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What: Shares of La-Z-Boy
So what: Earnings came out last night, but they certainly didn’t warrant the move we saw today. Adjusting for one-time items, earnings per share totaled $0.24, on revenue of $338.9 million. Analysts only expected earnings of $0.19 and revenue of $324 million, so what in the world is going on?
Now what: The move was really based on a Wall Street Strategies downgrade of the stock, coupled with expectations of cautious consumer spending. I think the market is overreacting today, projecting far too much weakness after a solid earnings beat. La-Z-Boy is a better value than both Ethan Allen
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Fool contributor Travis Hoium does not have a position in any company mentioned. You can follow Travis on Twitter at @FlushDrawFool, check out his personal stock holdings or follow his CAPS picks at TMFFlushDraw.
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