Floor & Decor (NYSE:FND) Posts Quarterly Earnings Results, Beats Expectations By $0.02 EPS

Floor & Decor (NYSE:FND) released its quarterly earnings results on Thursday. The company reported $0.58 earnings per share for the quarter, beating analysts’ consensus estimates of $0.56 by $0.02, FiscalAI reports. Floor & Decor had a net margin of 4.93% and a return on equity of 8.27%. The company had revenue of $1.25 billion for the quarter, compared to analyst estimates of $1.23 billion. During the same period last year, the firm earned $0.58 earnings per share. The firm’s revenue was up 3.0% on a year-over-year basis. Floor & Decor updated its FY 2026 guidance to 2.200-2.450 EPS.

Here are the key takeaways from Floor & Decor’s conference call:

• Second-quarter sales rose 3% to $1.25 billion, while comparable-store sales declined 2.1% but improved sequentially from a 3.7% decline in the first quarter. Adjusted diluted EPS was $0.58, flat year over year and above the company’s expectations.
• Demand for large discretionary flooring projects remains pressured by historically low existing-home sales, affordability challenges and cautious consumers. Third-quarter-to-date comparable sales were down 2.2%, and vinyl flooring faces excess industry supply that could weigh on the category through at least the first half of 2027.
• Professional sales grew approximately 4% and represented about 55% of total sales, supported by strong installation-materials performance and gains in tile and wood. Management also cited improving conversion, higher-value product adoption and better regional trends as evidence that its market-share initiatives are gaining traction.
• The company raised its fiscal 2026 adjusted diluted EPS outlook to $1.88-$2.13 and expects sales of $4.77-$4.99 billion, with the 53rd week contributing approximately $0.08 of adjusted EPS. The guidance still assumes comparable-store sales ranging from flat to down 4%, reflecting continued macroeconomic uncertainty.
• Strong operating cash flow and a refinancing that extended debt maturities supported $65.7 million of share repurchases in the quarter, with $334.3 million remaining under the authorization. Floor & Decor also continued expansion, opening 11 stores in the first half, while online sales penetration increased to 20.3% from 18.6% a year ago.

Floor & Decor Stock Up 4.8%

FND traded up $2.65 during trading on Friday, hitting $57.95. 6,106,637 shares of the company traded hands, compared to its average volume of 2,175,506. Floor & Decor has a one year low of $42.64 and a one year high of $92.40. The stock’s fifty day moving average is $53.89 and its 200 day moving average is $57.30. The firm has a market cap of $6.25 billion, a P/E ratio of 26.96, a price-to-earnings-growth ratio of 4.61 and a beta of 1.58.

Floor & Decor News Roundup

Here are the key news stories impacting Floor & Decor this week:

• Positive Sentiment: Q2 results exceeded expectations: Revenue rose 3.0% year over year to $1.25 billion, ahead of the approximately $1.23 billion consensus, while adjusted EPS of $0.58 topped estimates of $0.56-$0.57. Floor & Decor second-quarter fiscal 2026 results
• Positive Sentiment: Full-year outlook improved: Floor & Decor raised FY2026 diluted EPS guidance to $2.20-$2.45 from $1.83-$2.08, above the roughly $1.91 analyst consensus. The company also expects revenue of approximately $4.8-$5.0 billion. Floor & Decor earnings and revenue beat estimates
• Positive Sentiment: Sales trends improved during the quarter: Comparable-store sales declined 5.1% in April but were nearly flat by June, suggesting demand stabilized as the quarter progressed. The company also repurchased $65.7 million of stock.
• Positive Sentiment: Analysts raised targets: Truist lifted its price target from $65 to $70 and maintained a “buy” rating, while Morgan Stanley raised its target from $56 to $64 but retained an “equal weight” rating. Benzinga analyst price-target updates
• Neutral Sentiment: Mixed insider and institutional activity: The CEO and CFO recently purchased shares, while an executive sold shares. Institutional positioning was also mixed, with 236 investors adding shares and 211 reducing positions in the latest quarter.
• Negative Sentiment: Comparable sales remained under pressure: Despite the late-quarter improvement, the company continues to face weakness in discretionary home-improvement demand, with full-year comparable-store sales expectations ranging from flat to down 4%.

Wall Street Analysts Forecast Growth

Several equities research analysts have commented on the stock. The Goldman Sachs Group set a $53.00 price objective on shares of Floor & Decor in a research note on Saturday. Wall Street Zen upgraded Floor & Decor from a “sell” rating to a “hold” rating in a research note on Saturday. Stifel Nicolaus set a $75.00 target price on Floor & Decor in a report on Friday, May 1st. Robert W. Baird set a $67.00 price target on Floor & Decor in a research report on Friday. Finally, Guggenheim decreased their price target on Floor & Decor from $90.00 to $65.00 and set a “buy” rating for the company in a research report on Friday, May 1st. Five equities research analysts have rated the stock with a Buy rating, twelve have given a Hold rating and three have issued a Sell rating to the company. Based on data from MarketBeat, the stock has an average rating of “Hold” and a consensus target price of $59.42.

Insiders Place Their Bets

In other news, EVP Ersan Sayman sold 15,200 shares of the stock in a transaction that occurred on Monday, May 4th. The shares were sold at an average price of $48.28, for a total transaction of $733,856.00. Following the completion of the transaction, the executive vice president directly owned 71,676 shares of the company’s stock, valued at $3,460,517.28. This represents a 17.50% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. Also, CEO Bradley Paulsen bought 5,000 shares of Floor & Decor stock in a transaction dated Monday, May 4th. The shares were bought at an average cost of $50.25 per share, with a total value of $251,250.00. Following the completion of the transaction, the chief executive officer directly owned 85,010 shares in the company, valued at approximately $4,271,752.50. This trade represents a 6.25% increase in their ownership of the stock. The disclosure for this purchase is available in the SEC filing. Insiders own 1.80% of the company’s stock.

Institutional Investors Weigh In On Floor & Decor

Hedge funds have recently modified their holdings of the stock. Alberta Investment Management Corp bought a new position in Floor & Decor during the fourth quarter valued at $1,267,000. Mackenzie Financial Corp bought a new stake in shares of Floor & Decor in the fourth quarter valued at $19,382,000. XTX Topco Ltd bought a new stake in shares of Floor & Decor in the fourth quarter valued at $2,259,000. VARCOV Co. purchased a new position in shares of Floor & Decor during the 4th quarter valued at $683,000. Finally, Twinbeech Capital LP purchased a new position in shares of Floor & Decor during the 4th quarter valued at $218,000.

Floor & Decor Company Profile

Founded in 2000 and headquartered in Atlanta, Floor & Decor Holdings Inc is a specialty retailer focused on hard surface flooring and related accessories in the United States. The company serves both professional installers and do-it-yourself customers through a growing network of warehouse-format stores and a comprehensive e-commerce platform.

Floor & Decor’s product offering spans ceramic and porcelain tile, engineered and solid hardwood, laminate, luxury vinyl plank and tile, natural stone and a full suite of installation materials such as grout, mortars and underlayment.