La-Z-Boy (NYSE:LZB – Get Free Report) and SEB (OTCMKTS:SEBYF – Get Free Report) are both consumer discretionary companies, but which is the superior stock? We will compare the two businesses based on the strength of their dividends, valuation, profitability, earnings, institutional ownership, analyst recommendations and risk.
Dividends
La-Z-Boy pays an annual dividend of $0.96 per share and has a dividend yield of 2.3%. SEB pays an annual dividend of C$1.39 per share and has a dividend yield of 2.6%. La-Z-Boy pays out 38.9% of its earnings in the form of a dividend. SEB pays out 39.8% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years. La-Z-Boy has raised its dividend for 4 consecutive years.
Insider & Institutional Ownership
99.6% of La-Z-Boy shares are owned by institutional investors. Comparatively, 18.4% of SEB shares are owned by institutional investors. 3.1% of La-Z-Boy shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock will outperform the market over the long term.
Analyst Recommendations
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| La-Z-Boy | 0 | 1 | 4 | 0 | 2.80 |
| SEB | 0 | 0 | 0 | 0 | 0.00 |
La-Z-Boy currently has a consensus target price of $39.00, indicating a potential downside of 6.70%. Given La-Z-Boy’s stronger consensus rating and higher possible upside, equities research analysts clearly believe La-Z-Boy is more favorable than SEB.
Profitability
This table compares La-Z-Boy and SEB’s net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| La-Z-Boy | 4.80% | 11.97% | 6.27% |
| SEB | N/A | N/A | N/A |
Earnings & Valuation
This table compares La-Z-Boy and SEB”s top-line revenue, earnings per share and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| La-Z-Boy | $2.13 billion | 0.79 | $101.99 million | $2.47 | 16.92 |
| SEB | N/A | N/A | N/A | C$3.49 | 15.43 |
La-Z-Boy has higher revenue and earnings than SEB. SEB is trading at a lower price-to-earnings ratio than La-Z-Boy, indicating that it is currently the more affordable of the two stocks.
Summary
La-Z-Boy beats SEB on 12 of the 14 factors compared between the two stocks.
About La-Z-Boy
La-Z-Boy Incorporated manufactures, markets, imports, exports, distributes, and retails upholstery furniture products, accessories, and casegoods furniture products in the United States, Canada, and internationally. It operates through Wholesale, Retail, Corporate and Other segments. The Wholesale segment manufactures, and imports upholstered furniture, such as recliners and motion furniture, sofas, loveseats, chairs, sectionals, modulars, ottomans, and sleeper sofas; and imports, distributes, and retails casegoods (wood) furniture, including occasional pieces, bedroom sets, dining room sets, entertainment centers, and occasional pieces. This segment sells its products directly to La-Z-Boy Furniture Galleries stores, operators of La-Z-Boy Comfort Studio locations, England Custom Comfort Center locations, dealers, and other independent retailers. The Retail segment sells upholstered furniture, casegoods, and other accessories to the end consumer through its retail network. The company also produces reclining chairs; and manufactures and distributes residential furniture. Its Corporate and Other segment sells the products through its website. The company was formerly known as La-Z-Boy Chair Company and changed its name to La-Z-Boy Incorporated in 1996. La-Z-Boy Incorporated was founded in 1927 and is headquartered in Monroe, Michigan.
About SEB
SEB SA designs, manufactures, and markets small domestic equipment worldwide. It offers kitchen electrics, such as deep fryers, rice cookers, electrical pressure cookers, informal meal appliances, waffle makers, grills, toasters, multicookers, filter and pod coffee makers, espresso machines, electrical kettles, home beer-taps, soy milk makers, blenders, cooking food processors, kitchen machines, mixers, and beaters. The company also provides home and personal care, which includes irons and steam generators, garment steamers, canister vacuum cleaners with or without dust bag, steam and upright vacuum cleaners, vacuum weepers, versatile vacuums, fans, heaters, air treatment appliances, hair care appliances, depilators, and bathroom scales. In addition, it offers cookware comprising frying pans, saucepans pots, pressure cookers, bakeware, kitchen utensils, food storage containers, carafes, flasks, thermo mugs, cutlery, and woks. Further, the company designs, produces, and markets crepe makers, waffle makers, planchas, and grills for professionals and consumers. The company provides its products under various consumer brands including Arno, Asia Vina, Calor, Clock, EMSA, imusa, Kaiser, Krupus, Maharaj Whiteline, MIRRO, Moulinex, OBH NORDICA, PANEX, Rochedo, Rowenta, Samurai, Seb, SUPOR, Tefal T-fal, umco, and WearEver brands. It offers products under premium brands, which includes All-Clad, Krampouz, Lagostina, Silit, WMF, and Forge Adour brands; and professional brands, such as HEPP, Schaerer, Wilbur Curtis, and Zummo brands. The company was founded in 1857 and is headquartered in Écully, France.
Receive News & Ratings for La-Z-Boy Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for La-Z-Boy and related companies with MarketBeat.com's FREE daily email newsletter.
