LEON'S FURNITURE LTD (LNF.CA) Fundamental Analysis & Valuation
TSX:LNF • CA5266821092
Current stock price
26.58 CAD
-0.01 (-0.04%)
Last:
This LNF.CA fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.
1. LNF.CA Profitability Analysis
1.1 Basic Checks
- LNF had positive earnings in the past year.
- In the past year LNF had a positive cash flow from operations.
- LNF had positive earnings in each of the past 5 years.
- Each year in the past 5 years LNF had a positive operating cash flow.
1.2 Ratios
- LNF's Return On Assets of 6.34% is fine compared to the rest of the industry. LNF outperforms 68.42% of its industry peers.
- The Return On Equity of LNF (12.50%) is comparable to the rest of the industry.
- The Return On Invested Capital of LNF (8.97%) is better than 68.42% of its industry peers.
- Measured over the past 3 years, the Average Return On Invested Capital for LNF is below the industry average of 12.42%.
- The last Return On Invested Capital (8.97%) for LNF is above the 3 year average (8.74%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.34% | ||
| ROE | 12.5% | ||
| ROIC | 8.97% |
ROA(3y)6.39%
ROA(5y)7.16%
ROE(3y)13.16%
ROE(5y)16.99%
ROIC(3y)8.74%
ROIC(5y)11.12%
1.3 Margins
- The Profit Margin of LNF (6.10%) is comparable to the rest of the industry.
- LNF's Profit Margin has declined in the last couple of years.
- LNF has a Operating Margin (8.60%) which is in line with its industry peers.
- In the last couple of years the Operating Margin of LNF has remained more or less at the same level.
- Looking at the Gross Margin, with a value of 45.08%, LNF is in the better half of the industry, outperforming 63.16% of the companies in the same industry.
- In the last couple of years the Gross Margin of LNF has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 8.6% | ||
| PM (TTM) | 6.1% | ||
| GM | 45.08% |
OM growth 3Y-5.06%
OM growth 5Y-1.07%
PM growth 3Y-5.04%
PM growth 5Y-3.67%
GM growth 3Y0.81%
GM growth 5Y0.34%
2. LNF.CA Health Analysis
2.1 Basic Checks
- With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), LNF is creating some value.
- Compared to 1 year ago, LNF has more shares outstanding
- The number of shares outstanding for LNF has been reduced compared to 5 years ago.
- Compared to 1 year ago, LNF has a worse debt to assets ratio.
2.2 Solvency
- LNF has an Altman-Z score of 3.01. This indicates that LNF is financially healthy and has little risk of bankruptcy at the moment.
- LNF has a Altman-Z score of 3.01. This is in the better half of the industry: LNF outperforms 63.16% of its industry peers.
- LNF has a debt to FCF ratio of 2.01. This is a good value and a sign of high solvency as LNF would need 2.01 years to pay back of all of its debts.
- LNF's Debt to FCF ratio of 2.01 is fine compared to the rest of the industry. LNF outperforms 73.68% of its industry peers.
- LNF has a Debt/Equity ratio of 0.31. This is a healthy value indicating a solid balance between debt and equity.
- Looking at the Debt to Equity ratio, with a value of 0.31, LNF is in the better half of the industry, outperforming 78.95% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.31 | ||
| Debt/FCF | 2.01 | ||
| Altman-Z | 3.01 |
ROIC/WACC1.24
WACC7.24%
2.3 Liquidity
- A Current Ratio of 1.60 indicates that LNF should not have too much problems paying its short term obligations.
- With an excellent Current ratio value of 1.60, LNF belongs to the best of the industry, outperforming 84.21% of the companies in the same industry.
- A Quick Ratio of 0.94 indicates that LNF may have some problems paying its short term obligations.
- LNF's Quick ratio of 0.94 is fine compared to the rest of the industry. LNF outperforms 78.95% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.6 | ||
| Quick Ratio | 0.94 |
3. LNF.CA Growth Analysis
3.1 Past
- LNF shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 7.17%.
- LNF shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 3.02% yearly.
- The Revenue has been growing slightly by 3.01% in the past year.
- The Revenue has been growing slightly by 3.00% on average over the past years.
EPS 1Y (TTM)7.17%
EPS 3Y-3.02%
EPS 5Y3.02%
EPS Q2Q%-24.49%
Revenue 1Y (TTM)3.01%
Revenue growth 3Y0.74%
Revenue growth 5Y3%
Sales Q2Q%0.7%
3.2 Future
- LNF is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 2.39% yearly.
- LNF is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 1.78% yearly.
EPS Next Y-2.62%
EPS Next 2Y1.89%
EPS Next 3Y2.39%
EPS Next 5YN/A
Revenue Next Year0.99%
Revenue Next 2Y1.78%
Revenue Next 3Y1.78%
Revenue Next 5YN/A
3.3 Evolution
- When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
- When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. LNF.CA Valuation Analysis
4.1 Price/Earnings Ratio
- With a Price/Earnings ratio of 11.12, the valuation of LNF can be described as very reasonable.
- LNF's Price/Earnings ratio is rather cheap when compared to the industry. LNF is cheaper than 84.21% of the companies in the same industry.
- Compared to an average S&P500 Price/Earnings ratio of 27.71, LNF is valued rather cheaply.
- LNF is valuated reasonably with a Price/Forward Earnings ratio of 11.42.
- 78.95% of the companies in the same industry are more expensive than LNF, based on the Price/Forward Earnings ratio.
- LNF is valuated cheaply when we compare the Price/Forward Earnings ratio to 38.09, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.12 | ||
| Fwd PE | 11.42 |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, LNF is valued a bit cheaper than the industry average as 68.42% of the companies are valued more expensively.
- Based on the Price/Free Cash Flow ratio, LNF is valued a bit cheaper than the industry average as 63.16% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 7.73 | ||
| EV/EBITDA | 5.22 |
4.3 Compensation for Growth
- LNF has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)3.69
EPS Next 2Y1.89%
EPS Next 3Y2.39%
5. LNF.CA Dividend Analysis
5.1 Amount
- LNF has a Yearly Dividend Yield of 3.68%.
- Compared to an average industry Dividend Yield of 2.52, LNF pays a better dividend. On top of this LNF pays more dividend than 84.21% of the companies listed in the same industry.
- Compared to an average S&P500 Dividend Yield of 1.81, LNF pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.68% |
5.2 History
- The dividend of LNF is nicely growing with an annual growth rate of 7.90%!
- LNF has been paying a dividend for at least 10 years, so it has a reliable track record.
Dividend Growth(5Y)7.9%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
- 36.49% of the earnings are spent on dividend by LNF. This is a low number and sustainable payout ratio.
- LNF's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP36.49%
EPS Next 2Y1.89%
EPS Next 3Y2.39%
LNF.CA Fundamentals: All Metrics, Ratios and Statistics
TSX:LNF (4/21/2026, 7:00:00 PM)
26.58
-0.01 (-0.04%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Discretionary Distribution & Retail
GICS IndustrySpecialty Retail
Earnings (Last)02-25 2026-02-25/amc
Earnings (Next)05-07 2026-05-07
Inst Owners6.21%
Inst Owner ChangeN/A
Ins Owners3.16%
Ins Owner ChangeN/A
Market Cap1.83B
Revenue(TTM)2.57B
Net Income(TTM)157.05M
Analysts74.55
Price Target36.72 (38.15%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.68% |
Yearly Dividend0.84
Dividend Growth(5Y)7.9%
DP36.49%
Div Incr Years0
Div Non Decr Years0
Ex-Date03-11 2026-03-11 (0.5)
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)6.6%
Min EPS beat(2)-4.64%
Max EPS beat(2)17.84%
EPS beat(4)3
Avg EPS beat(4)22.76%
Min EPS beat(4)-4.64%
Max EPS beat(4)55.17%
EPS beat(8)6
Avg EPS beat(8)18.53%
EPS beat(12)7
Avg EPS beat(12)8.82%
EPS beat(16)10
Avg EPS beat(16)11.89%
Revenue beat(2)0
Avg Revenue beat(2)-1.74%
Min Revenue beat(2)-3.39%
Max Revenue beat(2)-0.08%
Revenue beat(4)2
Avg Revenue beat(4)0.41%
Min Revenue beat(4)-3.39%
Max Revenue beat(4)3.5%
Revenue beat(8)3
Avg Revenue beat(8)-0.64%
Revenue beat(12)4
Avg Revenue beat(12)-1.31%
Revenue beat(16)5
Avg Revenue beat(16)-0.02%
PT rev (1m)5.55%
PT rev (3m)5.99%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-12.24%
EPS NY rev (1m)-0.86%
EPS NY rev (3m)-3.79%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)-0.11%
Revenue NY rev (3m)-1.09%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.12 | ||
| Fwd PE | 11.42 | ||
| P/S | 0.71 | ||
| P/FCF | 7.73 | ||
| P/OCF | 6.62 | ||
| P/B | 1.46 | ||
| P/tB | 3.07 | ||
| EV/EBITDA | 5.22 |
EPS(TTM)2.39
EY8.99%
EPS(NY)2.33
Fwd EY8.76%
FCF(TTM)3.44
FCFY12.93%
OCF(TTM)4.01
OCFY15.1%
SpS37.37
BVpS18.24
TBVpS8.66
PEG (NY)N/A
PEG (5Y)3.69
Graham Number31.3179 (17.83%)
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.34% | ||
| ROE | 12.5% | ||
| ROCE | 11.94% | ||
| ROIC | 8.97% | ||
| ROICexc | 11.57% | ||
| ROICexgc | 21.39% | ||
| OM | 8.6% | ||
| PM (TTM) | 6.1% | ||
| GM | 45.08% | ||
| FCFM | 9.2% |
ROA(3y)6.39%
ROA(5y)7.16%
ROE(3y)13.16%
ROE(5y)16.99%
ROIC(3y)8.74%
ROIC(5y)11.12%
ROICexc(3y)10.68%
ROICexc(5y)14.9%
ROICexgc(3y)20.19%
ROICexgc(5y)59.68%
ROCE(3y)11.64%
ROCE(5y)14.8%
ROICexgc growth 3Y-7.74%
ROICexgc growth 5Y-8.79%
ROICexc growth 3Y-6.16%
ROICexc growth 5Y-3.29%
OM growth 3Y-5.06%
OM growth 5Y-1.07%
PM growth 3Y-5.04%
PM growth 5Y-3.67%
GM growth 3Y0.81%
GM growth 5Y0.34%
F-Score6
Asset Turnover1.04
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.31 | ||
| Debt/FCF | 2.01 | ||
| Debt/EBITDA | 1.17 | ||
| Cap/Depr | 35.96% | ||
| Cap/Sales | 1.54% | ||
| Interest Coverage | 9.62 | ||
| Cash Conversion | 83.34% | ||
| Profit Quality | 150.75% | ||
| Current Ratio | 1.6 | ||
| Quick Ratio | 0.94 | ||
| Altman-Z | 3.01 |
F-Score6
WACC7.24%
ROIC/WACC1.24
Cap/Depr(3y)44.48%
Cap/Depr(5y)34.68%
Cap/Sales(3y)1.92%
Cap/Sales(5y)1.5%
Profit Quality(3y)162.21%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)7.17%
EPS 3Y-3.02%
EPS 5Y3.02%
EPS Q2Q%-24.49%
EPS Next Y-2.62%
EPS Next 2Y1.89%
EPS Next 3Y2.39%
EPS Next 5YN/A
Revenue 1Y (TTM)3.01%
Revenue growth 3Y0.74%
Revenue growth 5Y3%
Sales Q2Q%0.7%
Revenue Next Year0.99%
Revenue Next 2Y1.78%
Revenue Next 3Y1.78%
Revenue Next 5YN/A
EBIT growth 1Y15.94%
EBIT growth 3Y-4.36%
EBIT growth 5Y1.9%
EBIT Next Year48.78%
EBIT Next 3Y16.28%
EBIT Next 5Y10.8%
FCF growth 1Y-16.98%
FCF growth 3YN/A
FCF growth 5Y-12.7%
OCF growth 1Y-19.86%
OCF growth 3Y168.41%
OCF growth 5Y-11.57%
LEON'S FURNITURE LTD / LNF.CA Fundamental Analysis FAQ
What is the ChartMill fundamental rating of LEON'S FURNITURE LTD (LNF.CA) stock?
ChartMill assigns a fundamental rating of 5 / 10 to LNF.CA.
Can you provide the valuation status for LEON'S FURNITURE LTD?
ChartMill assigns a valuation rating of 6 / 10 to LEON'S FURNITURE LTD (LNF.CA). This can be considered as Fairly Valued.
Can you provide the profitability details for LEON'S FURNITURE LTD?
LEON'S FURNITURE LTD (LNF.CA) has a profitability rating of 6 / 10.
What is the financial health of LEON'S FURNITURE LTD (LNF.CA) stock?
The financial health rating of LEON'S FURNITURE LTD (LNF.CA) is 6 / 10.
How sustainable is the dividend of LEON'S FURNITURE LTD (LNF.CA) stock?
The dividend rating of LEON'S FURNITURE LTD (LNF.CA) is 6 / 10 and the dividend payout ratio is 36.49%.