Data sourced from SEC EDGAR filings and third-party price providers. Scores, valuations, and metrics are algorithmic estimates. This is not investment advice. See our Terms and Methodology.
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Data sourced from SEC EDGAR filings and third-party price providers. Scores, valuations, and metrics are algorithmic estimates. This is not investment advice. See our Terms and Methodology.
DFS Furniture plc is a leading retailer and manufacturer of upholstered furniture in the United Kingdom and the Republic of Ireland. Founded in 1969 by Graham Kirkham as Northern Upholstery near Doncaster, it has grown into the UK's top sofa retailing group with over 55 years of heritage, operating through its core brands DFS, Sofology, and Dwell. The company designs, manufactures, sells, delivers, and installs a wide range of products including sofas, armchairs, reclining chairs, and footstools, supported by two UK factories, 115 DFS stores, 58 Sofology stores, 21 customer delivery centers, and a fleet of 240 delivery vehicles. DFS Furniture plc employs around 4,500 to 4,700 colleagues and pursues an omnichannel strategy blending physical showrooms with e-commerce platforms to enhance customer experience through innovations like furniture visualization technology and exclusive brand partnerships with names such as Ted Baker, La-Z-Boy, and Joules. Headquartered in Doncaster, it operates in the consumer cyclical sector's specialty retail industry, emphasizing sustainable practices, ethical foundations, and a vision to lead furniture retailing in the digital age while committing to net zero emissions by 2050.
£1.33
£0.02 (-1.48%)
EOD Jul 3, 2026
Operating margin is thin at 7.09%. Limited cushion if revenue slows or costs rise, not the profile of a wide-moat business.
Revenue grew 4.4%, steady but not accelerating.
Even for strong businesses, today's 13x P/E means the stock needs to keep delivering. There's no margin of safety if growth disappoints.
12.9x earnings, 1.9x FCF. The multiple is below average. Either the market is pricing in deterioration you should investigate, or there's genuine value here.
Based on TTM earnings · Diluted shares
Profitability & Returns
Revenue (TTM)
£1.03B
▲ +4.4% YoY
Net Income (TTM)
£24M
▲ +650.0% YoY
Op. Margin
7.09%
▲ +2.0pp YoY
ROIC
6.95%
▲ +2.1pp YoY
Cash Flow & Balance Sheet
FCF (TTM)
£160M
▲ +70.0% YoY
Op. Cash Flow (TTM)
£170M
▲ +62.4% YoY
Net Debt
£458M
Cash & Equiv.
£14M
3Y CAGR: -3.6%
3Y CAGR: +23.3%
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At a P/E of 12.9 and a price-to-free-cash-flow of 1.9, DFS Furniture (DFS.XLON) trades below a two-stage DCF intrinsic value of about £10.04 per share, so at £1.33 the stock looks undervalued (655.2% below estimated intrinsic value). A high multiple is not the same as overvalued: fast-growing, high-quality businesses can deserve a premium. See the general approach in how to tell if a stock is overvalued.
On quality, DFS Furniture scores 52/100 on Intrinsiqq's quality scorecard (a mixed business on these measures), weighing growth, margins, returns on capital, share count, and balance-sheet strength. All figures are computed from SEC filings; read the full methodology. This is analysis, not investment advice.
Intrinsiqq's two-stage DCF estimates an intrinsic value of about £10.04 per share for DFS.XLON, projecting its recent free cash flow forward with a growth rate that fades toward a long-run rate and discounting it back to today. Applying a 25% margin of safety gives a more conservative fair-value entry around £7.53. At today's £1.33, that puts the stock about 655.2% below estimated intrinsic value. The result is sensitive to the growth and discount-rate inputs, so it is best to run conservative, base and optimistic cases. You can adjust all of them yourself with the sliders on the DCF tab.
DFS Furniture scores 52 out of 100 on Intrinsiqq's quality score, a weighted blend of 8 metrics each scored 0 to 100, which makes it a mixed business on these measures. Recent fundamentals include a 7.1% operating margin and a 7.0% return on invested capital. The score weighs revenue and free-cash-flow growth, operating margins, return on invested capital, share-count change, and balance-sheet strength, all computed from SEC filings, not opinion. Because valuation only means something relative to quality, the full metric-by-metric breakdown is on the quality scorecard.
That depends on valuation and quality together, not either alone. DFS.XLON currently trades below its estimated intrinsic value and scores 52/100 on quality (mixed). A cheap price is only a bargain if the business is durable, and a premium can be justified by genuine quality, so the two questions, "is it cheap?" and "is it good?", only make sense side by side. Read the valuation against the quality scorecard, run the DCF on your own assumptions, and decide for yourself. This is analysis from SEC filings, not investment advice.