Floor & Decor jumps after Q4 profit, rev beat

Floor & Decor Holdings

21/02/2025 14:16

** Shares of Floor & Decor Holdings  FND.N  jump 11.2% premarket
to $103.24 after Q4 results top expectations
** Atlanta-based home improvement retailer late Thurs reported
Q4 net income of $47.48 mln, well above consensus estimate of
$27.95 mln, per LSEG data
** Rev in qtr grew 5.7% y/y to $1.107 bln, just edging past
estimate of $1.086 bln, while comp-store sales dipped 0.8%
    ** For 2025, it guided for rev of $4.74-$4.9 bln and
comp-store-sales of approx flat to 3% growth
  
    ** Jefferies, which rates FND 'hold', boosted its PT by $1
to $102, saying comp sales guidance bracketed analysts' view,
but was above investor expectations
  
    ** Wedbush raises its PT by $5 to $105, pointing to co's
stronger-than-expected cost control across all key line items
(stores, G&A and pre-opening)
  
    ** But Wedbush sticks with 'neutral', and cautions not to
extrapolate Q4 comp sales strength into 2025, saying rebound in
existing home sales has already started to reverse to begin the
year
  
    **  Avg rating among 26 brokerages covering FND is "hold";
median PT of $110 implies 18.5% upside to stock's last close
    ** Through Thurs, stock down 7% YTD following 11% slide in
2024

(Lance Tupper is a Reuters market analyst. The views expressed
are his own)
((lance.tupper@tr.com 1-646-279-6380))