Lumber Liquidators Holdings (LL) Gains But Lags Market: What You Should Know

LL

Lumber Liquidators Holdings (LL - Free Report) closed the most recent trading day at $19.65, moving +0.61% from the previous trading session. This move lagged the S&P 500's daily gain of 0.95%.

Coming into today, shares of the hardwood floors retailer had lost 5.33% in the past month. In that same time, the Retail-Wholesale sector gained 0.55%, while the S&P 500 lost 1.87%.

Wall Street will be looking for positivity from LL as it approaches its next earnings report date. In that report, analysts expect LL to post earnings of $0.24 per share. This would mark a year-over-year decline of 64.18%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $289.2 million, down 2.24% from the year-ago period.

LL's full-year Zacks Consensus Estimates are calling for earnings of $1.25 per share and revenue of $1.18 billion. These results would represent year-over-year changes of -45.18% and +7.04%, respectively.

It is also important to note the recent changes to analyst estimates for LL. Recent revisions tend to reflect the latest near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.

Based on our research, we believe these estimate revisions are directly related to near-team stock moves. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.

The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 0.81% higher within the past month. LL currently has a Zacks Rank of #5 (Strong Sell).

Investors should also note LL's current valuation metrics, including its Forward P/E ratio of 15.62. This valuation marks a premium compared to its industry's average Forward P/E of 15.2.

The Building Products - Retail industry is part of the Retail-Wholesale sector. This group has a Zacks Industry Rank of 56, putting it in the top 23% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

To follow LL in the coming trading sessions, be sure to utilize Zacks.com.

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