Track the companies that matter to you. It's FREE! Click one of these fan favorites to get started: Apple; Google; Ford.



Why La-Z-Boy's Shares Reclined Today

Don't let it get away!

Keep track of the stocks that matter to you.

Help yourself with the Fool's FREE and easy new watchlist service today.

Although we don't believe in timing the market or panicking over market movements, we do like to keep an eye on big changes -- just in case they're material to our investing thesis.

What: Shares of La-Z-Boy (NYSE: LZB  ) fell 10% today, after reporting earnings.

So what: Fiscal second quarter revenue rose 5%, to $322.3 million, which was just shy of the $325.4 million that analysts expected. Net income was only $6.6 million, or $0.12 per share, which fell well short of the $0.20 per share in earnings that analysts expected.

Now what: The revenue increase was encouraging, but spending on marketing, store openings, and incentives for employees ate into profits. Some of the spending is expected to be short term in nature, and profit should come back in the second half of the fiscal year. The company also brought a $0.04 per share dividend back, which is a strong sign for the future. The stock isn't terribly cheap at 14 times forward earnings, but a further pullback would be a nice entry point.

Interested in more info on La-Z-Boy? Add it to your watchlist by clicking here.

Read/Post Comments (0) | Recommend This Article (1)

Comments from our Foolish Readers

Help us keep this a respectfully Foolish area! This is a place for our readers to discuss, debate, and learn more about the Foolish investing topic you read about above. Help us keep it clean and safe. If you believe a comment is abusive or otherwise violates our Fool's Rules, please report it via the Report this Comment Report this Comment icon found on every comment.

Be the first one to comment on this article.

Compare Brokers

Fool Disclosure

Sponsored Links

Leaked: Apple's Next Smart Device
(Warning, it may shock you)
The secret is out... experts are predicting 458 million of these types of devices will be sold per year. 1 hyper-growth company stands to rake in maximum profit - and it's NOT Apple. Show me Apple's new smart gizmo!

DocumentId: 2133325, ~/Articles/ArticleHandler.aspx, 10/26/2016 2:29:24 AM

Report This Comment

Use this area to report a comment that you believe is in violation of the community guidelines. Our team will review the entry and take any appropriate action.

Sending report...

Today's Market

updated 5 hours ago Sponsored by:
DOW 18,169.27 -53.76 -0.30%
S&P 500 2,143.16 -8.17 -0.38%
NASD 5,283.40 -26.43 -0.50%

Create My Watchlist

Go to My Watchlist

You don't seem to be following any stocks yet!

Better investing starts with a watchlist. Now you can create a personalized watchlist and get immediate access to the personalized information you need to make successful investing decisions.

Data delayed up to 5 minutes

Related Tickers

10/25/2016 4:02 PM
LZB $23.00 Down -0.05 -0.22%
La-Z-Boy CAPS Rating: *