📊 LZB Key Takeaways
Is La-Z-Boy Inc. (LZB) a Good Investment?
LA-Z-BOY demonstrates fortress-like financial health with zero debt and strong liquidity, but faces fundamental operational headwinds including stagnant revenue growth (0.8% YoY), declining net income (-0.9% YoY), and persistently low profitability margins. The company generates adequate free cash flow ($127.8M) but appears to be a mature furniture business struggling to expand in a competitive market with limited capital efficiency (9.7% ROE).
LA-Z-BOY shows solid fundamental stability, supported by a debt-free balance sheet, strong liquidity, and healthy free cash flow generation. However, growth quality is only moderate: revenue is rising modestly while net income and diluted EPS are declining, and profitability remains adequate rather than strong. The company looks financially resilient, but the current fundamentals do not yet indicate clear operating momentum.
La-Z-Boy Inc. Key Strengths (LZB)
- Zero long-term debt and strong balance sheet with $303.2M cash position
- Healthy liquidity ratios (1.80x current, 1.29x quick) indicating short-term solvency
- Positive free cash flow generation ($127.8M, 6.0% FCF margin) supporting dividends or debt reduction
- 44% gross margin demonstrates pricing power and acceptable product cost structure
- Debt-free capital structure with $306.12M in cash provides strong balance-sheet flexibility
- Free cash flow of $118.95M and a 7.6% FCF margin indicate real cash generation
- Gross margin of 43.3% and current ratio of 1.66x support operating resilience and liquidity
LZB Stock Risks: La-Z-Boy Inc. Investment Risks
- Stagnant revenue growth at 0.8% YoY indicates market saturation or competitive pressures in household furniture sector
- Declining net income year-over-year while gross margins remain flat suggests inability to control expenses
- Low profitability metrics (4.8% net margin, 6.1% operating margin) leave minimal buffer for economic downturns
- Weak returns on capital (9.7% ROE, 5.0% ROA) suggest poor capital efficiency and limited growth reinvestment opportunities
- Net income fell 1.4% and diluted EPS declined 17.0%, suggesting weaker earnings quality than revenue growth implies
- Operating margin of 5.7% and net margin of 4.4% leave limited room for execution missteps or demand softness
- ROE of 6.6% and ROA of 3.3% indicate relatively modest returns on capital
Key Metrics to Watch
- Revenue growth rate (need acceleration above 2-3% to signal market recovery)
- Operating and net margins (monitor for compression indicating operational deterioration)
- Free cash flow sustainability (ensure FCF remains positive and doesn't decline)
- Return on equity trend (watch if ROE improves with margin expansion or debt paydown)
- Operating margin trend
- Free cash flow consistency
La-Z-Boy Inc. (LZB) Financial Metrics & Key Ratios
💡 AI Analyst Insight
La-Z-Boy Inc. presents a mixed fundamental picture. Review the detailed metrics above to form your own investment thesis.
LZB Profit Margin, ROE & Profitability Analysis
LZB vs Market Sector: How La-Z-Boy Inc. Compares
How La-Z-Boy Inc. compares to Market sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is La-Z-Boy Inc. Stock Overvalued? LZB Valuation Analysis 2026
Based on fundamental analysis, La-Z-Boy Inc. has mixed fundamental signals relative to the Market sector in 2026.
Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.
La-Z-Boy Inc. Balance Sheet: LZB Debt, Cash & Liquidity
LZB Revenue & Earnings Growth: 5-Year Financial Trend
5-Year Trend Summary: La-Z-Boy Inc.'s revenue has remained relatively flat over the 5-year period, with a 10% decline. The most recent EPS of $2.83 reflects profitable operations.
LZB Revenue Growth, EPS Growth & YoY Performance
LZB Quarterly Earnings & Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q3 2026 | $521.8M | $21.7M | $0.52 |
| Q2 2026 | $521.0M | $28.9M | $0.70 |
| Q1 2026 | $492.2M | $18.2M | $0.44 |
| Q3 2025 | $500.4M | $28.4M | $0.66 |
| Q2 2025 | $511.4M | $27.2M | $0.63 |
| Q1 2025 | $481.7M | $26.2M | $0.61 |
| Q3 2024 | $500.4M | $28.6M | $0.66 |
| Q2 2024 | $511.4M | $27.2M | $0.63 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
La-Z-Boy Inc. Dividends, Buybacks & Capital Allocation
LZB SEC Filings: Latest 10-K & 10-Q Analysis
Access official SEC EDGAR filings for La-Z-Boy Inc. (CIK: 0000057131)
📋 Recent SEC Filings
| Date | Form | Document | Action |
|---|---|---|---|
| Jun 29, 2026 | 4 | xslF345X06/wk-form4_1782776207.xml | View → |
| Jun 29, 2026 | 4 | xslF345X06/wk-form4_1782776066.xml | View → |
| Jun 29, 2026 | 4 | xslF345X06/wk-form4_1782775928.xml | View → |
| Jun 29, 2026 | 4 | xslF345X06/wk-form4_1782775798.xml | View → |
| Jun 29, 2026 | 4 | xslF345X06/wk-form4_1782775652.xml | View → |
❓ Frequently Asked Questions about LZB
What is the AI rating for LZB?
La-Z-Boy Inc. (LZB) has a Combined AI Grade of B from Claude (B) and ChatGPT (B) with 76% combined confidence, based on fundamental analysis of SEC EDGAR filings.
What are LZB's key strengths?
Claude: Zero long-term debt and strong balance sheet with $303.2M cash position. Healthy liquidity ratios (1.80x current, 1.29x quick) indicating short-term solvency. ChatGPT: Debt-free capital structure with $306.12M in cash provides strong balance-sheet flexibility. Free cash flow of $118.95M and a 7.6% FCF margin indicate real cash generation.
What are the risks of investing in LZB?
Claude: Stagnant revenue growth at 0.8% YoY indicates market saturation or competitive pressures in household furniture sector. Declining net income year-over-year while gross margins remain flat suggests inability to control expenses. ChatGPT: Net income fell 1.4% and diluted EPS declined 17.0%, suggesting weaker earnings quality than revenue growth implies. Operating margin of 5.7% and net margin of 4.4% leave limited room for execution missteps or demand softness.
What is LZB's revenue and growth?
La-Z-Boy Inc. reported revenue of $2.1B.
Does LZB pay dividends?
La-Z-Boy Inc. pays dividends, with $37.9M distributed to shareholders in the trailing twelve months.
Where can I find LZB SEC filings?
Official SEC filings for La-Z-Boy Inc. (CIK: 0000057131) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is LZB's EPS?
La-Z-Boy Inc. has a diluted EPS of $2.47.
How is the AI analysis conducted?
Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined grade reflects both perspectives for balanced insights.
What is LZB's fundamental grade?
Based on our AI fundamental analysis in June 2026, La-Z-Boy Inc. has a B grade with 76% confidence. Review the strengths and risks sections above for full context. This is not investment advice.
Is LZB stock overvalued or undervalued?
Valuation metrics for LZB: ROE of 9.7% (sector avg: 15%), net margin of 4.8% (sector avg: 12%). Compare these metrics with sector averages to assess valuation.
What is LZB's AI grade for 2026?
Our dual AI analysis gives La-Z-Boy Inc. a combined B grade for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.
What is LZB's free cash flow?
La-Z-Boy Inc.'s operating cash flow is $204.1M, with capital expenditures of $76.3M. FCF margin is 6.0%.
How does LZB compare to other Market stocks?
Vs Default sector averages: Net margin 4.8% (avg: 12%), ROE 9.7% (avg: 15%), current ratio 1.80 (avg: 1.8).