Can LZB sustain its earnings growth into Q4 2025?
4/9/2025 01:29pm
**La-Z-Boy's (LZB) likelihood of sustaining its earnings growth into Q4 2025 appears low based on current trends and forecasts.** Here's why:
1. **Recent Performance and Trends**: LZB's stock is currently in a bearish price trend, which has persisted for 48 days. This recent weakness suggests that the market may be cautious about the company's future prospects.
2. **Support and Resistance Levels**: The stock is positioned between narrow and wide support levels and is trending towards the narrower support zone. This indicates that while there is some support, the stock is still vulnerable to downward pressure.
3. **Forecasted Price Trend**: The forecast for LZB's price trend is bullish, with a buy advice and a historical win rate of 58.82% for this type of forecast. However, the continuation probability for this trend is only 15%, indicating that it is not strongly likely to persist.
|code|Ticker|Name|Date|Support Level|Resistance Level|market_code|
|---|---|---|---|---|---|---|
|LZB|LZB.N|La-Z-Boy|20250408|35.2700|37.9500|169|
4. **Earnings Expectations**: Analysts have mixed expectations for LZB's earnings, with a slight beat in the most recent quarter but guidance for next quarter slightly below expectations. This suggests that while LZB has had some positive performance, it may not be enough to sustain strong growth.
5. **Market Sentiment and External Factors**: The broader home furnishings market is influenced by economic conditions and consumer preferences. La-Z-Boy's ability to sustain growth may depend on how well it navigates these factors, such as the impact of high interest rates on demand and the shift towards online shopping.
In conclusion, while there are some positive indicators for LZB's growth potential, the current price trend, support levels, and earnings expectations suggest that sustaining earnings growth into Q4 2025 may be challenging. Investors should monitor the company's performance closely and consider these factors when assessing its future prospects.