Topic: How To Invest

Stock Pickers Digest Hotline – Friday, November 23, 2018

Article Excerpt

LEON’S FURNITURE LTD., $14.76, symbol LNF on Toronto, has steadily increased the number of stores under its Leon’s banner from 27 in 2003 to today’s 86. In March 2013, the company nearly quadrupled in size with the $700 million purchase of its main rival, The Brick. That chain now has 218 locations across Canada and still operates separately. In the three months ended September 30, 2018, Leon’s overall sales fell 0.5%, to $592.3 million from $595.4 million a year earlier. On a same-store basis, sales fell 1.6%. The company earned $34.3 million in the latest quarter, down 0.4% from $34.4 million. Earnings per share fell 6.3%, to $0.45 from $0.48, on more shares outstanding. The declines were due to overall weakness in consumer spending in the Ontario market. Meanwhile, Leon’s has migrated all of its online stores to a Shopify (symbol SHOP on Toronto, and a Stock Pickers Digest recommendation) platform. The company reports that as a result of the move it is…