LCI INDUSTRIES (LCII) Stock Fundamental Analysis
NYSE:LCII - New York Stock Exchange, Inc. - US50189K1034 - Common Stock
Overall LCII gets a fundamental rating of 5 out of 10. We evaluated LCII against 83 industry peers in the Automobile Components industry. LCII has a great financial health rating, but its profitability evaluates not so good. LCII is not valued too expensively and it also shows a decent growth rate. Finally LCII also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
LCII had positive earnings in the past year.
LCII had a positive operating cash flow in the past year.
LCII had positive earnings in each of the past 5 years.
Of the past 5 years LCII 4 years had a positive operating cash flow.
1.2 Ratios
LCII's Return On Assets of 4.33% is on the low side compared to the rest of the industry. LCII is outperformed by 62.65% of its industry peers.
With a Return On Equity value of 9.23%, LCII is not doing good in the industry: 62.65% of the companies in the same industry are doing better.
Looking at the Return On Invested Capital, with a value of 6.02%, LCII is doing worse than 68.67% of the companies in the same industry.
LCII had an Average Return On Invested Capital over the past 3 years of 10.00%. This is in line with the industry average of 9.42%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.33% | ||
| ROE | 9.23% | ||
| ROIC | 6.02% |
ROA(3y)7.69%
ROA(5y)7.57%
ROE(3y)19.89%
ROE(5y)19.08%
ROIC(3y)10%
ROIC(5y)9.73%
1.3 Margins
LCII's Profit Margin of 3.47% is on the low side compared to the rest of the industry. LCII is outperformed by 63.86% of its industry peers.
In the last couple of years the Profit Margin of LCII has declined.
LCII has a worse Operating Margin (5.42%) than 67.47% of its industry peers.
LCII's Operating Margin has declined in the last couple of years.
With a Gross Margin value of 23.08%, LCII is not doing good in the industry: 66.27% of the companies in the same industry are doing better.
LCII's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 5.42% | ||
| PM (TTM) | 3.47% | ||
| GM | 23.08% |
OM growth 3Y-25.76%
OM growth 5Y-16.49%
PM growth 3Y-33.1%
PM growth 5Y-22.33%
GM growth 3Y-6.7%
GM growth 5Y-0.49%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), LCII is creating some value.
The number of shares outstanding for LCII has been increased compared to 1 year ago.
Compared to 5 years ago, LCII has more shares outstanding
LCII has a better debt/assets ratio than last year.
2.2 Solvency
LCII has an Altman-Z score of 3.39. This indicates that LCII is financially healthy and has little risk of bankruptcy at the moment.
LCII has a Altman-Z score of 3.39. This is in the better half of the industry: LCII outperforms 74.70% of its industry peers.
LCII has a debt to FCF ratio of 2.30. This is a good value and a sign of high solvency as LCII would need 2.30 years to pay back of all of its debts.
The Debt to FCF ratio of LCII (2.30) is better than 93.98% of its industry peers.
LCII has a Debt/Equity ratio of 0.58. This is a neutral value indicating LCII is somewhat dependend on debt financing.
With a Debt to Equity ratio value of 0.58, LCII is not doing good in the industry: 75.90% of the companies in the same industry are doing better.
Even though the debt/equity ratio score it not favorable for LCII, it has very limited outstanding debt, so we won't put too much weight on the DE evaluation.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.58 | ||
| Debt/FCF | 2.3 | ||
| Altman-Z | 3.39 |
ROIC/WACC0.74
WACC8.12%
2.3 Liquidity
LCII has a Current Ratio of 2.88. This indicates that LCII is financially healthy and has no problem in meeting its short term obligations.
Looking at the Current ratio, with a value of 2.88, LCII belongs to the top of the industry, outperforming 83.13% of the companies in the same industry.
A Quick Ratio of 1.25 indicates that LCII should not have too much problems paying its short term obligations.
LCII has a Quick ratio of 1.25. This is in the better half of the industry: LCII outperforms 75.90% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.88 | ||
| Quick Ratio | 1.25 |
3. Growth
3.1 Past
LCII shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 164.95%, which is quite impressive.
Measured over the past years, LCII shows a very negative growth in Earnings Per Share. The EPS has been decreasing by -15.49% on average per year.
Looking at the last year, LCII shows a decrease in Revenue. The Revenue has decreased by -1.72% in the last year.
The Revenue has been growing by 8.86% on average over the past years. This is quite good.
EPS 1Y (TTM)164.95%
EPS 3Y-26.95%
EPS 5Y-15.49%
EPS Q2Q%36.27%
Revenue 1Y (TTM)-1.72%
Revenue growth 3Y10.62%
Revenue growth 5Y8.86%
Sales Q2Q%-4.57%
3.2 Future
The Earnings Per Share is expected to grow by 47.33% on average over the next years. This is a very strong growth
The Revenue is expected to grow by 3.11% on average over the next years.
EPS Next Y122.27%
EPS Next 2Y65.99%
EPS Next 3Y47.33%
EPS Next 5YN/A
Revenue Next Year-0.91%
Revenue Next 2Y1.7%
Revenue Next 3Y3.11%
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 accelerating.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 20.66, LCII is valued on the expensive side.
LCII's Price/Earnings ratio is in line with the industry average.
The average S&P500 Price/Earnings ratio is at 28.29. LCII is valued slightly cheaper when compared to this.
With a Price/Forward Earnings ratio of 15.23, LCII is valued correctly.
Compared to the rest of the industry, the Price/Forward Earnings ratio of LCII is on the same level as its industry peers.
Compared to an average S&P500 Price/Forward Earnings ratio of 24.44, LCII is valued a bit cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.66 | ||
| Fwd PE | 15.23 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, LCII is valued a bit more expensive than 65.06% of the companies in the same industry.
LCII's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. LCII is cheaper than 68.67% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 7.55 | ||
| EV/EBITDA | 10.25 |
4.3 Compensation for Growth
LCII's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
LCII's earnings are expected to grow with 47.33% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.17
PEG (5Y)N/A
EPS Next 2Y65.99%
EPS Next 3Y47.33%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 4.27%, LCII is a good candidate for dividend investing.
LCII's Dividend Yield is rather good when compared to the industry average which is at 4.18. LCII pays more dividend than 98.80% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.28, LCII pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.27% |
5.2 History
The dividend of LCII is nicely growing with an annual growth rate of 12.12%!
LCII has been paying a dividend for over 5 years, so it has already some track record.
LCII has not decreased its dividend in the past 5 years, so it has a somewhat stable track record.
Dividend Growth(5Y)12.12%
Div Incr Years8
Div Non Decr Years8
5.3 Sustainability
81.55% of the earnings are spent on dividend by LCII. This is not a sustainable payout ratio.
The dividend of LCII is growing, but earnings are growing more, so the dividend growth is sustainable.
DP81.55%
EPS Next 2Y65.99%
EPS Next 3Y47.33%
LCI INDUSTRIES
NYSE:LCII (1/22/2025, 11:36:34 AM)
106.18
-2.24 (-2.07%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupAutomobiles & Components
GICS IndustryAutomobile Components
Earnings (Last)
Earnings (Next)
Inst Owners107.38%
Inst Owner Change0.03%
Ins Owners2.08%
Ins Owner Change-0.7%
Market Cap2.70B
Analysts72.5
Price Target120.13 (13.14%)
Short Float %6.96%
Short Ratio7.33
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.27% |
Yearly Dividend4.21
Dividend Growth(5Y)12.12%
DP81.55%
Div Incr Years8
Div Non Decr Years8
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)4.44%
Min EPS beat(2)-0.22%
Max EPS beat(2)9.1%
EPS beat(4)2
Avg EPS beat(4)8.19%
Min EPS beat(4)-147.95%
Max EPS beat(4)171.82%
EPS beat(8)4
Avg EPS beat(8)29.7%
EPS beat(12)7
Avg EPS beat(12)26.51%
EPS beat(16)9
Avg EPS beat(16)21.47%
Revenue beat(2)0
Avg Revenue beat(2)-2.37%
Min Revenue beat(2)-2.74%
Max Revenue beat(2)-1.99%
Revenue beat(4)0
Avg Revenue beat(4)-1.99%
Min Revenue beat(4)-2.74%
Max Revenue beat(4)-1.19%
Revenue beat(8)1
Avg Revenue beat(8)-1.09%
Revenue beat(12)4
Avg Revenue beat(12)1.04%
Revenue beat(16)8
Avg Revenue beat(16)2.14%
PT rev (1m)0%
PT rev (3m)1.27%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-54.27%
EPS NY rev (1m)0%
EPS NY rev (3m)-4.87%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-12.14%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-49.79%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.66 | ||
| Fwd PE | 15.23 | ||
| P/S | 0.72 | ||
| P/FCF | 7.55 | ||
| P/OCF | 6.73 | ||
| P/B | 1.91 | ||
| P/tB | 6.57 | ||
| EV/EBITDA | 10.25 |
EPS(TTM)5.14
EY4.84%
EPS(NY)6.97
Fwd EY6.56%
FCF(TTM)14.07
FCFY13.25%
OCF(TTM)15.78
OCFY14.86%
SpS148.3
BVpS55.71
TBVpS16.17
PEG (NY)0.17
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.33% | ||
| ROE | 9.23% | ||
| ROCE | 7.9% | ||
| ROIC | 6.02% | ||
| ROICexc | 6.42% | ||
| ROICexgc | 10.95% | ||
| OM | 5.42% | ||
| PM (TTM) | 3.47% | ||
| GM | 23.08% | ||
| FCFM | 9.48% |
ROA(3y)7.69%
ROA(5y)7.57%
ROE(3y)19.89%
ROE(5y)19.08%
ROIC(3y)10%
ROIC(5y)9.73%
ROICexc(3y)10.21%
ROICexc(5y)9.95%
ROICexgc(3y)16.98%
ROICexgc(5y)17.29%
ROCE(3y)13.12%
ROCE(5y)12.76%
ROICexcg growth 3Y-28.73%
ROICexcg growth 5Y-21.64%
ROICexc growth 3Y-25.98%
ROICexc growth 5Y-23.54%
OM growth 3Y-25.76%
OM growth 5Y-16.49%
PM growth 3Y-33.1%
PM growth 5Y-22.33%
GM growth 3Y-6.7%
GM growth 5Y-0.49%
F-Score6
Asset Turnover1.25
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.58 | ||
| Debt/FCF | 2.3 | ||
| Debt/EBITDA | 2.46 | ||
| Cap/Depr | 33.76% | ||
| Cap/Sales | 1.15% | ||
| Interest Coverage | 5.85 | ||
| Cash Conversion | 120.37% | ||
| Profit Quality | 273.49% | ||
| Current Ratio | 2.88 | ||
| Quick Ratio | 1.25 | ||
| Altman-Z | 3.39 |
F-Score6
WACC8.12%
ROIC/WACC0.74
Cap/Depr(3y)78.68%
Cap/Depr(5y)74.34%
Cap/Sales(3y)2.12%
Cap/Sales(5y)2.17%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)164.95%
EPS 3Y-26.95%
EPS 5Y-15.49%
EPS Q2Q%36.27%
EPS Next Y122.27%
EPS Next 2Y65.99%
EPS Next 3Y47.33%
EPS Next 5YN/A
Revenue 1Y (TTM)-1.72%
Revenue growth 3Y10.62%
Revenue growth 5Y8.86%
Sales Q2Q%-4.57%
Revenue Next Year-0.91%
Revenue Next 2Y1.7%
Revenue Next 3Y3.11%
Revenue Next 5YN/A
EBIT growth 1Y109.39%
EBIT growth 3Y-17.88%
EBIT growth 5Y-9.09%
EBIT Next Year157.35%
EBIT Next 3Y47.15%
EBIT Next 5YN/A
FCF growth 1Y53.55%
FCF growth 3Y38.75%
FCF growth 5Y66.08%
OCF growth 1Y11.06%
OCF growth 3Y31.59%
OCF growth 5Y27.48%