LL Flooring vs Home Depot Which Performs Better?

LL Flooring, previously known as Lumber Liquidators, and Home Depot are two major players in the home improvement industry. While both companies sell flooring products, they cater to different segments of the market. LL Flooring specializes in hardwood and laminate flooring, targeting budget-conscious consumers. On the other hand, Home Depot offers a wide range of home improvement products, including flooring, catering to a broader customer base. Investors interested in the home improvement sector may consider comparing the stocks of these two companies for potential investment opportunities.

LL Flooring or Home Depot?

When comparing LL Flooring and Home Depot, different investors may prioritize various metrics based on their investment strategies and goals. So, ask yourself what type of investor you are. This will guide you in determining which metrics are most important for your investment decision between LL Flooring and Home Depot.

Dividend Investors:

Dividend investors look for stable and growing income streams, using dividend metrics to assess potential investments. A company's dividend yield essentially measures the size of its dividend relative to the total market value of the company. LL Flooring has a dividend yield of -%, while Home Depot has a dividend yield of 2.13%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. LL Flooring reports a 5-year dividend growth of 0.00% year and a payout ratio of 0.00%. On the other hand, Home Depot reports a 5-year dividend growth of 15.20% year and a payout ratio of 60.05%.

Value Investors:

Value investors focus on financial metrics to determine a stock's intrinsic value compared to its market value. The Price-to-Earnings (P/E) Ratio links stock price to a company's earnings per share, with LL Flooring P/E ratio at -0.20 and Home Depot's P/E ratio at 28.66. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. LL Flooring P/B ratio is 0.19 while Home Depot's P/B ratio is 72.38.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, LL Flooring has seen a 5-year revenue growth of -0.17%, while Home Depot's is 0.61%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with LL Flooring's ROE at -72.84% and Home Depot's ROE at 447.13%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are $0.78 for LL Flooring and $421.41 for Home Depot. Over the past year, LL Flooring's prices ranged from $0.53 to $4.85, with a yearly change of 815.09%. Home Depot's prices fluctuated between $323.77 and $439.37, with a yearly change of 35.70%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.