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L.B. Foster and Floor & Decor have been highlighted as Zacks Bull and Bear of the Day
Read MoreHide Full Article
For Immediate Release
Chicago, IL – May 8, 2026 – Zacks Equity Research shares L.B. Foster (FSTR - Free Report) as the Bull of the Day and Floor & Decor Holdings (FND - Free Report) as the Bear of the Day. In addition, Zacks Equity Research provides analysis on Ford Motor Company (F - Free Report) , General Motors Co. (GM - Free Report) and Tesla, Inc. (TSLA - Free Report) .
L.B. Foster, a Zack Rank #1 (Strong Buy), is an infrastructure solutions company that just delivered a quarter that blew the doors off expectations, and the stock is responding.
Now up more than 40% year-to-date and printing fresh 52-week highs, investors should consider an entry into a name hitting decade long highs.
About the Company
L.B. Foster designs, manufactures, and distributes engineered products for rail, infrastructure, and tubular markets.
The company supplies new and used rail, trackwork, and accessories to railroads, mines, and industrial customers, while also providing steel piling and foundation solutions for the construction industry and pipe coatings and related products for pipeline applications.
FSTR is valued at $400 million and has a Forward PE of 24. The stock has Zacks Style Scores of “A” in Growth and “B” in Value.
Q1 Earnings Beat
Q1 2026 revenue came in at $121.1 million, up 23.9% year over year and well ahead of the $105 million consensus. EPS flipped from an expected loss of $0.22 to a profit of $0.14. This is not a small beat, it’s a complete reversal.
EBITDA hit $5.2 million versus $1.8 million a year ago, and gross margins expanded from 20.6% in Q1 2025.
The Infrastructure segment grew 5.9%, led by Precast Concrete, which was up 17%. Civil construction demand remains robust, and the company's Envirokeeper water management product line is gaining traction with dedicated capital investment behind it.
Steel Products is still in recovery mode, but bidding activity in that business is described as robust, and management expects protective coatings backlog to rebuild as the year unfolds.
The headline backlog number was $209.6 million, down 11.7% year over year. While this is the one thing bears could point to coming out of Q1, management addressed it head-on. Order rates accelerated sharply in the back half of the quarter, driving a 10.7% sequential increase in backlog during Q1 alone.
Then April happened: backlog jumped roughly 15% across the company in a single month. Management said it now has "plenty of work" to hit 2026 targets, with bidding activity described as "extremely strong."
The engine behind the quarter was Rail, where sales surged 38.4%. Federal funding programs that support customer repair and maintenance projects are active again after last year's funding-related disruptions.
Management was direct about it saying there are no signs of disruption this time around.
Full-year 2026 guidance stands at $540-$580 million in revenue and $41-$46 million in adjusted EBITDA, with free cash flow of $15-$25 million. Trailing twelve-month sales of $563 million and adjusted EBITDA of $42.4 million are already sitting at or near the midpoints of those ranges, with the seasonally stronger Q2 and Q3 are still ahead. Management said it will revisit guidance after Q2.
Short term, analysts have taken down estimates since earnings. But looking ahead we see the current year going from $1.55 to $1.74 over the last 7 days. A jump of 12%.
The Technical Take
You have to go back a decade to find the last time FSTR was over $40. After a decade of trading between $10 and $30, investors can finally get excited for a long-term breakout.
The trick here is finding and entry. Let us look at those moving averages investors might want to target on any sell off.
21-day: $32.20
50-day: $30.30
200-day: $28
Those levels are way below current price, so a Fibonacci retracement might be a better entry. The 61.8% retrace is $35, so investors might want to look at the $35-36.50 area as a possible entry.
In Summary
L.B. Foster is a small-cap infrastructure name with real earnings momentum, a clean balance sheet, and government-funded tailwinds that management says are fully intact.
The funding overhang from 2025 is gone, the backlog concern from Q1 is already fading, and the seasonal construction ramp is just getting started.
For patient investors willing to wait for a pullback to that $35-36 range, this decade-long breakout looks like the real thing.
Floor & Decor Holdings, a Zacks Rank #5 (Strong Sell), is a specialty retailer of hard surface flooring that just gave investors a reason to head for the exits.
A Q1 miss, a guide cut, and deteriorating same-store sales trends have the stock under pressure.
And the near-term picture isn't getting any clearer.
About the Company
Floor & Decor operates large-format warehouse stores selling tile, wood, laminate, vinyl, and natural stone flooring along with related installation materials and accessories.
The company targets both professional contractors and retail consumers, with a long-term ambition of operating 500 warehouse-format stores across the United States. At current levels, it is only about 55% built out toward that goal.
FND is valued at $5.5 billion with a forward PE of roughly 26. The stock has fallen sharply from its highs and is now trading around the $50 level.
The stock has Zacks Style Score of “D” in both Growth and Value, but also an “F” in Momentum.
Q1 Earnings Miss
Q1 EPS came in at $0.37 versus the $0.42 estimate, a 12% miss. Revenue was $1.15 billion, missing the $1.19 billion consensus. Comparable store sales fell 3.7% against an expectation of -2.9%, worse than feared and worse than the prior guide implied.
This was the company’s first EPS miss since 2024
Transactions fell 5.5% while average ticket rose just 1.9%, meaning fewer customers came through the door and the ones who did took on smaller projects with lower square footage. That's not a weather story; it’s a consumer pulling back on big-ticket discretionary spending.
Management was candid about what's driving the weakness: elevated 30-year mortgage rates keeping housing turnover depressed, declining consumer sentiment, and rising gas prices tied to Middle East geopolitical tensions.
The housing market remains the key overhang. Floor & Decor's core customer is someone remodeling after buying a home or taking on a large flooring project. This simply isn't showing up at the rate the business needs.
Earnings Estimates Fall After Earnings
Full-year EPS guidance was cut to $1.83-$2.08 from $1.98-$2.18. Revenue guidance moved to $4.77-$4.99 billion from $4.88-$5.03 billion. Same-store sales guidance was cut to -4.0% to flat from -2.0% to +1.0%. Every major metric moved in the wrong direction.
Estimates have followed. Current year EPS has dropped from $2.09 to $1.92 over the past seven days. Next year fell from $2.44 to $2.22. That's a meaningful reset, and with Q2-to-date comps already running at -4.5%, the new guidance may not be conservative enough.
The Technical Take
The stock is trading at lows not seen since 2020, right after COVID. This is not a good sign and while investors might want to buy the dip, the slide could continue if those fundamentals discussed above turn around.
The stock did bounce off recent lows but resistance will likely be found at the 200-day at $54. If the stock breaks below those recent lows, look for more pressure down to the $40 area.
In Summary
Floor & Decor has a legitimate long-term store expansion story, but the near-term setup is working against it on every front. Negative comps, falling estimates, a guide cut, and a housing market that shows no signs of thawing make FND a name to avoid until the macro picture changes.
Additional content:
Is Ford Planning to Sell Part of Its Spain Plant to Geely?
Ford Motor Company is reportedly in highly advanced discussions with Geely Automobile Holdings over the potential sale of part of its Valencia manufacturing plant in Spain. The agreement could also pave the way for a new electric vehicle project.
Per Spanish outlet La Tribuna de Automoción, as cited in an Electrek article, Geely plans to acquire the Body 3 assembly lines at Ford’s Valencia facility and is evaluating the production of a new model, internally known as “135,” at the site.
The vehicle is believed to be the EX2, which would reportedly offer hybrid, plug-in hybrid and fully electric variants built on Geely’s Global Intelligent Electric Architecture (GEA) platform.
Geely may also manufacture a Ford vehicle using the same GEA platform. Geely’s EX2 electric hatchback was China’s top-selling car last year and is expected to be marketed in Europe under the E2 name. The discussion is progressing quickly, with Geely already reaching out to local suppliers.
Per a Ford spokesperson, the company regularly engages in discussions with multiple firms on various projects, though no final agreement has been reached.
Ford has increasingly leaned on strategic partnerships in Europe as part of its restructuring efforts to lower costs and compete more effectively with fast-growing Chinese EV makers. The company’s electric Explorer and Capri models already use Volkswagen AG’s MEB platform, shared with the ID.4 and ID.5.
Divesting part of the underutilized Valencia plant could provide Ford with additional funding while also giving it access to Geely’s EV and software technologies as it works to strengthen its European operations.
Ford has underperformed the Zacks Automotive-Domestic industry and its peer, General Motors Co., while outperforming Tesla, Inc. in the last six months. Its shares have lost 7.5% compared with the industry’s decline of 3.9%. Tesla has lost 10.4%, while General Motors has gained 10.8% in the same period.
From a valuation perspective, F appears undervalued. Going by its price/sales ratio, the company is trading at a forward sales multiple of 0.28, lower than the industry’s 3.43. Tesla is trading at a forward sales multiple of 14.25, while General Motors is trading at 0.38.
The Zacks Consensus Estimate for Ford’s 2026 and 2027 EPS has moved up 5 cents and down 2 cents, respectively, in the past seven days.
Free: Instant Access to Zacks' Market-Crushing Strategies
Since 2000, our top stock-picking strategies have blown away the S&P's +7.7% average gain per year. Amazingly, they soared with average gains of +48.4%, +50.2% and +56.7% per year.
Today you can tap into those powerful strategies – and the high-potential stocks they uncover – free. No strings attached.
Zacks.com provides investment resources and informs you of these resources, which you may choose to use in making your own investment decisions. Zacks is providing information on this resource to you subject to the Zacks "Terms and Conditions of Service" disclaimer. www.zacks.com/disclaimer.
Past performance is no guarantee of future results. Inherent in any investment is the potential for loss.This material is being provided for informational purposes only and nothing herein constitutes investment, legal, accounting or tax advice, or a recommendation to buy, sell or hold a security. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. It should not be assumed that any investments in securities, companies, sectors or markets identified and described were or will be profitable. All information is current as of the date of herein and is subject to change without notice. Any views or opinions expressed may not reflect those of the firm as a whole. Zacks Investment Research does not engage in investment banking, market making or asset management activities of any securities. These returns are from hypothetical portfolios consisting of stocks with Zacks Rank = 1 that were rebalanced monthly with zero transaction costs. These are not the returns of actual portfolios of stocks. The S&P 500 is an unmanaged index.Visit https://www.zacks.com/performance for information about the performance numbers displayed in this press release.
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L.B. Foster and Floor & Decor have been highlighted as Zacks Bull and Bear of the Day
For Immediate Release
Chicago, IL – May 8, 2026 – Zacks Equity Research shares L.B. Foster (FSTR - Free Report) as the Bull of the Day and Floor & Decor Holdings (FND - Free Report) as the Bear of the Day. In addition, Zacks Equity Research provides analysis on Ford Motor Company (F - Free Report) , General Motors Co. (GM - Free Report) and Tesla, Inc. (TSLA - Free Report) .
Here is a synopsis of all five stocks.
Bull of the Day:
L.B. Foster, a Zack Rank #1 (Strong Buy), is an infrastructure solutions company that just delivered a quarter that blew the doors off expectations, and the stock is responding.
Now up more than 40% year-to-date and printing fresh 52-week highs, investors should consider an entry into a name hitting decade long highs.
About the Company
L.B. Foster designs, manufactures, and distributes engineered products for rail, infrastructure, and tubular markets.
The company supplies new and used rail, trackwork, and accessories to railroads, mines, and industrial customers, while also providing steel piling and foundation solutions for the construction industry and pipe coatings and related products for pipeline applications.
FSTR is valued at $400 million and has a Forward PE of 24. The stock has Zacks Style Scores of “A” in Growth and “B” in Value.
Q1 Earnings Beat
Q1 2026 revenue came in at $121.1 million, up 23.9% year over year and well ahead of the $105 million consensus. EPS flipped from an expected loss of $0.22 to a profit of $0.14. This is not a small beat, it’s a complete reversal.
EBITDA hit $5.2 million versus $1.8 million a year ago, and gross margins expanded from 20.6% in Q1 2025.
The Infrastructure segment grew 5.9%, led by Precast Concrete, which was up 17%. Civil construction demand remains robust, and the company's Envirokeeper water management product line is gaining traction with dedicated capital investment behind it.
Steel Products is still in recovery mode, but bidding activity in that business is described as robust, and management expects protective coatings backlog to rebuild as the year unfolds.
The headline backlog number was $209.6 million, down 11.7% year over year. While this is the one thing bears could point to coming out of Q1, management addressed it head-on. Order rates accelerated sharply in the back half of the quarter, driving a 10.7% sequential increase in backlog during Q1 alone.
Then April happened: backlog jumped roughly 15% across the company in a single month. Management said it now has "plenty of work" to hit 2026 targets, with bidding activity described as "extremely strong."
The engine behind the quarter was Rail, where sales surged 38.4%. Federal funding programs that support customer repair and maintenance projects are active again after last year's funding-related disruptions.
Management was direct about it saying there are no signs of disruption this time around.
L.B. Foster Company price-eps-surprise | L.B. Foster Company Quote
Strong Guide
Full-year 2026 guidance stands at $540-$580 million in revenue and $41-$46 million in adjusted EBITDA, with free cash flow of $15-$25 million. Trailing twelve-month sales of $563 million and adjusted EBITDA of $42.4 million are already sitting at or near the midpoints of those ranges, with the seasonally stronger Q2 and Q3 are still ahead. Management said it will revisit guidance after Q2.
Short term, analysts have taken down estimates since earnings. But looking ahead we see the current year going from $1.55 to $1.74 over the last 7 days. A jump of 12%.
The Technical Take
You have to go back a decade to find the last time FSTR was over $40. After a decade of trading between $10 and $30, investors can finally get excited for a long-term breakout.
The trick here is finding and entry. Let us look at those moving averages investors might want to target on any sell off.
21-day: $32.20
50-day: $30.30
200-day: $28
Those levels are way below current price, so a Fibonacci retracement might be a better entry. The 61.8% retrace is $35, so investors might want to look at the $35-36.50 area as a possible entry.
In Summary
L.B. Foster is a small-cap infrastructure name with real earnings momentum, a clean balance sheet, and government-funded tailwinds that management says are fully intact.
The funding overhang from 2025 is gone, the backlog concern from Q1 is already fading, and the seasonal construction ramp is just getting started.
For patient investors willing to wait for a pullback to that $35-36 range, this decade-long breakout looks like the real thing.
Bear of the Day:
Floor & Decor Holdings, a Zacks Rank #5 (Strong Sell), is a specialty retailer of hard surface flooring that just gave investors a reason to head for the exits.
A Q1 miss, a guide cut, and deteriorating same-store sales trends have the stock under pressure.
And the near-term picture isn't getting any clearer.
About the Company
Floor & Decor operates large-format warehouse stores selling tile, wood, laminate, vinyl, and natural stone flooring along with related installation materials and accessories.
The company targets both professional contractors and retail consumers, with a long-term ambition of operating 500 warehouse-format stores across the United States. At current levels, it is only about 55% built out toward that goal.
FND is valued at $5.5 billion with a forward PE of roughly 26. The stock has fallen sharply from its highs and is now trading around the $50 level.
The stock has Zacks Style Score of “D” in both Growth and Value, but also an “F” in Momentum.
Q1 Earnings Miss
Q1 EPS came in at $0.37 versus the $0.42 estimate, a 12% miss. Revenue was $1.15 billion, missing the $1.19 billion consensus. Comparable store sales fell 3.7% against an expectation of -2.9%, worse than feared and worse than the prior guide implied.
This was the company’s first EPS miss since 2024
Transactions fell 5.5% while average ticket rose just 1.9%, meaning fewer customers came through the door and the ones who did took on smaller projects with lower square footage. That's not a weather story; it’s a consumer pulling back on big-ticket discretionary spending.
Management was candid about what's driving the weakness: elevated 30-year mortgage rates keeping housing turnover depressed, declining consumer sentiment, and rising gas prices tied to Middle East geopolitical tensions.
The housing market remains the key overhang. Floor & Decor's core customer is someone remodeling after buying a home or taking on a large flooring project. This simply isn't showing up at the rate the business needs.
Earnings Estimates Fall After Earnings
Full-year EPS guidance was cut to $1.83-$2.08 from $1.98-$2.18. Revenue guidance moved to $4.77-$4.99 billion from $4.88-$5.03 billion. Same-store sales guidance was cut to -4.0% to flat from -2.0% to +1.0%. Every major metric moved in the wrong direction.
Estimates have followed. Current year EPS has dropped from $2.09 to $1.92 over the past seven days. Next year fell from $2.44 to $2.22. That's a meaningful reset, and with Q2-to-date comps already running at -4.5%, the new guidance may not be conservative enough.
The Technical Take
The stock is trading at lows not seen since 2020, right after COVID. This is not a good sign and while investors might want to buy the dip, the slide could continue if those fundamentals discussed above turn around.
The stock did bounce off recent lows but resistance will likely be found at the 200-day at $54. If the stock breaks below those recent lows, look for more pressure down to the $40 area.
In Summary
Floor & Decor has a legitimate long-term store expansion story, but the near-term setup is working against it on every front. Negative comps, falling estimates, a guide cut, and a housing market that shows no signs of thawing make FND a name to avoid until the macro picture changes.
Additional content:
Is Ford Planning to Sell Part of Its Spain Plant to Geely?
Ford Motor Company is reportedly in highly advanced discussions with Geely Automobile Holdings over the potential sale of part of its Valencia manufacturing plant in Spain. The agreement could also pave the way for a new electric vehicle project.
Per Spanish outlet La Tribuna de Automoción, as cited in an Electrek article, Geely plans to acquire the Body 3 assembly lines at Ford’s Valencia facility and is evaluating the production of a new model, internally known as “135,” at the site.
The vehicle is believed to be the EX2, which would reportedly offer hybrid, plug-in hybrid and fully electric variants built on Geely’s Global Intelligent Electric Architecture (GEA) platform.
Geely may also manufacture a Ford vehicle using the same GEA platform. Geely’s EX2 electric hatchback was China’s top-selling car last year and is expected to be marketed in Europe under the E2 name. The discussion is progressing quickly, with Geely already reaching out to local suppliers.
Per a Ford spokesperson, the company regularly engages in discussions with multiple firms on various projects, though no final agreement has been reached.
Ford has increasingly leaned on strategic partnerships in Europe as part of its restructuring efforts to lower costs and compete more effectively with fast-growing Chinese EV makers. The company’s electric Explorer and Capri models already use Volkswagen AG’s MEB platform, shared with the ID.4 and ID.5.
Divesting part of the underutilized Valencia plant could provide Ford with additional funding while also giving it access to Geely’s EV and software technologies as it works to strengthen its European operations.
F carries a Zacks Rank #3 (Hold) at present. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
F’s Price Performance, Valuation and Estimates
Ford has underperformed the Zacks Automotive-Domestic industry and its peer, General Motors Co., while outperforming Tesla, Inc. in the last six months. Its shares have lost 7.5% compared with the industry’s decline of 3.9%. Tesla has lost 10.4%, while General Motors has gained 10.8% in the same period.
From a valuation perspective, F appears undervalued. Going by its price/sales ratio, the company is trading at a forward sales multiple of 0.28, lower than the industry’s 3.43. Tesla is trading at a forward sales multiple of 14.25, while General Motors is trading at 0.38.
The Zacks Consensus Estimate for Ford’s 2026 and 2027 EPS has moved up 5 cents and down 2 cents, respectively, in the past seven days.
Free: Instant Access to Zacks' Market-Crushing Strategies
Since 2000, our top stock-picking strategies have blown away the S&P's +7.7% average gain per year. Amazingly, they soared with average gains of +48.4%, +50.2% and +56.7% per year.
Today you can tap into those powerful strategies – and the high-potential stocks they uncover – free. No strings attached.
Get all the details here >>
Media Contact
Zacks Investment Research
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https://www.zacks.com
Zacks.com provides investment resources and informs you of these resources, which you may choose to use in making your own investment decisions. Zacks is providing information on this resource to you subject to the Zacks "Terms and Conditions of Service" disclaimer. www.zacks.com/disclaimer.
Past performance is no guarantee of future results. Inherent in any investment is the potential for loss.This material is being provided for informational purposes only and nothing herein constitutes investment, legal, accounting or tax advice, or a recommendation to buy, sell or hold a security. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. It should not be assumed that any investments in securities, companies, sectors or markets identified and described were or will be profitable. All information is current as of the date of herein and is subject to change without notice. Any views or opinions expressed may not reflect those of the firm as a whole. Zacks Investment Research does not engage in investment banking, market making or asset management activities of any securities. These returns are from hypothetical portfolios consisting of stocks with Zacks Rank = 1 that were rebalanced monthly with zero transaction costs. These are not the returns of actual portfolios of stocks. The S&P 500 is an unmanaged index.Visit https://www.zacks.com/performance for information about the performance numbers displayed in this press release.