LGI HOMES INC (LGIH) Stock Fundamental Analysis

NASDAQ:LGIH • US50187T1060

58.145 USD
-2.68 (-4.41%)
At close: Feb 17, 2026
57.78 USD
-0.37 (-0.63%)
After Hours: 2/17/2026, 8:00:03 PM
Overview Stock Chart Technical Analysis Fundamental Analysis Analyst Ratings Earnings Estimates Financials Ownership News
Fundamental Rating

3

LGIH gets a fundamental rating of 3 out of 10. The analysis compared the fundamentals against 60 industry peers in the Household Durables industry. LGIH may be in some trouble as it scores bad on both profitability and health. LGIH has a valuation in line with the averages, but it does not seem to be growing.


Dividend Valuation Growth Profitability Health

3

1. Profitability

1.1 Basic Checks

  • In the past year LGIH was profitable.
  • LGIH had a negative operating cash flow in the past year.
  • LGIH had positive earnings in each of the past 5 years.
  • In multiple years LGIH reported negative operating cash flow during the last 5 years.
LGIH Yearly Net Income VS EBIT VS OCF VS FCFLGIH Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 200M -200M 400M

1.2 Ratios

  • LGIH has a Return On Assets (2.63%) which is comparable to the rest of the industry.
  • The Return On Equity of LGIH (5.11%) is comparable to the rest of the industry.
  • LGIH has a Return On Invested Capital of 2.11%. This is in the lower half of the industry: LGIH underperforms 70.00% of its industry peers.
  • Measured over the past 3 years, the Average Return On Invested Capital for LGIH is below the industry average of 9.21%.
  • The last Return On Invested Capital (2.11%) for LGIH is well below the 3 year average (6.71%), which needs to be investigated, but indicates that LGIH had better years and this may not be a problem.
Industry RankSector Rank
ROA 2.63%
ROE 5.11%
ROIC 2.11%
ROA(3y)7.17%
ROA(5y)11.5%
ROE(3y)13.41%
ROE(5y)19.89%
ROIC(3y)6.71%
ROIC(5y)11.08%
LGIH Yearly ROA, ROE, ROICLGIH Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 2024 10 20 30

1.3 Margins

  • LGIH has a better Profit Margin (5.94%) than 65.00% of its industry peers.
  • LGIH's Profit Margin has declined in the last couple of years.
  • With a Operating Margin value of 6.00%, LGIH perfoms like the industry average, outperforming 41.67% of the companies in the same industry.
  • In the last couple of years the Operating Margin of LGIH has declined.
  • Looking at the Gross Margin, with a value of 22.19%, LGIH is doing worse than 70.00% of the companies in the same industry.
  • In the last couple of years the Gross Margin of LGIH has remained more or less at the same level.
Industry RankSector Rank
OM 6%
PM (TTM) 5.94%
GM 22.19%
OM growth 3Y-18.75%
OM growth 5Y-4.9%
PM growth 3Y-14.18%
PM growth 5Y-1.74%
GM growth 3Y-3.35%
GM growth 5Y0.39%
LGIH Yearly Profit, Operating, Gross MarginsLGIH Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 2024 5 10 15 20 25

More info and screens

ROAROEROICOperating and Profit MarginShow most profitable peers

3

2. Health

2.1 Basic Checks

  • The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so LGIH is destroying value.
  • Compared to 1 year ago, LGIH has less shares outstanding
  • Compared to 5 years ago, LGIH has less shares outstanding
  • LGIH has a worse debt/assets ratio than last year.
LGIH Yearly Shares OutstandingLGIH Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 2024 5M 10M 15M 20M 25M
LGIH Yearly Total Debt VS Total AssetsLGIH Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 2023 2024 1B 2B 3B

2.2 Solvency

  • LGIH has an Altman-Z score of 2.75. This is not the best score and indicates that LGIH is in the grey zone with still only limited risk for bankruptcy at the moment.
  • LGIH has a worse Altman-Z score (2.75) than 60.00% of its industry peers.
  • A Debt/Equity ratio of 0.85 indicates that LGIH is somewhat dependend on debt financing.
  • The Debt to Equity ratio of LGIH (0.85) is worse than 68.33% of its industry peers.
Industry RankSector Rank
Debt/Equity 0.85
Debt/FCF N/A
Altman-Z 2.75
ROIC/WACC0.22
WACC9.7%
LGIH Yearly LT Debt VS Equity VS FCFLGIH Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 500M 1B 1.5B 2B

2.3 Liquidity

  • A Current Ratio of 21.61 indicates that LGIH has no problem at all paying its short term obligations.
  • LGIH's Current ratio of 21.61 is amongst the best of the industry. LGIH outperforms 100.00% of its industry peers.
  • LGIH has a Quick Ratio of 21.61. This is a bad value and indicates that LGIH is not financially healthy enough and could expect problems in meeting its short term obligations.
  • The Quick ratio of LGIH (0.48) is worse than 83.33% of its industry peers.
Industry RankSector Rank
Current Ratio 21.61
Quick Ratio 0.48
LGIH Yearly Current Assets VS Current LiabilitesLGIH Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 2023 2024 1B 2B 3B

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WACCDebt/EquityHow to determine the health of a companyAltman-Z scoreShow peers with great health

3

3. Growth

3.1 Past

  • The earnings per share for LGIH have decreased strongly by -41.25% in the last year.
  • Measured over the past 5 years, LGIH shows a small growth in Earnings Per Share. The EPS has been growing by 3.47% on average per year.
  • Looking at the last year, LGIH shows a very negative growth in Revenue. The Revenue has decreased by -20.62% in the last year.
  • Measured over the past years, LGIH shows a small growth in Revenue. The Revenue has been growing by 3.68% on average per year.
EPS 1Y (TTM)-41.25%
EPS 3Y-21.62%
EPS 5Y3.47%
EPS Q2Q%-71.19%
Revenue 1Y (TTM)-20.62%
Revenue growth 3Y-10.28%
Revenue growth 5Y3.68%
Sales Q2Q%-39.15%

3.2 Future

  • LGIH is expected to show a very negative growth in Earnings Per Share. In the coming years, the EPS will decrease by -13.79% yearly.
  • LGIH is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 6.85% yearly.
EPS Next Y-59.06%
EPS Next 2Y-25.37%
EPS Next 3Y-13.79%
EPS Next 5YN/A
Revenue Next Year-23.05%
Revenue Next 2Y-4.33%
Revenue Next 3Y6.85%
Revenue Next 5YN/A

3.3 Evolution

  • The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
  • The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
LGIH Yearly Revenue VS EstimatesLGIH Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 1B 2B 3B
LGIH Yearly EPS VS EstimatesLGIH Yearly EPS VS EstimatesYearly EPS VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 5 10 15

More info and screens

Find the best growth stocksShow best growing peers

4

4. Valuation

4.1 Price/Earnings Ratio

  • The Price/Earnings ratio is 11.87, which indicates a very decent valuation of LGIH.
  • Compared to the rest of the industry, the Price/Earnings ratio of LGIH indicates a somewhat cheap valuation: LGIH is cheaper than 68.33% of the companies listed in the same industry.
  • Compared to an average S&P500 Price/Earnings ratio of 27.16, LGIH is valued rather cheaply.
  • Based on the Price/Forward Earnings ratio of 12.58, the valuation of LGIH can be described as correct.
  • LGIH's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. LGIH is cheaper than 73.33% of the companies in the same industry.
  • The average S&P500 Price/Forward Earnings ratio is at 28.10. LGIH is valued rather cheaply when compared to this.
Industry RankSector Rank
PE 11.87
Fwd PE 12.58
LGIH Price Earnings VS Forward Price EarningsLGIH Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 10 20 30

4.2 Price Multiples

  • Based on the Enterprise Value to EBITDA ratio, LGIH is valued a bit more expensive than 78.33% of the companies in the same industry.
Industry RankSector Rank
P/FCF N/A
EV/EBITDA 27.95
LGIH Per share dataLGIH EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 0 20 40 60 80

4.3 Compensation for Growth

  • LGIH's earnings are expected to decrease with -13.79% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)3.42
EPS Next 2Y-25.37%
EPS Next 3Y-13.79%

More info and screens

Price/EarningsPrice/FCFFCF per shareEV/EBITDAPEG RATIOShow best valued peers

0

5. Dividend

5.1 Amount

  • No dividends for LGIH!.
Industry RankSector Rank
Dividend Yield 0%

More info and screens

Find the best dividend stocksShow peers with best dividend

LGI HOMES INC

NASDAQ:LGIH (2/17/2026, 8:00:03 PM)

After market: 57.78 -0.37 (-0.63%)

58.145

-2.68 (-4.41%)

Chartmill FA Rating
GICS IndustryGroupConsumer Durables & Apparel
GICS IndustryHousehold Durables
Earnings (Last)11-04
Earnings (Next)02-17
Inst Owners90.74%
Inst Owner Change-2.41%
Ins Owners12.52%
Ins Owner Change0.5%
Market Cap1.34B
Revenue(TTM)1.79B
Net Income(TTM)106.23M
Analysts74.55
Price Target76.5 (31.57%)
Short Float %13.13%
Short Ratio7.08
Dividend
Industry RankSector Rank
Dividend Yield 0%
Yearly DividendN/A
Dividend Growth(5Y)N/A
DP0%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-7.04%
Min EPS beat(2)-10.33%
Max EPS beat(2)-3.76%
EPS beat(4)0
Avg EPS beat(4)-8.36%
Min EPS beat(4)-16.15%
Max EPS beat(4)-3.19%
EPS beat(8)2
Avg EPS beat(8)-7.08%
EPS beat(12)4
Avg EPS beat(12)-2.91%
EPS beat(16)8
Avg EPS beat(16)0.93%
Revenue beat(2)0
Avg Revenue beat(2)-0.39%
Min Revenue beat(2)-0.71%
Max Revenue beat(2)-0.07%
Revenue beat(4)0
Avg Revenue beat(4)-3.48%
Min Revenue beat(4)-7.15%
Max Revenue beat(4)-0.07%
Revenue beat(8)0
Avg Revenue beat(8)-4.2%
Revenue beat(12)1
Avg Revenue beat(12)-3.71%
Revenue beat(16)3
Avg Revenue beat(16)-3.14%
PT rev (1m)2.74%
PT rev (3m)0.4%
EPS NQ rev (1m)-1.49%
EPS NQ rev (3m)-16.7%
EPS NY rev (1m)-2.81%
EPS NY rev (3m)-8.65%
Revenue NQ rev (1m)-6.14%
Revenue NQ rev (3m)-5.9%
Revenue NY rev (1m)-0.28%
Revenue NY rev (3m)1.33%
Valuation
Industry RankSector Rank
PE 11.87
Fwd PE 12.58
P/S 0.75
P/FCF N/A
P/OCF N/A
P/B 0.65
P/tB 0.65
EV/EBITDA 27.95
EPS(TTM)4.9
EY8.43%
EPS(NY)4.62
Fwd EY7.95%
FCF(TTM)-7.42
FCFYN/A
OCF(TTM)-7.35
OCFYN/A
SpS77.51
BVpS90.09
TBVpS89.57
PEG (NY)N/A
PEG (5Y)3.42
Graham Number99.66
Profitability
Industry RankSector Rank
ROA 2.63%
ROE 5.11%
ROCE 2.77%
ROIC 2.11%
ROICexc 2.14%
ROICexgc 2.24%
OM 6%
PM (TTM) 5.94%
GM 22.19%
FCFM N/A
ROA(3y)7.17%
ROA(5y)11.5%
ROE(3y)13.41%
ROE(5y)19.89%
ROIC(3y)6.71%
ROIC(5y)11.08%
ROICexc(3y)6.8%
ROICexc(5y)11.29%
ROICexgc(3y)7.08%
ROICexgc(5y)11.73%
ROCE(3y)8.84%
ROCE(5y)14.59%
ROICexgc growth 3Y-37.81%
ROICexgc growth 5Y-16.06%
ROICexc growth 3Y-38.04%
ROICexc growth 5Y-16.69%
OM growth 3Y-18.75%
OM growth 5Y-4.9%
PM growth 3Y-14.18%
PM growth 5Y-1.74%
GM growth 3Y-3.35%
GM growth 5Y0.39%
F-Score3
Asset Turnover0.44
Health
Industry RankSector Rank
Debt/Equity 0.85
Debt/FCF N/A
Debt/EBITDA 15.88
Cap/Depr 39.25%
Cap/Sales 0.09%
Interest Coverage 0.97
Cash Conversion N/A
Profit Quality N/A
Current Ratio 21.61
Quick Ratio 0.48
Altman-Z 2.75
F-Score3
WACC9.7%
ROIC/WACC0.22
Cap/Depr(3y)65.91%
Cap/Depr(5y)145.02%
Cap/Sales(3y)0.07%
Cap/Sales(5y)0.07%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-41.25%
EPS 3Y-21.62%
EPS 5Y3.47%
EPS Q2Q%-71.19%
EPS Next Y-59.06%
EPS Next 2Y-25.37%
EPS Next 3Y-13.79%
EPS Next 5YN/A
Revenue 1Y (TTM)-20.62%
Revenue growth 3Y-10.28%
Revenue growth 5Y3.68%
Sales Q2Q%-39.15%
Revenue Next Year-23.05%
Revenue Next 2Y-4.33%
Revenue Next 3Y6.85%
Revenue Next 5YN/A
EBIT growth 1Y-52.56%
EBIT growth 3Y-27.11%
EBIT growth 5Y-1.4%
EBIT Next Year-42.48%
EBIT Next 3Y-5.38%
EBIT Next 5YN/A
FCF growth 1Y-396.44%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-405.2%
OCF growth 3YN/A
OCF growth 5YN/A

LGI HOMES INC / LGIH FAQ

What is the fundamental rating for LGIH stock?

ChartMill assigns a fundamental rating of 3 / 10 to LGIH.


What is the valuation status for LGIH stock?

ChartMill assigns a valuation rating of 4 / 10 to LGI HOMES INC (LGIH). This can be considered as Fairly Valued.


Can you provide the profitability details for LGI HOMES INC?

LGI HOMES INC (LGIH) has a profitability rating of 3 / 10.


What is the earnings growth outlook for LGI HOMES INC?

The Earnings per Share (EPS) of LGI HOMES INC (LGIH) is expected to decline by -59.06% in the next year.


How sustainable is the dividend of LGI HOMES INC (LGIH) stock?

The dividend rating of LGI HOMES INC (LGIH) is 0 / 10 and the dividend payout ratio is 0%.