Leggett and Platt stock price target lowered to $9 at Piper Sandler\n\nPiper Sandler reduced its price target on Leggett and Platt (NYSE:LEG) to $9.00 from $10.00 on Monday, while maintaining a Neutral rating on the stock following the company’s second-quarter results. The $1.09 billion market cap company currently trades at a P/E ratio of 7.67x, suggesting a relatively low earnings multiple. According to InvestingPro analysis, the stock appears undervalued based on its Fair Value estimates.\n\nThe bedding and furniture components manufacturer reported a slight miss in its Q2 performance, though it reiterated its guidance for 2025. Despite improvement in the broader mattress and furniture industry during the quarter, Leggett and Platt experienced worsening volume trends. The company maintains strong liquidity with a current ratio of 2.17, indicating its ability to meet short-term obligations. InvestingPro data shows the company generated $4.24 billion in revenue over the last twelve months, though with modest gross margins of 17.9%.\n\nThe company’s Bedding segment suffered from the loss of a major customer, which appears to be Mattress Firm according to Piper Sandler’s analysis. The Furniture, Flooring & Textiles segment faced disruptions related to tariffs.\n\nPiper Sandler lowered its earnings multiple assumption from 9x to 8x on reduced estimates, with the new $9 price target equating to 7x 2026 estimated EBITDA. The firm cited concerns about Leggett and Platt’s ability to fully participate in any industry rebound due to customer losses and financial instability among existing customers.\n\nThe research firm noted that while there is potential for industry improvement and a slowdown in mattress imports, the loss of the major customer has prompted a reduction in the firm’s 2026 earnings per share estimates for the company. Despite these challenges, the company has maintained dividend payments for 55 consecutive years, demonstrating long-term financial stability. For deeper insights into LEG’s valuation and future prospects, including 12 additional ProTips and comprehensive financial analysis, check out the full research report on InvestingPro.\n\nIn other recent news, Leggett & Platt Incorporated reported its second-quarter earnings for 2025. The company announced an earnings per share (EPS) of $0.30, which met market expectations. Revenue for the quarter was $1.1 billion, exceeding the forecast of $1.06 billion. Despite this revenue beat, the company’s stock experienced a decline, reflecting investor concerns over broader market conditions and future guidance. Analysts and investors continue to monitor these developments closely. The revenue surpassing expectations highlights the company’s performance amidst a challenging market environment. These recent developments are crucial for investors keeping an eye on Leggett & Platt’s financial health and market position.

Leggett and Platt stock price target lowered to $9 at Piper Sandler

Piper Sandler reduced its price target on Leggett and Platt (NYSE:LEG) to $9.00 from $10.00, maintaining a Neutral rating after the company’s Q2 results. The stock trades at a P/E ratio of 7.67x, with a $4.24 billion 12-month revenue figure and 17.9% gross margins. The company faced challenges including a major customer loss (Mattress Firm) and tariffs, leading to lower 2026 earnings estimates. Despite a revenue beat in Q2, the stock declined amid investor concerns. Leggett and Platt has paid dividends for 55 consecutive years.