The Wholesale segment saw sales increase by 5% to $351 million, driven by higher delivered volume to external customers [9][26] - The Retail segment experienced a 4% increase in written sales, but same-store sales decreased by 3% due to lower traffic and softer demand [2][8] - The Retail segment's delivered sales decreased by 3% to $202 million, impacted by the prior year's backlog deliveries [8][9] Operating Margins - The GAAP operating margin for the consolidated results was 6.5%, down from 7.2% in the previous year, while the Non-GAAP operating margin decreased to 6.6% from 7.0% [1][7][30] - The Retail segment's GAAP operating margin was 10.2%, down from 14.1%, reflecting fixed cost deleverage [8][30] - The Wholesale segment's Non-GAAP operating margin increased to 6.9%, up 10 basis points from the previous year [9][30] Cash Flow and Shareholder Returns - The company generated $52 million in operating cash flow and returned approximately $42 million to shareholders, including $34 million in share repurchases and $8 million in dividends [10][11] - The company declared a quarterly cash dividend of $0.20 per share, payable on September 16, 2024 [11] Strategic Outlook - The company remains committed to its Century Vision strategy, focusing on long-term growth through investments in retail execution and store expansion [3][4] - Despite current macroeconomic challenges, the company expects modest sales growth in the second quarter of fiscal 2025, projecting sales between $495 million and $515 million [4][10]

Core Insights - The article emphasizes the importance of value investing as a successful strategy across various market conditions, focusing on fundamental analysis and traditional valuation metrics to identify undervalued stocks [2][3]. Company Analysis - LaZBoy (LZB) is highlighted as a strong value stock, currently holding a Zacks Rank of 1 (Strong Buy) and a Value grade of A, indicating its attractiveness to value investors [3][6]. - LZB's Price-to-Book (P/B) ratio is reported at 1.73, which is significantly lower than the industry average of 3.69, suggesting that the stock is undervalued [4]. - The P/B ratio for LZB has fluctuated between a high of 1.84 and a low of 1.26 over the past 12 months, with a median of 1.53, further supporting its valuation appeal [4]. - Additionally, LZB's Price-to-Cash Flow (P/CF) ratio stands at 7.25, compared to the industry average of 14.83, indicating a favorable valuation based on cash flow strength [5]. - The P/CF ratio for LZB has ranged from a high of 7.96 to a low of 5.68 in the past year, with a median of 7.15, reinforcing the notion of the stock being undervalued [5][6].

MONROE, Mich., Aug. 06, 2024 (GLOBE NEWSWIRE) -- La-Z-Boy Incorporated (NYSE:LZB) will report its Fiscal 2025 First Quarter results for the period ended July 27, 2024 after the close of trading on the New York Stock Exchange on Tuesday, August 20, 2024, and will hold its quarterly investor conference call at 8:30 a.m. Eastern Time the following day, Wednesday, August 21, 2024. The dial-in phone number for the live conference call will be (888) 506-0062 for persons calling from within the U.S. or Canada, and ...

Of these, value investing is easily one of the most popular ways to find great stocks in any market environment. Value investors rely on traditional forms of analysis on key valuation metrics to find stocks that they believe are undervalued, leaving room for profits. One company to watch right now is LaZBoy (LZB) . LZB is currently sporting a Zacks Rank of #1 (Strong Buy), as well as a Value grade of A. The stock holds a P/E ratio of 13, while its industry has an average P/E of 13.79. Over the past 52 weeks ...

Group 1 - La-Z-Boy (LZB) currently has a Momentum Style Score of B, indicating a positive momentum trend for the stock [2][13] - Over the past week, LZB shares have increased by 11.99%, outperforming the Zacks Furniture industry, which rose by 6.84% during the same period [4] - The stock has shown a monthly price change of 19.13%, significantly higher than the industry's performance of 0.94% [4] Group 2 - LZB's average 20-day trading volume is 656,463 shares, which serves as a bullish indicator when combined with rising stock prices [5] - Recent earnings estimate revisions have been positive, with the consensus estimate increasing from $2.80 to $3.13 over the past 60 days [12] - In the last quarter, LZB shares have increased by 20.58%, and over the past year, they have gained 39.12%, compared to the S&P 500's increases of 11.69% and 26.6%, respectively [11] Group 3 - The Zacks Rank for LZB is 1 (Strong Buy), suggesting strong potential for outperformance in the market [9][13] - The stock's performance metrics indicate that it is well-positioned to continue its upward trend, making it a promising pick for investors [10][13]

Company Overview - La-Z-Boy is part of the Consumer Discretionary group, which ranks 15 among 16 sector groups in the Zacks Sector Rank [1] - The company currently holds a Zacks Rank of 1 (Strong Buy), indicating strong potential for outperforming the market [2] Earnings Performance - The Zacks Consensus Estimate for La-Z-Boy's full-year earnings has increased by 11.8% over the past quarter, reflecting improved analyst sentiment [2] - Year-to-date, La-Z-Boy has returned approximately 8.2%, outperforming the average loss of 1.9% in the Consumer Discretionary group [3] Industry Comparison - La-Z-Boy belongs to the Furniture industry, which ranks 198 in the Zacks Industry Rank, with an average loss of 0.7% this year, indicating La-Z-Boy's relative strength [4] - In contrast, MGM Resorts, another stock in the Consumer Discretionary sector, has a year-to-date return of 2.6% and also holds a Zacks Rank of 1 [3][4] Market Outlook - The Consumer Discretionary sector is currently seeing strong performers, with La-Z-Boy and MGM Resorts being notable examples for investors to monitor [5][6]

Core Viewpoint - La-Z-Boy is strategically expanding its store network through acquisitions and organic growth, which has led to significant increases in operating income and a solid financial profile despite industry challenges [2][5][9]. Financial Performance - In FY2024, La-Z-Boy spent $39.4 million to acquire 11 Furniture Galleries stores and opened six new company-owned stores, with total capital expenditures of $53.6 million [2]. - Operating income rose from $30.4 million in FY2011 to $158.0 million in FY2024, reflecting a compound annual growth rate (CAGR) of 13.5% [2]. - The company's five-year average return on equity is 14.4% [2]. - La-Z-Boy's stock has appreciated approximately 64% over the past decade, with a current dividend yield of 2.22% [5]. Store Network Expansion - The total retail network expanded from 304 to 355 Furniture Galleries stores and from 526 to 528 Comfort Studios from FY2011 to FY2024 [6]. - La-Z-Boy now owns 187 Furniture Galleries stores, more than double the number from FY2011, with plans to continue acquiring 5-10 stores annually until at least FY2027 [6]. Industry Context - La-Z-Boy's revenue declined by 12.9% in FY2024, which is less severe compared to competitors experiencing declines over 20% [11]. - The company is positioned well to navigate current industry headwinds, leveraging a strong balance sheet with no interest-bearing debt and significant cash reserves of $347.9 million [11]. Future Outlook - The fair value estimate for La-Z-Boy's stock is $50.33, indicating a potential upside of 40% from the current stock price [4]. - Future growth is projected at 2% for FY2025, with a rebound to 7.5% growth in FY2026 as industry conditions improve [8]. - The company aims to achieve a double-digit operating margin as it continues to expand its retail network and acquire stores [18].

The Consumer Discretionary group has plenty of great stocks, but investors should always be looking for companies that are outperforming their peers. Has La-Z-Boy (LZB) been one of those stocks this year? By taking a look at the stock's year-to-date performance in comparison to its Consumer Discretionary peers, we might be able to answer that question. The Zacks Rank is a successful stock-picking model that emphasizes earnings estimates and estimate revisions. The system highlights a number of different sto ...