LAMAR ADVERTISING CO-A (LAMR)
US5128161099 - REIT
We assign a fundamental rating of 5 out of 10 to LAMR. LAMR was compared to 28 industry peers in the Specialized REITs industry. While LAMR belongs to the best of the industry regarding profitability, there are concerns on its financial health. LAMR is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year LAMR was profitable.
LAMR had a positive operating cash flow in the past year.
Each year in the past 5 years LAMR has been profitable.
LAMR had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
LAMR's Return On Assets of 7.85% is amongst the best of the industry. LAMR outperforms 96.43% of its industry peers.
LAMR's Return On Equity of 42.22% is amongst the best of the industry. LAMR outperforms 96.43% of its industry peers.
With an excellent Return On Invested Capital value of 9.31%, LAMR belongs to the best of the industry, outperforming 92.86% of the companies in the same industry.
LAMR had an Average Return On Invested Capital over the past 3 years of 8.13%. This is above the industry average of 5.21%.
The 3 year average ROIC (8.13%) for LAMR is below the current ROIC(9.31%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.85% | ||
| ROE | 42.22% | ||
| ROIC | 9.31% |
ROA(3y)6.91%
ROA(5y)6.24%
ROE(3y)36.42%
ROE(5y)32.19%
ROIC(3y)8.13%
ROIC(5y)7.62%
1.3 Margins
LAMR has a Profit Margin of 23.44%. This is in the better half of the industry: LAMR outperforms 64.29% of its industry peers.
In the last couple of years the Profit Margin of LAMR has grown nicely.
LAMR's Operating Margin of 31.21% is on the low side compared to the rest of the industry. LAMR is outperformed by 64.29% of its industry peers.
LAMR's Operating Margin has improved in the last couple of years.
LAMR's Gross Margin of 81.12% is fine compared to the rest of the industry. LAMR outperforms 71.43% of its industry peers.
In the last couple of years the Gross Margin of LAMR has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 31.21% | ||
| PM (TTM) | 23.44% | ||
| GM | 81.12% |
OM growth 3Y7.47%
OM growth 5Y2%
PM growth 3Y14.86%
PM growth 5Y4.6%
GM growth 3Y-2.38%
GM growth 5Y4.54%
2. Health
2.1 Basic Checks
LAMR has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
Compared to 1 year ago, LAMR has more shares outstanding
LAMR has more shares outstanding than it did 5 years ago.
LAMR has a better debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 1.93 indicates that LAMR is not a great score, but indicates only limited risk for bankruptcy at the moment.
LAMR has a Altman-Z score of 1.93. This is amongst the best in the industry. LAMR outperforms 82.14% of its industry peers.
LAMR has a debt to FCF ratio of 4.53. This is a neutral value as LAMR would need 4.53 years to pay back of all of its debts.
LAMR's Debt to FCF ratio of 4.53 is amongst the best of the industry. LAMR outperforms 92.86% of its industry peers.
A Debt/Equity ratio of 2.48 is on the high side and indicates that LAMR has dependencies on debt financing.
With a Debt to Equity ratio value of 2.48, LAMR is not doing good in the industry: 71.43% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.48 | ||
| Debt/FCF | 4.53 | ||
| Altman-Z | 1.93 |
ROIC/WACC1.16
WACC8.02%
2.3 Liquidity
A Current Ratio of 0.56 indicates that LAMR may have some problems paying its short term obligations.
Looking at the Current ratio, with a value of 0.56, LAMR is doing worse than 67.86% of the companies in the same industry.
A Quick Ratio of 0.56 indicates that LAMR may have some problems paying its short term obligations.
Looking at the Quick ratio, with a value of 0.56, LAMR is doing worse than 67.86% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.56 | ||
| Quick Ratio | 0.56 |
3. Growth
3.1 Past
LAMR shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 41.34%, which is quite impressive.
Measured over the past years, LAMR shows a quite strong growth in Earnings Per Share. The EPS has been growing by 8.54% on average per year.
The Revenue has been growing slightly by 4.45% in the past year.
LAMR shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 5.34% yearly.
EPS 1Y (TTM)41.34%
EPS 3Y23.9%
EPS 5Y8.54%
EPS Q2Q%56.93%
Revenue 1Y (TTM)4.45%
Revenue growth 3Y10.4%
Revenue growth 5Y5.34%
Sales Q2Q%3.97%
3.2 Future
LAMR is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 9.81% yearly.
Based on estimates for the next years, LAMR will show a small growth in Revenue. The Revenue will grow by 4.60% on average per year.
EPS Next Y6.3%
EPS Next 2Y10.27%
EPS Next 3Y9.81%
EPS Next 5YN/A
Revenue Next Year5.31%
Revenue Next 2Y5.09%
Revenue Next 3Y4.6%
Revenue Next 5YN/A
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 22.64 indicates a rather expensive valuation of LAMR.
Based on the Price/Earnings ratio, LAMR is valued a bit cheaper than the industry average as 75.00% of the companies are valued more expensively.
Compared to an average S&P500 Price/Earnings ratio of 28.96, LAMR is valued a bit cheaper.
Based on the Price/Forward Earnings ratio of 21.92, the valuation of LAMR can be described as rather expensive.
Based on the Price/Forward Earnings ratio, LAMR is valued cheaper than 82.14% of the companies in the same industry.
LAMR's Price/Forward Earnings ratio indicates a similar valuation than the S&P500 average which is at 23.82.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22.64 | ||
| Fwd PE | 21.92 |
4.2 Price Multiples
64.29% of the companies in the same industry are more expensive than LAMR, based on the Enterprise Value to EBITDA ratio.
LAMR's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. LAMR is cheaper than 78.57% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 18.36 | ||
| EV/EBITDA | 16.8 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates LAMR does not grow enough to justify the current Price/Earnings ratio.
LAMR has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)3.59
PEG (5Y)2.65
EPS Next 2Y10.27%
EPS Next 3Y9.81%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 4.40%, LAMR is a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 4.54, LAMR has a dividend in line with its industry peers.
LAMR's Dividend Yield is rather good when compared to the S&P500 average which is at 2.23.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.4% |
5.2 History
The dividend of LAMR has a limited annual growth rate of 2.28%.
LAMR has been paying a dividend for at least 10 years, so it has a reliable track record.
LAMR has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)2.28%
Div Incr Years0
Div Non Decr Years3
5.3 Sustainability
105.05% of the earnings are spent on dividend by LAMR. This is not a sustainable payout ratio.
LAMR's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP105.05%
EPS Next 2Y10.27%
EPS Next 3Y9.81%
LAMAR ADVERTISING CO-A
NASDAQ:LAMR (11/21/2024, 8:00:02 PM)
Premarket: 128 -1.27 (-0.98%)129.27
+1.73 (+1.36%)
Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustrySpecialized REITs
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap13.22B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.4% |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
Max EPS beat(2)
EPS beat(4)
Avg EPS beat(4)
Min EPS beat(4)
Max EPS beat(4)
EPS beat(8)
Avg EPS beat(8)
EPS beat(12)
Avg EPS beat(12)
EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
Avg Revenue beat(2)
Min Revenue beat(2)
Max Revenue beat(2)
Revenue beat(4)
Avg Revenue beat(4)
Min Revenue beat(4)
Max Revenue beat(4)
Revenue beat(8)
Avg Revenue beat(8)
Revenue beat(12)
Avg Revenue beat(12)
Revenue beat(16)
Avg Revenue beat(16)
PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22.64 | ||
| Fwd PE | 21.92 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)3.59
PEG (5Y)2.65
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.85% | ||
| ROE | 42.22% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 31.21% | ||
| PM (TTM) | 23.44% | ||
| GM | 81.12% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.33
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.48 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 0.56 | ||
| Quick Ratio | 0.56 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
High Growth Momentum
Growth
EPS 1Y (TTM)41.34%
EPS 3Y23.9%
EPS 5Y
EPS Q2Q%
EPS Next Y6.3%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)4.45%
Revenue growth 3Y10.4%
Revenue growth 5Y
Sales Q2Q%
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y