CluenexFloor & Decor FND
Floor & Decor scores average on business quality (5.5 of 10). Here is why, in plain words, and what our sealed record shows.
Why it matters
- What Floor & Decor does
Floor & Decor Holdings sells hard surface flooring directly to homeowners and professional contractors through sprawling warehouse-format stores. The business relies on extensive direct sourcing to maintain high product availability.
- What it does best
Floor & Decor maintains a gross margin of 44.9%, easily beating Home Depot's 33.2%. This superior margin comes from bypassing intermediaries and sourcing directly from global manufacturers, creating a cost advantage that smaller regional tile shops cannot replicate.
- The main risk
A weak housing market and lower discretionary spending threaten project volumes, putting pressure on top-line revenue growth that currently sits at a sluggish 5.1%.
Quality, check by check
Scored against its own industry, from company filings.
Operating margin is compressed at 6.4% and net margin is 4.9%, showing that high gross margins are heavily eroded by growing store operating expenses as the chain scales.
A moderate scale advantage locks in professional installers through massive in-stock inventory and dedicated commercial services, sitting in the 62nd percentile for gross margin.
Revenue grew 5.1% to $4.7B, sitting right in the middle of the pack for its sector. Growth is crawling out from past stagnation as new warehouse openings slowly lift total volume.
Debt-to-equity of 0.08 and interest coverage of 217x mean debt costs are a non-issue. Free cash flow reached $211.0M, marking a solid recovery and strengthening the balance sheet.
Insiders
Executives and directors, from SEC Form 4 filings we read ourselves. Open market trades only; grants, option exercises and pre-planned sales left out.
1 sold $13.6M outside pre-planned sales.
Our sealed record on FND
Verdicts appear here 30 days after we publish them; members see today's. Each one is in the nightly ledger, fingerprinted the night it was made.
The first sealed verdicts appear here on Oct 11, 2026.
Questions
Floor & Decor scores average on the Cluenex quality check (5.5 of 10), measured against its own industry. Profitability is weak, moat fair, growth slow and financial health strong.
In the last 90 days of SEC Form 4 filings: 1 sold $13.6M outside pre-planned sales.
Oct 29, 2026, after the close.
See FND today
- Today's verdict on FND, and why
- Fair value with cautious, base and optimistic cases
- The exact price that would change the verdict
- Which stocks each signal names, the night it fires
Cite this page: Cluenex, “Floor & Decor (FND)”, https://cluenex.com/stocks/fnd/, data as of Oct 10, 2026.