Photo by Wance Paleri on Unsplash
 

Leggett & Platt Inc bears the ticker symbol  LEG and this is my first mention of LEG for my new Viking Portfolio, However, I have mentioned and selected LEG before for two or three of my previous seven Dog of The Week Portfolios

Leggett & Platt Inc designs and produces engineered components and products found in most homes and automobiles.

It operates its business through three segments namely Bedding Products, Specialized Products, and Furniture, Flooring, and Textile Products.

Serving a broad suite of customers around the world, Leggett & Platt's products include bedding components, automotive seat support and lumbar systems, specialty bedding foam and private label finished mattresses, components for home furniture, and work furniture, flooring underlayment, adjustable beds, and various other products.

it offers carpet cushion and hard surface flooring underlayment, structural fabrics, and geo components to manufacturers of upholstered and office furniture, flooring retailers and distributors, contractors, landscapers, road construction companies, retailers, government agencies, and mattress and furniture producers, as well as manufacturers of packaging, filtration, and draperies.

The company was founded in 1883 and is based in Carthage, Missouri.

Three key data points gauge

Leggett & Platt Inc:

(1) Price

(2) Dividends

(3) Returns

Those three basic keys best tell whether any company has made, is making, and will make money.
 

LEG Price

Leggett’s price per share was $34.92 at Monday’s market close. However, in the past year, LEG’s share price dropped, falling about 18%.

If LEG’s stock trades in the range of $30.00 to $40.00 this next year, its recent $34.92 share price might reach $36.00 by next year. My upside increase estimate of $1.08 is about $0.33 above the median of annual price targets calculated by three analysts.
 

LEG Dividends

Leggett’s most recently declared quarterly dividend of $0.44 per share equals  $1.76 annually and casts a yield of 5.04%.
 

LEG Returns

Adding the $1.76 annual LEG dividend to my one-year price upside estimate of $1.08 reveals a $2.84 potential gross gain per share.

At Monday’s $34.92 closing price, a little over $1000 would buy 29 shares.

A $10 broker fee (if charged), paid half at purchase and a half at the sale, might cost us about $0.34 per share.

Subtracting that maybe $0.34 brokerage cost from my estimated $2.84 gross gain per share results in a net gain of $2.50 X 29 shares = $72.50 for a 7.25% net gain including a 5.04% annual dividend yield.

In a year our $1K investment in shares of Leggett & Platt Inc would generate $50.40 in cash dividends. Of course, a single share of LEG stock at Monday's $34.92 price is a little over two-thirds the annual dividend income from our $1000.00 investment.

So, by my dogcatcher ideal, this is probably a good time to buy Leggett & Platt Inc shares based on their dividends for the coming year 2022-23. The current dividend from $1K invested is 69.3% more than LEG’s single share price. Consider yourself alerted. This could be a buy point.

All of the estimates above are speculation based on the past history of Leggett & Platt Inc. Only time and money invested in this stock will determine its market value.

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