Overall Score

Growth Runway

Leggett & Platt has limited near-term growth visibility, with valuation implying a mature business rather than a high-growth compounder.

Revenue per share remains $27.81, but profitability is still modest with net margin at 5.63% and operating margin at 6.10%.

Profitability

Return on equity is solid at 21.32%, but return on invested capital is only 6.64%, suggesting middling capital efficiency.

Gross margin is 18.70% and EBITDA margin is 11.55%, indicating profitability is stable but not exceptional.

Financial Strength

Liquidity is comfortable with a current ratio of 2.35 and quick ratio of 1.53.

Leverage remains meaningful with net debt to EBITDA at 2.45x and debt to equity at 1.52x, but interest coverage of 3.77x is manageable.

Cash Generation

Free cash flow yield is 11.90% and price to free cash flow is 8.40x, supporting decent cash generation at the current valuation.

Cash conversion is acceptable with operating cash flow of $1.69 per share and free cash flow of $1.12 per share, though free cash flow to equity is negative.

Valuation

The stock screens inexpensive at 6.11x earnings, 0.34x sales, and 5.38x EV/EBITDA.

Price to book is 1.25x and dividend yield is 2.07%, reinforcing a value-oriented profile rather than a premium growth multiple.