Is the business good?
How good a business is LZB?
La-Z-Boy Incorporated earns 14% on the capital it employs against a 9.0% cost of capital, so the business is worth more the bigger it gets.
14%
Return on invested capital · cost of capital 9.0% · 4.9 points above what the capital costs: growth creates value
- Operating margin
- 6.1%
Operating margin · Furnishings, Fixtures & Appliances median 5.7% · 12 months to Q4 2026
- Cash conversion
- 1.25×
Cash conversion · 1.14× a year ago · every dollar of reported profit arrived as cash, and more
- Gross margin
- 44%
Gross margin
| Year | Operating margin |
|---|---|
| FY2021 | 7.9% |
| FY2022 | 8.8% |
| FY2023 | 9.0% |
| FY2024 | 7.4% |
| FY2025 | 6.4% |
| FY2026 | 6.1% |
Details›
- Gross margin12 months to Q4 2026
- 44%
- Operating margin12 months to Q4 2026
- 6.1%
- Net margin12 months to Q4 2026
- 4.8%
- Free cash flow margin
- 6.0%
- Revenue, trailing twelve months
- $2.13B
- Free cash flow, trailing twelve months
- $128M
- Net income, trailing twelve months
- $102M
- Return on invested capitaloperating profit after tax ÷ debt + equity − cash
- 14%
Margins, capital and share counts from the statements as filed with the SEC; cash conversion from the cash flow statement.
Furnishings, Fixtures & Appliances
Ranks #6 of 11 by Smart Score