Added to YB: 2026-03-04
Pitch date: 2026-03-02
LNF.TO [bullish]
Leon's Furniture Limited
-2.57%
current return
Author Info
Company Info
Leon's Furniture Limited, together with its subsidiaries, operates as a retailer of home furnishings, mattresses, appliances, and electronics in Canada.
Market Cap
CAD 1.8B
Pitch Price
CAD 26.80
Price Target
83.20 (+219%)
Dividend
3.66%
EV/EBITDA
5.66
P/E
11.47
EV/Sales
0.73
Sector
Specialty Retail
Category
value
This Canadian mid-cap has gone nowhere. But I think it is 2-3x worth more - Leon's Furniture Limited
LNF.TO: Canadian furniture retailer at 14% ROCE (25% on tangible capital), ~$2.6B rev, $152M owner earnings FY25 (+21% YoY). Own most store real estate, end-to-end integration = moat. $415M excess cash (~28% market cap) likely for buybacks given mgmt history. Op leverage: SG&A flat as rev grows, margins expanding (45% gross margin). Depressed housing market = upside as Canadian RE recovers. Potential REIT spinoff catalyst. 2-3x upside per author.
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