3 Undervalued Household Durables Stocks for Friday, April 03

By Omar Beirat
April 03, 2026
Diamond graphic indicating best value stocks in their industry
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Based on key financial metrics such as the price-to-sales ratio, shareholder yield and the price-earnings ratio, the following 3 stocks made the list for top value stocks in the Household Durables industry. Those looking for value stocks to add to their portfolio may want to use this list as a starting point for further investment research.

Why Focus on Undervalued Household Durables Stocks?

Value investors seek to buy stocks at a discount to their intrinsic value. Long-term returns show that such strategies are advantageous. Value stocks, as a group, tend to outperform growth stocks over extended periods of time. Typically, value investors perform financial analysis of numerous metrics, don’t follow the herd and are long-term investors.

AAII’s A+ Investor Value Grade is derived from a stock’s Value Score. The Value Score is the percentile rank of the average of the percentile ranks of the price-to-sales ratio, price-earnings ratio, enterprise-value-to-EBITDA (EV/EBITDA) ratio, shareholder yield, price-to-book-value ratio and price-to-free-cash-flow ratio. The score is variable, meaning it can consider all six ratios or, should any of the six ratios not be valid, the remaining ratios that are valid. To be assigned a Value Score, stocks must have a valid (non-null) ratio and corresponding ranking for at least two of the six valuation ratios.

What Goes Into AAII’s Value Grade?

Stock evaluation requires access to huge amounts of data as well as the knowledge and time to sift through it all, make sense of financial ratios, read income statements and analyze recent stock movement. AAII created A+ Investor, a robust data suite that condenses data research in an actionable and customizable way suitable for investors of all knowledge levels, to help investors with that task.

AAII’s proprietary stock grades come with A+ Investor. These offer intuitive A–F grades for more than just value. It is possible for a stock to appear cheap based on one valuation metric but appear expensive on another. It is also possible for one valuation ratio to be associated with outperforming stocks during certain periods of time but not others. Some stocks may even have null values for certain metrics like the price-earnings ratio or the price-to-book ratio but not others. An example of this would be a company with losses instead of profits or a negative book value because of heavy borrowing. Negative earnings or book value result in non-meaningful ratios that are left blank or null.

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3 Undervalued Household Durables Stocks

Of course, there are countless value stocks that are worth mentioning, but this is a concise list of the top 3 undervalued stocks in the Household Durables industry for Friday, April 03, 2026. Let’s take a closer look at their individual scores to see how they measure up against each other and the Household Durables industry median.

Company Ticker Price/Sales Price/Earnings EV/EBITDA Shareholder Yield Price/Book Value Price/Free Cash Flow Value Grade
Hamilton Beach Brands Holding Company HBB 0.41 9.4 7.3 4.3% 1.34 53.8 A
KB Home KBH 0.56 8.3 10.4 14.7% 0.82 15.8 A
Legacy Housing Corporation LEGH 3.00 11.8 10.0 1.2% 0.93 17.6 B

The Value Grade is assigned based on how each stock’s composite valuation compares to all other stocks.

The process for assigning grades starts with each variable for a given stock. The percentile rankings for all valid ratios that a stock has are calculated. So, for instance, a stock could have a price-to-book ranking in the 43rd percentile, a price-earnings ranking in the 67th percentile, a price-to-sales ranking in the 23rd percentile, etc. Then, those rankings are averaged for each stock. (A minimum of two valid variables are required, though all six will be used if available.)

Once the average of the individual variables is calculated, that average is ranked against all stocks. Put another way, each stock’s composite valuation is compared to all other stocks. These ranks are then sorted into quintiles from the cheapest 20% (a grade of A) to the most expensive 20% (a grade of F).

As always, we recommend that you conduct proper due diligence and research before investing in any security. We also suggest that investors utilize numerous grades, not just value, when it comes to deciding whether a company is a good fit for their allocation needs.

Hamilton Beach Brands Holding Company’s Value Grade

Value Grade:

Metric Score HBB Industry Median
Price/Sales 17 0.41 0.59
Price/Earnings 15 9.4 12.0
EV/EBITDA 20 7.3 11.2
Shareholder Yield 19 4.3% 2.3%
Price/Book Value 37 1.34 1.17
Price/Free Cash Flow 83 53.8 14.7

Hamilton Beach Brands Holding Company, together with its subsidiaries, designs, markets, and distributes small electric household and specialty housewares appliances in the United States and internationally. It offers air fryers, blenders, coffee makers, food processors, indoor electric grills, irons, juicers, mixers, slow cookers, toasters, and toaster ovens. The company also provides commercial products; consumer products under the Hamilton Beach, Proctor Silex, and Weston brands; products under the Hamilton Beach Professional in the premium market; garment care products under the CHI brand; small kitchen appliances under the Lotus brand; home appliances products under the Clorox brand; commercial juicers and sectionizers under the Sunkist brand; and plant-based milk makers under the Numilk brand. In addition, it offers digitally connected devices that enable patients to manage at home chronic conditions that require the use of injectable medications; and other health services, as well as software for home healthcare management. The company sells its products through a network of mass merchandisers, e-commerce retailers, department stores, warehouse clubs, specialty home retailers, distributors, restaurants, fast food chains, bars, hotels, and other retail outlets. Hamilton Beach Brands Holding Company was founded in 1904 and is headquartered in Glen Allen, Virginia.

Stocks with a Value Score from 81 to 100 are considered deep value, those with a score between 61 and 80 are value and so on.

Hamilton Beach Brands Holding Company has a Value Score of 81, which is considered to be undervalued.

When you look at Hamilton Beach Brands Holding Company’s price-to-sales ratio at 0.41 compared to the industry median at 0.59, this company has a lower price relative to revenue compared to its peers. This could make Hamilton Beach Brands Holding Company’s stock more attractive for value investors.

Hamilton Beach Brands Holding Company’s price-earnings ratio is 9.40 compared to the industry median at 12.00. This means it has a lower share price relative to earnings compared to its peers. This could make Hamilton Beach Brands Holding Company more attractive for value investors.

Now, let’s assess Hamilton Beach Brands Holding Company’s EV/EBITDA ratio, also known as enterprise multiple. At 7.3, when compared to the industry median of 11.2, the company may be considered undervalued in relation to its peers. Value investors could use the enterprise multiple to identify stocks that are considered overvalued or undervalued relative to their industry.

Shareholder yield is the sum of a stock’s dividend yield (paid over previous 12 months minus special dividends) and the percentage of net share buybacks over the previous 12 months. Hamilton Beach Brands Holding Company’s shareholder yield is higher than its industry median ratio of 2.30%. Value investors may look for an attractive shareholder yield because it can be a powerful tool for identifying if the company has a good management team.

As one of the most common value metrics, the price-to-book ratio evaluates a company’s current market price relative to its book value. Hamilton Beach Brands Holding Company’s price-to-book ratio is higher than its industry median ratio of 1.17. This could make Hamilton Beach Brands Holding Company less attractive to investors looking for a new addition to their portfolio.

Lastly, let’s take a look at Hamilton Beach Brands Holding Company’s price-to-free-cash-flow ratio (P/FCF), which can indicate a company’s market value relative to its operating cash flow. Hamilton Beach Brands Holding Company’s price-to-free-cash-flow ratio is higher than its industry median ratio of 14.65. This could make Hamilton Beach Brands Holding Company less attractive because the higher P/FCF ratio indicates that Hamilton Beach Brands Holding Company is undervalued. The P/FCF ratio metric can also be viewed over a long-term time frame to see if the company's cash flow to share price value is generally improving or worsening.

KB Home’s Value Grade

Value Grade:

Metric Score KBH Industry Median
Price/Sales 22 0.56 0.59
Price/Earnings 11 8.3 12.0
EV/EBITDA 37 10.4 11.2
Shareholder Yield 2 14.7% 2.3%
Price/Book Value 18 0.82 1.17
Price/Free Cash Flow 42 15.8 14.7

KB Home is one of the largest and most trusted homebuilders in the United States. We operate in 49 markets, have built over 700,000 quality homes in our nearly 70-year history, and are honored to be the No 1 customer-ranked national homebuilder based on third-party buyer surveys. What sets KB Home apart is building strong, personal relationships with every customer and creating an exceptional homebuying experience that offers our homebuyers the ability to personalize their home based on what they value at a price they can afford. As the industry leader in sustainability, KB Home has achieved one of the highest residential energy-efficiency ratings and delivered more ENERGY STAR certified homes than any other builder, helping to lower the total cost of homeownership.

Stocks with a Value Score from 81 to 100 are considered deep value, those with a score between 61 and 80 are value and so on.

KB Home has a Value Score of 94, which is considered to be undervalued.

KB Home’s price-earnings ratio is 8.3 compared to the industry median at 12.0. This means that it has a lower price relative to its earnings compared to its peers. This makes KB Home more attractive for value investors.

KB Home’s price-to-book ratio is higher than its peers. This could make KB Home less attractive for value investors when compared to the industry median at 1.17.

You can read more about KB Home’s key financial metrics like shareholder yield, price-to-free-cash-flow and EV/EBITDA ratio, or learn more about its Momentum and Growth Grades, by subscribing to A+ Investor.

Legacy Housing Corporation’s Value Grade

Value Grade:

Metric Score LEGH Industry Median
Price/Sales 64 3.00 0.59
Price/Earnings 25 11.8 12.0
EV/EBITDA 35 10.0 11.2
Shareholder Yield 35 1.2% 2.3%
Price/Book Value 22 0.93 1.17
Price/Free Cash Flow 47 17.6 14.7

Legacy Housing Corporation engages in the building, sale, and financing of manufactured homes and tiny houses primarily in the southern United States. The company manufactures and provides for the transport of mobile homes, including 1 to 5 bedrooms with 1 to 3 1/2 bathrooms; and provides wholesale financing to dealers and mobile home parks, as well as retail financing to consumers. It also provides inventory financing for its independent retailers; consumer financing for its products; and financing to manufactured housing community owners that buy or lease its products for use in their rental housing communities. The company is involved in financing and developing new manufactured home communities. It markets its homes under the Legacy brand through a network of independent retailers and company-owned stores; and directly to manufactured home communities. The company was founded in 2005 and is headquartered in Bedford, Texas.

Stocks with a Value Score from 81 to 100 are considered deep value, those with a score between 61 and 80 are value and so on.

Legacy Housing Corporation has a Value Score of 69, which is considered to be undervalued.

Legacy Housing Corporation’s price-earnings ratio is 11.8 compared to the industry median at 12.0. This means that it has a lower price relative to its earnings compared to its peers. This makes Legacy Housing Corporation more attractive for value investors.

Legacy Housing Corporation’s price-to-book ratio is higher than its peers. This could make Legacy Housing Corporation less attractive for value investors when compared to the industry median at 1.17.

You can read more about Legacy Housing Corporation’s key financial metrics like shareholder yield, price-to-free-cash-flow and EV/EBITDA ratio, or learn more about its Momentum and Growth Grades, by subscribing to A+ Investor.

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Other Household Durables Stock Grades

Value is just one of the five Stock Grades included in our A+ Investor service. AAII members can see the top-graded stocks—those with grades of A or B for value, growth, momentum, earnings estimate revisions and quality—on the A+ Stock Grades Screener.

Also, if you want full access to all of AAII’s premium services, you can subscribe to one convenient bundled plan called AAII Platinum where you can try out A+ Investor, AAII Dividend Investing, the Stock Superstars Report, Growth Investing and VMQ Stocks. With the other premium services, you can dive deep into additional metrics, portfolios, commentary and information about Household Durables stocks as well as other industrys.

Choosing Which of the 3 Best Household Durables Stocks Is Right for You

Choosing which value stocks to invest in will ultimately depend on your individual goals and allocation; however, comparing similar value stocks in the same industry can help you analyze which might be better investments for you in the long run. So, let’s take a look at the Value Grade for all of our stocks.

  • Hamilton Beach Brands Holding Company stock has a Value Grade of A.
  • KB Home stock has a Value Grade of A.
  • Legacy Housing Corporation stock has a Value Grade of B.

Now that you have a bit more background about each of the 3 undervalued stocks in the Household Durables industry as well as their overall grades, it’s time for you to conduct additional research to see if these could fit your portfolio needs based on your goals and risk tolerance. AAII can help you figure out both and identify which investments align with what works best for you.

We do so through a program of education that teaches you to invest for yourself and become an effective manager of your own wealth—no more relying on others for your financial independence. You can rely on AAII for timeless articles on financial planning and stock-picking, unbiased research and actionable analysis that makes you a better investor.

A+ Investor adds to that qualitative teaching by giving you a powerful data suite that helps you whittle down investment decisions to find stocks, exchange-traded funds (ETFs) or mutual funds that meet your needs.

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Additional Resources About Household Durables Stocks

Want to learn more about Household Durables stocks to see if they could be the right investment for you? Check out some additional resources and articles to help you on your financial journey.

AAII Disclaimer

We make no representations or warranties that any investor will, or is likely to, achieve profits similar to those shown, because past, hypothetical or simulated performance is not necessarily indicative of future results. Before making an investment decision, you should consider your circumstances and whether the information on our content is applicable to your situation. This information was prepared in good faith and we accept no liability for any errors or omissions. The full disclaimer can be read here.



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