ScoreWhy is Leggett & Platt, Inc. ?
1
Poor long term growth as Operating profit has grown by an annual rate -8.05% of over the last 5 years
2
The company has declared Negative results for the last 5 consecutive quarters
- OPERATING CASH FLOW(Y) Lowest at USD 308.6 MM
- NET PROFIT(HY) At USD 88.9 MM has Grown at -27.27%
3
With ROCE of 10.91%, it has a risky valuation with a 1.47 Enterprise value to Capital Employed
- The stock is trading at a discount compared to its peers' average historical valuations
- Over the past year, while the stock has generated a return of -6.86%, its profits have fallen by -32%
4
Consistent Underperformance against the benchmark over the last 3 years
- Along with generating -6.86% returns in the last 1 year, the stock has also underperformed S&P 500 in each of the last 3 annual periods
Real-Time Research ReportHow much should you hold?
- Overall Portfolio exposure to Leggett & Platt, Inc. should be less than 10%
- Overall Portfolio exposure to Furniture, Home Furnishing should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Furniture, Home Furnishing)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Leggett & Platt, Inc. for you?
High Risk, Low Return
Absolute
Risk Adjusted
Volatility
Leggett & Platt, Inc.
-6.86%
-0.14
58.99%
S&P 500
13.22%
0.65
20.20%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
-0.17%
EBIT Growth (5y)
-8.05%
EBIT to Interest (avg)
4.96
Debt to EBITDA (avg)
3.23
Net Debt to Equity (avg)
2.11
Sales to Capital Employed (avg)
1.48
Tax Ratio
1.16%
Dividend Payout Ratio
0
Pledged Shares
0
Institutional Holding
92.96%
ROCE (avg)
12.54%
ROE (avg)
22.19%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
9
Industry P/E
Price to Book Value
2.45
EV to EBIT
13.45
EV to EBITDA
8.82
EV to Capital Employed
1.47
EV to Sales
0.79
PEG Ratio
NA
Dividend Yield
145.39%
ROCE (Latest)
10.91%
ROE (Latest)
26.31%
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bullish
Mildly Bullish
RSI
No Signal
No Signal
Bollinger Bands
Bullish
Mildly Bearish
Moving Averages
Bullish (Daily)
KST
Bearish
Mildly Bullish
Dow Theory
Mildly Bullish
No Trend
OBV
Mildly Bullish
Mildly Bearish
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend9What is working for the Company
ROCE(HY)
Highest at 18.68%
INVENTORY TURNOVER RATIO(HY)
Highest at 4.97 times
RAW MATERIAL COST(Y)
Fallen by -9.97% (YoY
CASH AND EQV(HY)
Highest at USD 781.4 MM
PRE-TAX PROFIT(Q)
Highest at USD 74.8 MM
EPS(Q)
Highest at USD 0.38
-9What is not working for the Company
OPERATING CASH FLOW(Y)
Lowest at USD 308.6 MM
NET PROFIT(HY)
At USD 88.9 MM has Grown at -27.27%
Here's what is working for Leggett & Platt, Inc.
Inventory Turnover Ratio
Highest at 4.97 times and Grown
In each half year in the last five Semi-Annual periodsMOJO Watch
Company has been able to sell its inventory faster
Inventory Turnover Ratio
Pre-Tax Profit
Highest at USD 74.8 MM
in the last five periodsMOJO Watch
Near term Pre-Tax Profit trend is positive
Pre-Tax Profit (USD MM)
Pre-Tax Profit
At USD 74.8 MM has Grown at 39.94%
over average net sales of the previous four periods of USD 53.45 MMMOJO Watch
Near term Pre-Tax Profit trend is positive
Pre-Tax Profit (USD MM)
EPS
Highest at USD 0.38
in the last five periodsMOJO Watch
Increasing profitability; company has created higher earnings for shareholders
EPS (USD)
Cash and Eqv
Highest at USD 781.4 MM
in the last six Semi-Annual periodsMOJO Watch
Short Term liquidity is improving
Cash and Cash Equivalents
Raw Material Cost
Fallen by -9.97% (YoY)
MOJO Watch
The company's ability to pass on the cost of raw materials to customers has improved; this may lead to a rise in profit margin
Raw Material Cost as a percentage of Sales
Here's what is not working for Leggett & Platt, Inc.
Operating Cash Flow
Lowest at USD 308.6 MM and Fallen
In each year in the last three yearsMOJO Watch
The company's cash revenues from business operations are falling
Operating Cash Flows (USD MM)
Net Profit
At USD 88.9 MM has Grown at -27.27%
Year on Year (YoY)MOJO Watch
Near term Net Profit trend is negative
Net Profit (USD MM)
Non Operating Income
Highest at USD 0.34 MM
in the last five periodsMOJO Watch
Increased income from non business activities may not be sustainable
Non Operating income
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