9.11 USD
-0.13 (-1.41%)
9.29 USD
+0.18 (+1.98%)
LAKE gets a fundamental rating of 3 out of 10. The analysis compared the fundamentals against 45 industry peers in the Textiles, Apparel & Luxury Goods industry. While LAKE seems to be doing ok healthwise, there are quite some concerns on its profitability. LAKE is valied quite expensively at the moment, while it does show a decent growth rate.
1. Profitability
1.1 Basic Checks
- In the past year LAKE has reported negative net income.
- In the past year LAKE has reported a negative cash flow from operations.
- Of the past 5 years LAKE 4 years were profitable.
- In multiple years LAKE reported negative operating cash flow during the last 5 years.
1.2 Ratios
- LAKE has a Return On Assets of -17.01%. This is amonst the worse of the industry: LAKE underperforms 86.67% of its industry peers.
- The Return On Equity of LAKE (-27.91%) is worse than 80.00% of its industry peers.
- Looking at the Return On Invested Capital, with a value of 2.67%, LAKE is doing worse than 75.56% of the companies in the same industry.
- Measured over the past 3 years, the Average Return On Invested Capital for LAKE is significantly below the industry average of 11.59%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -17.01% | ||
| ROE | -27.91% | ||
| ROIC | 2.67% |
ROA(3y)-1.21%
ROA(5y)5.94%
ROE(3y)-2.12%
ROE(5y)6.3%
ROIC(3y)5.64%
ROIC(5y)10.92%
1.3 Margins
- The Operating Margin of LAKE (3.21%) is worse than 60.00% of its industry peers.
- LAKE's Operating Margin has improved in the last couple of years.
- LAKE has a Gross Margin of 34.78%. This is in the lower half of the industry: LAKE underperforms 75.56% of its industry peers.
- In the last couple of years the Gross Margin of LAKE has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 3.21% | ||
| PM (TTM) | N/A | ||
| GM | 34.78% |
OM growth 3Y-5.33%
OM growth 5Y15.94%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-1.51%
GM growth 5Y3.16%
2. Health
2.1 Basic Checks
- The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so LAKE is destroying value.
- LAKE has more shares outstanding than it did 1 year ago.
- Compared to 5 years ago, LAKE has more shares outstanding
- The debt/assets ratio for LAKE is higher compared to a year ago.
2.2 Solvency
- An Altman-Z score of 2.34 indicates that LAKE is not a great score, but indicates only limited risk for bankruptcy at the moment.
- LAKE has a Altman-Z score (2.34) which is comparable to the rest of the industry.
- LAKE has a Debt/Equity ratio of 0.28. This is a healthy value indicating a solid balance between debt and equity.
- LAKE has a Debt to Equity ratio of 0.28. This is in the better half of the industry: LAKE outperforms 66.67% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.28 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 2.34 |
ROIC/WACC0.22
WACC12.22%
2.3 Liquidity
- A Current Ratio of 3.83 indicates that LAKE has no problem at all paying its short term obligations.
- With an excellent Current ratio value of 3.83, LAKE belongs to the best of the industry, outperforming 95.56% of the companies in the same industry.
- LAKE has a Quick Ratio of 1.48. This is a normal value and indicates that LAKE is financially healthy and should not expect problems in meeting its short term obligations.
- LAKE has a Quick ratio of 1.48. This is in the better half of the industry: LAKE outperforms 75.56% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.83 | ||
| Quick Ratio | 1.48 |
3. Growth
3.1 Past
- LAKE shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -869.23%.
- Measured over the past years, LAKE shows a very negative growth in Earnings Per Share. The EPS has been decreasing by -52.18% on average per year.
- Looking at the last year, LAKE shows a very strong growth in Revenue. The Revenue has grown by 27.42%.
- LAKE shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 9.18% yearly.
EPS 1Y (TTM)-869.23%
EPS 3Y-80.74%
EPS 5Y-52.18%
EPS Q2Q%-16500%
Revenue 1Y (TTM)27.42%
Revenue growth 3Y12.19%
Revenue growth 5Y9.18%
Sales Q2Q%3.99%
3.2 Future
- Based on estimates for the next years, LAKE will show a very strong growth in Earnings Per Share. The EPS will grow by 380.11% on average per year.
- Based on estimates for the next years, LAKE will show a quite strong growth in Revenue. The Revenue will grow by 11.54% on average per year.
EPS Next Y-21316%
EPS Next 2Y583.12%
EPS Next 3Y380.11%
EPS Next 5YN/A
Revenue Next Year17.61%
Revenue Next 2Y12.87%
Revenue Next 3Y11.54%
Revenue Next 5YN/A
3.3 Evolution
- The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
- When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
- LAKE reported negative earnings for the last year, which makes the Price/Earnings Ratio negative.
- With a Price/Forward Earnings ratio of 19.52, LAKE is valued on the expensive side.
- LAKE's Price/Forward Earnings is on the same level as the industry average.
- LAKE's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 25.95.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 19.52 |
4.2 Price Multiples
- LAKE's Enterprise Value to EBITDA ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 10.58 |
4.3 Compensation for Growth
- LAKE's earnings are expected to grow with 380.11% in the coming years. This may justify a more expensive valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y583.12%
EPS Next 3Y380.11%
5. Dividend
5.1 Amount
- LAKE has a Yearly Dividend Yield of 1.30%. Purely for dividend investing, there may be better candidates out there.
- In the last 3 months the price of LAKE has falen by -44.65%. A price decline artificially increases the dividend yield. It may be a sign investors do not expect the dividend to last.
- Compared to an average industry Dividend Yield of 1.45, LAKE pays a bit more dividend than its industry peers.
- LAKE's Dividend Yield is slightly below the S&P500 average, which is at 1.82.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.3% |
5.2 History
- LAKE has been paying a dividend for less than 5 years, so it still needs to build a track record.
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years1
5.3 Sustainability
- The earnings of LAKE are negative and hence is the payout ratio. LAKE will probably not be able to sustain this dividend level.
DP-2.88%
EPS Next 2Y583.12%
EPS Next 3Y380.11%
LAKELAND INDUSTRIES INC / LAKE FAQ
Can you provide the ChartMill fundamental rating for LAKELAND INDUSTRIES INC?
ChartMill assigns a fundamental rating of 3 / 10 to LAKE.
What is the valuation status of LAKELAND INDUSTRIES INC (LAKE) stock?
ChartMill assigns a valuation rating of 2 / 10 to LAKELAND INDUSTRIES INC (LAKE). This can be considered as Overvalued.
What is the profitability of LAKE stock?
LAKELAND INDUSTRIES INC (LAKE) has a profitability rating of 2 / 10.
Can you provide the expected EPS growth for LAKE stock?
The Earnings per Share (EPS) of LAKELAND INDUSTRIES INC (LAKE) is expected to decline by -21316% in the next year.