TLDR
- La-Z-Boy reported Q4 adjusted EPS of $1.26, crushing the $0.82 analyst estimate by $0.44
- Revenue came in at $570 million, roughly in line with the $569 million consensus
- The stock jumped as much as 17% in pre-market trading after closing down 7.2% on Tuesday
- Adjusted operating margin expanded to 9.9% from 9.4% in the prior year quarter
- Q1 guidance calls for sales of $490–$510 million, with the midpoint slightly above Wall Street’s $495 million estimate
La-Z-Boy (LZB) stock surged in pre-market trading Wednesday, climbing as much as 17% to $40.69 after the furniture maker posted a strong fourth quarter that blew past analyst expectations.
Adjusted earnings came in at $1.26 per share, well ahead of the $0.82 consensus estimate. Revenue reached $570 million, roughly matching the $569 million Wall Street was looking for.
The earnings beat landed after the stock had already taken a hit. LZB closed Tuesday down 7.2%, meaning Wednesday’s bounce was in part a recovery from those losses. For the year through Tuesday, the stock was still down about 5.9%.
LA-Z-BOY $LZB EARNINGS ARE OUT!
🟢 EPS: $1.26 | Est. $0.82
🟢 REV: $570.34M | Est. $569.23M
IMPLIED MOVE TOMORROW: ±10.33%!! pic.twitter.com/1dkdlCoCig— Schaeffer's Investment Research (@schaeffers) June 16, 2026
KeyBanc analyst Bradley B. Thomas, who rates LZB at Overweight with a $46 price target, said the results were a relief after earlier concerns about weather hurting sales.
“Encouragingly, total sales were in line with guidance and essentially in line with consensus,” Thomas wrote. “Recall, management previously noted that early February trends were impacted by weather events.”
CEO Melinda D. Whittington struck an upbeat tone. “We continue to drive our own momentum and are playing offense, led by our retail business expansion,” she said.
Margin Expansion and Retail Growth
Adjusted operating margin expanded to 9.9% from 9.4% in the prior year quarter. GAAP operating margin improved 200 basis points to 7.2%.
The retail segment was a bright spot, with written sales up 11% and delivered sales rising 9% to $270 million, driven by acquired and new stores. Same-store sales did dip 2%, though that was an improvement from the prior quarter.
La-Z-Boy now operates 230 company-owned stores across North America, representing 61% of its 378-store total network. That expansion has been a deliberate push — the company has been buying up independent dealer locations to grow its own footprint.
Strategic Moves Wrapped Up
La-Z-Boy completed its exit from the American Drew and Kincaid wholesale casegoods businesses in May. It also finalized a U.K. supply chain restructuring in April. Both moves had been flagged as part of a broader effort to streamline operations.
For Q1, the company guided for sales of $490–$510 million. The midpoint of $500 million sits just above the $495 million Wall Street was expecting.
Adjusted operating margin for Q1 is expected to land between 4.0% and 5.5%. The company noted that Q1 is typically its weakest quarter due to seasonal patterns and an annual plant shutdown.
Futures tracking the S&P 500 were up 0.1% ahead of Wednesday’s open.
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