The Lovesac Company (LOVE) Valuation

Valuation

Model-based estimates, not advice. The DCF is the discounted-cash-flow value per share; compare it with the price, not as a target.

DCF fair value

-35.1%

$10.88

vs $16.77 price

Levered DCF

$41.57

After debt service

Piotroski score

5 / 9

Average

Altman Z-score

2.09

Grey zone

Rating

A-

Overall 4 / 5

Ratios by fiscal year

Margins and yields are shares of revenue, equity or price; multiples are ×.

Metric	FY2026	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019
P/E	47.07×	32.77×	14.74×	14.28×	17.71×	56.46×	-10.61×	-7.28×
P/B	0.88×	1.76×	1.62×	1.96×	5.16×	7.72×	1.8×	3.19×
P/S	0.28×	0.56×	0.5×	0.58×	1.63×	2.6×	0.69×	1.52×
EV / EBITDA	12.99×	15.42×	9.92×	10.05×	17.13×	35.12×	-10.64×	-51.82×
Gross margin	54.2%	58.5%	57.3%	52.8%	54.9%	54.5%	50.0%	54.8%
Operating margin	0.8%	2.0%	4.3%	5.7%	8.1%	4.6%	-6.8%	-4.2%
Net margin	0.6%	1.7%	3.4%	4.1%	9.5%	4.6%	-6.5%	-4.0%
Current ratio	1.61×	1.59×	2.02×	2.29×	1.93×	2.55×	3.09×	3.46×
Debt / equity	0.88×	0.85×	0.81×	0.76×	0.69×	0×	0×	0×
Interest coverage	0×	0×	0×	315.95×	226.69×	220.82×	0×	0×
Dividend yield	0.0%	0.0%	0.0%	0.0%	0.0%	0.0%	0.0%	0.0%
Payout ratio	0.0%	0.0%	0.0%	0.0%	0.0%	0.0%	0.0%	0.0%

Key metrics by fiscal year

Metric	FY2026	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019
Return on equity	1.9%	5.3%	11.0%	13.7%	30.1%	13.6%	-16.9%	-8.5%
Return on invested capital	0.8%	2.4%	5.7%	7.8%	15.2%	12.9%	-17.0%	-8.8%
Return on assets	0.8%	2.2%	4.9%	6.5%	12.9%	8.6%	-12.1%	-6.4%
Free cash flow yield	13.5%	4.6%	13.4%	-12.4%	2.2%	3.8%	-13.7%	-7.3%
Earnings yield	2.1%	3.0%	6.8%	7.0%	5.8%	1.8%	-9.4%	-2.7%
Enterprise value	$284.2M	$480.3M	$440.8M	$480.6M	$829.7M	$754.8M	$113.3M	$202.6M
Net debt / EBITDA	4.15×	3.19×	1.99×	2.16×	0.33×	-3.64×	4.56×	12.54×
Cash conversion cycle (days)	78	103	92	118	129	72	63	54