LEON'S FURNITURE LTD (LNF.CA) Fundamental Analysis & Valuation
TSX:LNF • CA5266821092
Current stock price
26.5 CAD
+0.25 (+0.95%)
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.
- In the past 5 years LNF has always been profitable.
- LNF had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
- The Return On Assets of LNF (6.34%) is better than 66.67% of its industry peers.
- LNF has a Return On Equity (12.50%) which is comparable to the rest of the industry.
- LNF's Return On Invested Capital of 8.97% is fine compared to the rest of the industry. LNF outperforms 66.67% of its industry peers.
- LNF had an Average Return On Invested Capital over the past 3 years of 8.74%. This is below the industry average of 12.62%.
- 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
- LNF's Profit Margin of 6.10% is in line compared to the rest of the industry. LNF outperforms 55.56% of its industry peers.
- LNF's Profit Margin has declined in the last couple of years.
- Looking at the Operating Margin, with a value of 8.60%, LNF is in line with its industry, outperforming 55.56% of the companies in the same industry.
- In the last couple of years the Operating Margin of LNF has remained more or less at the same level.
- With a decent Gross Margin value of 45.08%, LNF is doing good in the industry, outperforming 66.67% 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.
- LNF has more shares outstanding than it did 1 year ago.
- The number of shares outstanding for LNF has been reduced compared to 5 years ago.
- The debt/assets ratio for LNF is higher compared to a year ago.
2.2 Solvency
- LNF has an Altman-Z score of 3.00. This indicates that LNF is financially healthy and has little risk of bankruptcy at the moment.
- LNF has a Altman-Z score of 3.00. This is in the better half of the industry: LNF outperforms 66.67% 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.
- With a decent Debt to FCF ratio value of 2.01, LNF is doing good in the industry, outperforming 77.78% of the companies in the same industry.
- A Debt/Equity ratio of 0.31 indicates that LNF is not too dependend on debt financing.
- With an excellent Debt to Equity ratio value of 0.31, LNF belongs to the best of the industry, outperforming 83.33% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.31 | ||
| Debt/FCF | 2.01 | ||
| Altman-Z | 3 |
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.
- LNF's Current ratio of 1.60 is amongst the best of the industry. LNF outperforms 83.33% of its industry peers.
- A Quick Ratio of 0.94 indicates that LNF may have some problems paying its short term obligations.
- LNF has a Quick ratio of 0.94. This is in the better half of the industry: LNF outperforms 77.78% 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%.
- Measured over the past 5 years, LNF shows a small growth in Earnings Per Share. The EPS has been growing by 3.02% on average per year.
- LNF shows a small growth in Revenue. In the last year, the Revenue has grown by 3.01%.
- LNF shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 3.00% yearly.
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.
- The Revenue is expected to grow by 1.78% on average over the next years.
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
- Based on the Price/Earnings ratio of 11.09, the valuation of LNF can be described as reasonable.
- Based on the Price/Earnings ratio, LNF is valued cheaper than 83.33% of the companies in the same industry.
- LNF is valuated cheaply when we compare the Price/Earnings ratio to 26.64, which is the current average of the S&P500 Index.
- LNF is valuated reasonably with a Price/Forward Earnings ratio of 11.39.
- Based on the Price/Forward Earnings ratio, LNF is valued cheaper than 83.33% of the companies in the same industry.
- LNF's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 21.36.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.09 | ||
| Fwd PE | 11.39 |
4.2 Price Multiples
- LNF's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. LNF is cheaper than 77.78% of the companies in the same industry.
- LNF's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. LNF is cheaper than 66.67% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 7.71 | ||
| EV/EBITDA | 5.15 |
4.3 Compensation for Growth
- The decent profitability rating of LNF may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)3.68
EPS Next 2Y1.89%
EPS Next 3Y2.39%
5. LNF.CA Dividend Analysis
5.1 Amount
- With a Yearly Dividend Yield of 3.61%, LNF has a reasonable but not impressive dividend return.
- Compared to an average industry Dividend Yield of 1.60, LNF pays a better dividend. On top of this LNF pays more dividend than 88.89% of the companies listed in the same industry.
- Compared to an average S&P500 Dividend Yield of 1.82, LNF pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.61% |
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.
- The dividend of LNF is growing, but the earnings are growing slower. 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 (5/1/2026, 7:00:00 PM)
26.5
+0.25 (+0.95%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Discretionary Distribution & Retail
GICS IndustrySpecialty Retail
Industry Strength29.92
Industry Growth50
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 (38.57%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.61% |
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 | 11.09 | ||
| Fwd PE | 11.39 | ||
| P/S | 0.71 | ||
| P/FCF | 7.71 | ||
| P/OCF | 6.6 | ||
| P/B | 1.45 | ||
| P/tB | 3.06 | ||
| EV/EBITDA | 5.15 |
EPS(TTM)2.39
EY9.02%
EPS(NY)2.33
Fwd EY8.78%
FCF(TTM)3.44
FCFY12.97%
OCF(TTM)4.01
OCFY15.15%
SpS37.37
BVpS18.24
TBVpS8.66
PEG (NY)N/A
PEG (5Y)3.68
Graham Number31.3179 (18.18%)
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 |
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 5Y10.76%
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%.