Based on key financial metrics such as the price-to-sales ratio, shareholder yield and the price-earnings ratio, the following 7 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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7 Undervalued Household Durables Stocks
Of course, there are countless value stocks that are worth mentioning, but this is a concise list of the top 7 undervalued stocks in the Household Durables industry for Friday, August 21, 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 |
| Beazer Homes USA, Inc. | BZH | 0.45 | na | na | 10.0% | 0.76 | na | A |
| Ethan Allen Interiors Inc. | ETD | 0.99 | 14.5 | 13.5 | 7.8% | 1.23 | 120.7 | C |
| Leggett & Platt, Incorporated | LEG | 0.33 | 6.0 | na | 1.0% | 1.18 | 10.0 | A |
| Legacy Housing Corporation | LEGH | 3.81 | 13.3 | 9.8 | 1.1% | 1.21 | 17.6 | B |
| Lennar Corporation | LEN | 0.65 | 13.3 | 12.2 | 9.8% | 0.95 | 99.3 | B |
| Mohawk Industries, Inc. | MHK | 0.73 | 17.7 | 6.2 | 2.6% | 1.06 | 10.1 | A |
| Toll Brothers, Inc. | TOL | 1.28 | 11.0 | 7.3 | 5.5% | 1.60 | 12.5 | A |
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.
Beazer Homes USA, Inc.’s Value Grade
Value Grade:
| Metric | Score | BZH | Industry Median |
| Price/Sales | 17 | 0.45 | 0.69 |
| Price/Earnings | na | na | 14.1 |
| EV/EBITDA | na | na | 12.0 |
| Shareholder Yield | 5 | 10.0% | 1.6% |
| Price/Book Value | 14 | 0.76 | 1.17 |
| Price/Free Cash Flow | na | na | 15.4 |
Beazer Homes USA, Inc. operates as a homebuilder in the United States. The company designs, constructs, and sells single-family, condominiums, villas, and duets homes under the Beazer Homes, Gatherings, and Choice Plans brands. It also sells its homes through commissioned new home sales counselors and independent realtors. Beazer Homes USA, Inc. was founded in 1985 and is headquartered in Atlanta, Georgia.
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.
Beazer Homes USA, Inc. has a Value Score of 99, which is considered to be undervalued.
When you look at Beazer Homes USA, Inc.’s price-to-sales ratio at 0.45 compared to the industry median at 0.69, this company has a lower price relative to revenue compared to its peers. This could make Beazer Homes USA, Inc.’s stock more attractive for value investors.
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. Beazer Homes USA, Inc.’s shareholder yield is higher than its industry median ratio of 1.60%. 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. Beazer Homes USA, Inc.’s price-to-book ratio is lower than its industry median ratio of 1.17. This could make Beazer Homes USA, Inc. more attractive to investors looking for a new addition to their portfolio.
Ethan Allen Interiors Inc.’s Value Grade
Value Grade:
| Metric | Score | ETD | Industry Median |
| Price/Sales | 31 | 0.99 | 0.69 |
| Price/Earnings | 35 | 14.5 | 14.1 |
| EV/EBITDA | 56 | 13.5 | 12.0 |
| Shareholder Yield | 8 | 7.8% | 1.6% |
| Price/Book Value | 30 | 1.23 | 1.17 |
| Price/Free Cash Flow | 95 | 120.7 | 15.4 |
Ethan Allen Interiors Inc. operates as an interior design company, and manufacturer and retailer of home furnishings in the United States and internationally. The company operates through two segments, Wholesale and Retail. It offers case goods items, such as beds, dressers, armoires, tables, chairs, buffets, entertainment units, home office furniture, and wooden accents; upholstery comprising fabric-covered items, such as sleepers, recliners and other motion furniture, chairs, ottomans, custom pillows, sofas, loveseats, cut fabrics, and leather; and window treatments and drapery hardware, wall decors, florals, lighting, clocks, mattresses, bedspreads, throws, pillows, decorative accents, area rugs, flooring, wall coverings, and outdoor furnishings. The company also sells third-party furniture protection plans and other miscellaneous product. It markets and sells its products under the Ethan Allen brand through design centers and independent retailers, as well as through ethanallen.com website. Ethan Allen Interiors Inc. was founded in 1932 and is headquartered in Danbury, Connecticut.
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.
Ethan Allen Interiors Inc. has a Value Score of 60, which is considered to be fairly valued.
Ethan Allen Interiors Inc.’s price-earnings ratio is 14.5 compared to the industry median at 14.1. This means that it has a higher price relative to its earnings compared to its peers. This makes Ethan Allen Interiors Inc. less attractive for value investors.
Ethan Allen Interiors Inc.’s price-to-book ratio is lower than its peers. This could make Ethan Allen Interiors Inc. fairly attractive for value investors when compared to the industry median at 1.17.
You can read more about Ethan Allen Interiors Inc.’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.
Leggett & Platt, Incorporated’s Value Grade
Value Grade:
| Metric | Score | LEG | Industry Median |
| Price/Sales | 13 | 0.33 | 0.69 |
| Price/Earnings | 6 | 6.0 | 14.1 |
| EV/EBITDA | na | na | 12.0 |
| Shareholder Yield | 37 | 1.0% | 1.6% |
| Price/Book Value | 28 | 1.18 | 1.17 |
| Price/Free Cash Flow | 23 | 10.0 | 15.4 |
Leggett & Platt, Incorporated, together with its subsidiaries, designs, manufactures, and sells engineered components and products in the United States, Europe, China, Canada, Mexico, and internationally. The company offers steel rod, drawn wire, innersprings, specialty foam chemicals and additives, for use in bedding and furniture, semi-finished mattresses, private label finished mattresses, pillows and toppers, static foundations, and adjustable beds to industrial users of steel rod and wire, manufacturers of finished bedding, bedding brands and mattress retailers, e-commerce retailers, big box retailers, department stores, and home improvement centers. It also provides mechanical and pneumatic lumbar support and massage systems for automotive seating, seat suspension systems, motors and actuators, and cables; and engineered hydraulic cylinders to automobile original equipment manufacturers (OEMs) and suppliers, aerospace OEMs and suppliers, and mobile equipment OEMs. In addition, the company offers steel mechanisms and motion hardware; springs and seat suspensions; components and private label finished goods for soft seating; bases, columns, back rests, casters, and frames for office chairs and control devices; and carpet cushion and hard surface flooring underlayment, structural fabrics, and geo components for manufacturers of upholstered and office furniture, flooring retailers and distributors, contractors, landscapers, road construction companies, retailers, government agencies, mattress and furniture producers, and manufacturers of draperies, specialty packaging, filtration, and automotive upholstery. Leggett & Platt, Incorporated was founded in 1883 and is based in Carthage, Missouri.
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.
Leggett & Platt, Incorporated has a Value Score of 94, which is considered to be undervalued.
Leggett & Platt, Incorporated’s price-earnings ratio is 6.0 compared to the industry median at 14.1. This means that it has a lower price relative to its earnings compared to its peers. This makes Leggett & Platt, Incorporated more attractive for value investors.
Leggett & Platt, Incorporated’s price-to-book ratio is lower than its peers. This could make Leggett & Platt, Incorporated fairly attractive for value investors when compared to the industry median at 1.17.
You can read more about Leggett & Platt, Incorporated’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 | 69 | 3.81 | 0.69 |
| Price/Earnings | 31 | 13.3 | 14.1 |
| EV/EBITDA | 36 | 9.8 | 12.0 |
| Shareholder Yield | 37 | 1.1% | 1.6% |
| Price/Book Value | 29 | 1.21 | 1.17 |
| Price/Free Cash Flow | 45 | 17.6 | 15.4 |
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 63, which is considered to be undervalued.
Legacy Housing Corporation’s price-earnings ratio is 13.3 compared to the industry median at 14.1. 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 lower than its peers. This could make Legacy Housing Corporation fairly 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.
Lennar Corporation’s Value Grade
Value Grade:
| Metric | Score | LEN | Industry Median |
| Price/Sales | 23 | 0.65 | 0.69 |
| Price/Earnings | 31 | 13.3 | 14.1 |
| EV/EBITDA | 49 | 12.2 | 12.0 |
| Shareholder Yield | 6 | 9.8% | 1.6% |
| Price/Book Value | 20 | 0.95 | 1.17 |
| Price/Free Cash Flow | 94 | 99.3 | 15.4 |
Lennar Corporation, together with its subsidiaries, operates as a homebuilder primarily under the Lennar brand in the United States. It operates through Homebuilding East, Homebuilding Central, Homebuilding South Central, Homebuilding West, Financial Services, Multifamily, and Lennar Other segments. The company’s homebuilding operations include the construction and sale of single-family attached and detached homes, as well as the purchase, development, and sale of residential land; and development, construction, and management of multifamily rental properties. It also offers residential mortgage financing, title insurance, and closing services for home buyers and others, as well as originating and selling securitization commercial mortgage loans. In addition, the company is involved in fund investment activities. It primarily serves first-time, move-up, active adult, and luxury homebuyers. The company was founded in 1954 and is based in Miami, Florida.
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.
Lennar Corporation has a Value Score of 71, which is considered to be undervalued.
Lennar Corporation’s price-earnings ratio is 13.3 compared to the industry median at 14.1. This means that it has a lower price relative to its earnings compared to its peers. This makes Lennar Corporation more attractive for value investors.
Lennar Corporation’s price-to-book ratio is higher than its peers. This could make Lennar Corporation less attractive for value investors when compared to the industry median at 1.17.
You can read more about Lennar 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.
Mohawk Industries, Inc.’s Value Grade
Value Grade:
| Metric | Score | MHK | Industry Median |
| Price/Sales | 25 | 0.73 | 0.69 |
| Price/Earnings | 45 | 17.7 | 14.1 |
| EV/EBITDA | 16 | 6.2 | 12.0 |
| Shareholder Yield | 28 | 2.6% | 1.6% |
| Price/Book Value | 24 | 1.06 | 1.17 |
| Price/Free Cash Flow | 24 | 10.1 | 15.4 |
Mohawk Industries, Inc. designs, manufactures, sources, distributes, and markets flooring products for residential and commercial remodeling, and new construction channels in the United States, Europe, Latin America, and internationally. It operates through three segments: Global Ceramic, Flooring North America, and Flooring Rest of the World. The company provides ceramic, porcelain, and natural stone tiles products for floor and wall applications; natural stones, porcelain slabs, and quartz countertops, as well as installation materials; floor covering products comprising broadloom carpets, carpet tiles, rugs and mats, carpet pads, laminates, medium-density fiberboards, wood floorings, vinyl tiles, hybrid flooring, and sheet vinyl; and roofing panels, insulation boards, mezzanine flooring products, medium-density fiberboard, decorative panels, and chipboards. It also licenses its intellectual property to flooring manufacturers. The company sells its products under the American Olean, Daltile, Decortiles, Durkan, Eliane, Elizabeth, Feltex, Godfrey Hirst, IVC Home, Karastan, Kerama Marazzi, Marazzi, Moduleo, Mohawk, Pergo, Quick-Step, Unilin, Vitromex, GH Commercial, Hycraft, Lentex Flooring, Leoline, Redbook, EmilGroup, KAI, Ragno, Aladdin Commercial, Durkan, Foss, IVC Resilient Design, Mohawk Group, Mohawk Home, and Portico. It offers its products to home centers, company-owned service centers and stores, floor covering retailers, ceramic tile specialists, e-commerce retailers, residential builders, independent distributors, commercial contractors, and commercial end users. The company was incorporated in 1988 and is headquartered in Calhoun, Georgia.
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.
Mohawk Industries, Inc. has a Value Score of 88, which is considered to be undervalued.
Mohawk Industries, Inc.’s price-earnings ratio is 17.7 compared to the industry median at 14.1. This means that it has a higher price relative to its earnings compared to its peers. This makes Mohawk Industries, Inc. less attractive for value investors.
Mohawk Industries, Inc.’s price-to-book ratio is higher than its peers. This could make Mohawk Industries, Inc. less attractive for value investors when compared to the industry median at 1.17.
You can read more about Mohawk Industries, Inc.’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.
Toll Brothers, Inc.’s Value Grade
Value Grade:
| Metric | Score | TOL | Industry Median |
| Price/Sales | 37 | 1.28 | 0.69 |
| Price/Earnings | 21 | 11.0 | 14.1 |
| EV/EBITDA | 22 | 7.3 | 12.0 |
| Shareholder Yield | 14 | 5.5% | 1.6% |
| Price/Book Value | 41 | 1.60 | 1.17 |
| Price/Free Cash Flow | 32 | 12.5 | 15.4 |
Toll Brothers, Inc., together with its subsidiaries, designs, builds, markets, sells, and arranges finance for a range of detached and attached homes in luxury residential communities in the United States. It designs, builds, markets, and sells condominiums through Toll Brothers City Living. The company also develops a range of single-story living and first-floor primary bedroom suite home designs, as well as communities with recreational amenities, such as golf courses, marinas, pool complexes, country clubs, and fitness and recreation centers; and develops, operates, rents apartments and student housing communities. In addition, it provides various interior fit-out options, such as flooring, wall tile, plumbing, cabinets, fixtures, appliances, lighting, and home-automation and security technologies. Further, the company owns and operates architectural, engineering, mortgage, title, land development, insurance, smart home technology, landscaping, lumber distribution, house component assembly, and component manufacturing operations. It serves luxury first-time, move-up, empty-nester, active-adult, and second-home buyers. The company was founded in 1967 and is headquartered in Fort Washington, Pennsylvania.
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.
Toll Brothers, Inc. has a Value Score of 87, which is considered to be undervalued.
Toll Brothers, Inc.’s price-earnings ratio is 11.0 compared to the industry median at 14.1. This means that it has a lower price relative to its earnings compared to its peers. This makes Toll Brothers, Inc. more attractive for value investors.
Toll Brothers, Inc.’s price-to-book ratio is lower than its peers. This could make Toll Brothers, Inc. more attractive for value investors when compared to the industry median at 1.17.
You can read more about Toll Brothers, Inc.’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.
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 7 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.
- Beazer Homes USA, Inc. stock has a Value Grade of A.
- Ethan Allen Interiors Inc. stock has a Value Grade of C.
- Leggett & Platt, Incorporated stock has a Value Grade of A.
- Legacy Housing Corporation stock has a Value Grade of B.
- Lennar Corporation stock has a Value Grade of B.
- Mohawk Industries, Inc. stock has a Value Grade of A.
- Toll Brothers, Inc. stock has a Value Grade of A.
Now that you have a bit more background about each of the 7 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.
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.
- 7 Undervalued Household Durables Stocks for Thursday, August 20
- 3 Undervalued Household Durables Stocks for Wednesday, August 19
- Is Lifetime Brands, Inc. (LCUT) Overvalued?
- Is The Lovesac Company (LOVE) Overvalued?
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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