Markets & Finance

BB&T Capital Upgrades La-Z Boy to 'Strong Buy'


BB&T Capital upgraded La-Z Boy (LZB) to strong buy from buy.

On Thursday the furniture maker posted 45 cents, vs. 41 cents fourth-quarter earnings per share. Analyst Joel Havard says the results came in better than his forecast. He cut the $1.93 fiscal 2004 (April) earnings per share estimate to $1.78, and upped the $2.32 fiscal 2005 to $2.20 as Havard enters a seasonally weak summertime. However, a strong free-cash flow profile, a meaningful operating leverage in a recovery scenario, and a four million share repurchase authorization provide what he thinks is a cushion to his estimates.

Havard thinks the attractive valuation, particularly relative to the group, warrants a $21 target rise to $25.


Soul Searcher
LIMITED-TIME OFFER SUBSCRIBE NOW

(enter your email)
(enter up to 5 email addresses, separated by commas)

Max 250 characters

Sponsored Financial Commentaries

Sponsored Links

Buy a link now!

 
blog comments powered by Disqus