Leggett & Platt, Inc. (NYSE: LEG)’s stock price has dropped by 0.00 in relation to previous closing price of 17.30. Nevertheless, the company has seen a loss of -5.57% in its stock price over the last five trading days. Seeking Alpha reported 2024-04-14 that Leggett & Platt, Inc. is facing lower sales, shrinking margins, and declining return on invested capital, putting its dividend king status at risk. The company has years ahead before it can see any growth in sales. The well-diversified product line does provide some strength for facing uncertain times.
Is It Worth Investing in Leggett & Platt, Inc. (NYSE: LEG) Right Now?
The 36-month beta value for LEG is also noteworthy at 1.21. There are mixed opinions on the stock, with 4 analysts rating it as a “buy,” 1 rating it as “overweight,” 3 rating it as “hold,” and 0 rating it as “sell.”
The public float for LEG is 131.15M, and at present, short sellers hold a 6.33% of that float. The average trading volume of LEG on April 18, 2024 was 1.73M shares.
LEG’s Market Performance
LEG’s stock has seen a -5.57% decrease for the week, with a -6.03% drop in the past month and a -26.07% fall in the past quarter. The volatility ratio for the week is 2.18%, and the volatility levels for the past 30 days are at 2.42% for Leggett & Platt, Inc. The simple moving average for the last 20 days is -6.61% for LEG’s stock, with a simple moving average of -29.27% for the last 200 days.
Analysts’ Opinion of LEG
Many brokerage firms have already submitted their reports for LEG stocks, with Goldman repeating the rating for LEG by listing it as a “Neutral.” The predicted price for LEG in the upcoming period, according to Goldman is $34 based on the research report published on April 11, 2023 of the previous year 2023.
Piper Sandler, on the other hand, stated in their research note that they expect to see LEG reach a price target of $24, previously predicting the price at $31. The rating they have provided for LEG stocks is “Underweight” according to the report published on December 12th, 2022.
LEG Trading at -12.33% from the 50-Day Moving Average
After a stumble in the market that brought LEG to its low price for the period of the last 52 weeks, the company was unable to rebound, for now settling with -48.36% of loss for the given period.
Volatility was left at 2.42%, however, over the last 30 days, the volatility rate increased by 2.18%, as shares sank -7.98% for the moving average over the last 20 days. Over the last 50 days, in opposition, the stock is trading -24.52% lower at present.
During the last 5 trading sessions, LEG fell by -5.57%, which changed the moving average for the period of 200-days by -41.59% in comparison to the 20-day moving average, which settled at $18.45. In addition, Leggett & Platt, Inc. saw -33.89% in overturn over a single year, with a tendency to cut further losses.
Insider Trading
Reports are indicating that there were more than several insider trading activities at LEG starting from WOOD PHOEBE A, who sale 6,000 shares at the price of $32.61 back on May 23 ’23. After this action, WOOD PHOEBE A now owns 53,109 shares of Leggett & Platt, Inc., valued at $195,679 using the latest closing price.
Stock Fundamentals for LEG
Current profitability levels for the company are sitting at:
- 0.07 for the present operating margin
- 0.18 for the gross margin
The net margin for Leggett & Platt, Inc. stands at -0.03. The total capital return value is set at 0.1. Equity return is now at value -9.20, with -2.79 for asset returns.
Based on Leggett & Platt, Inc. (LEG), the company’s capital structure generated 0.6 points at debt to capital in total, while cash flow to debt ratio is standing at 0.24. The debt to equity ratio resting at 1.53. The interest coverage ratio of the stock is 4.07.
Currently, EBITDA for the company is 498.5 million with net debt to EBITDA at 3.54. When we switch over and look at the enterprise to sales, we see a ratio of 0.88. The receivables turnover for the company is 7.41for trailing twelve months and the total asset turnover is 1.02. The liquidity ratio also appears to be rather interesting for investors as it stands at 1.49.
Conclusion
In summary, Leggett & Platt, Inc. (LEG) has had a bad performance as of late. Analysts have bullish opinions on the stock, with some viewing it as a “buy” and others as a “hold”. It’s important to note that the stock is currently trading at a significant distance from its 50-day moving average and its 52-week high.
