LGI HOMES INC (LGIH) Stock Fundamental Analysis

USA • Nasdaq • NASDAQ:LGIH • US50187T1060

57.67 USD
-0.78 (-1.33%)
At close: Feb 5, 2026
57.67 USD
0 (0%)
After Hours: 2/5/2026, 8:00:03 PM
Fundamental Rating

3

We assign a fundamental rating of 3 out of 10 to LGIH. LGIH was compared to 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 on the other hand it scores bad on growth.


Dividend Valuation Growth Profitability Health

3

1. Profitability

1.1 Basic Checks

  • LGIH had positive earnings in the past year.
  • In the past year LGIH has reported a negative cash flow from operations.
  • 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 (2.65%) which is comparable to the rest of the industry.
  • LGIH's Return On Equity of 5.15% is in line compared to the rest of the industry. LGIH outperforms 41.67% of its industry peers.
  • LGIH has a Return On Invested Capital of 2.10%. This is in the lower half of the industry: LGIH underperforms 68.33% of its industry peers.
  • The Average Return On Invested Capital over the past 3 years for LGIH is below the industry average of 9.41%.
  • The last Return On Invested Capital (2.10%) for LGIH is well below the 3 year average (6.70%), which needs to be investigated, but indicates that LGIH had better years and this may not be a problem.
Industry RankSector Rank
ROA 2.65%
ROE 5.15%
ROIC 2.1%
ROA(3y)7.17%
ROA(5y)11.5%
ROE(3y)13.41%
ROE(5y)19.89%
ROIC(3y)6.7%
ROIC(5y)11.06%
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 (5.98%) than 63.33% of its industry peers.
  • In the last couple of years the Profit Margin of LGIH has declined.
  • LGIH's Operating Margin of 5.99% is in line compared to the rest of the industry. LGIH outperforms 41.67% of its industry peers.
  • LGIH's Operating Margin has declined in the last couple of years.
  • LGIH has a Gross Margin of 22.19%. This is in the lower half of the industry: LGIH underperforms 70.00% of its industry peers.
  • LGIH's Gross Margin has been stable in the last couple of years.
Industry RankSector Rank
OM 5.99%
PM (TTM) 5.98%
GM 22.19%
OM growth 3Y-18.77%
OM growth 5Y-4.91%
PM growth 3Y-14.19%
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

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3

2. Health

2.1 Basic Checks

  • With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), LGIH is destroying value.
  • The number of shares outstanding for LGIH has been reduced compared to 1 year ago.
  • The number of shares outstanding for LGIH has been reduced compared to 5 years ago.
  • The debt/assets ratio for LGIH is higher compared to a year ago.
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 2.73. 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.
  • Looking at the Altman-Z score, with a value of 2.73, LGIH is in line with its industry, outperforming 45.00% of the companies in the same industry.
  • LGIH has a Debt/Equity ratio of 0.85. This is a neutral value indicating LGIH is somewhat dependend on debt financing.
  • LGIH has a Debt to Equity ratio of 0.85. This is in the lower half of the industry: LGIH underperforms 66.67% of its industry peers.
Industry RankSector Rank
Debt/Equity 0.85
Debt/FCF N/A
Altman-Z 2.73
ROIC/WACC0.22
WACC9.76%
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 21.56 indicates that LGIH has no problem at all paying its short term obligations.
  • LGIH has a better Current ratio (21.56) than 100.00% of its industry peers.
  • A Quick Ratio of 0.48 indicates that LGIH may have some problems paying its short term obligations.
  • LGIH has a worse Quick ratio (0.48) than 81.67% of its industry peers.
Industry RankSector Rank
Current Ratio 21.56
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

More info and screens

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

3

3. Growth

3.1 Past

  • LGIH shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -41.25%.
  • LGIH shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 3.47% yearly.
  • The Revenue for LGIH has decreased by -20.62% in the past year. This is quite bad
  • The Revenue has been growing slightly by 3.68% on average over the past years.
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-58.91%
EPS Next 2Y-25.37%
EPS Next 3Y-13.79%
EPS Next 5YN/A
Revenue Next Year-22.83%
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

  • Based on the Price/Earnings ratio of 11.77, the valuation of LGIH can be described as reasonable.
  • Based on the Price/Earnings ratio, LGIH is valued a bit cheaper than 68.33% of the companies in the same industry.
  • When comparing the Price/Earnings ratio of LGIH to the average of the S&P500 Index (27.67), we can say LGIH is valued rather cheaply.
  • Based on the Price/Forward Earnings ratio of 12.47, 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.
  • LGIH is valuated cheaply when we compare the Price/Forward Earnings ratio to 27.20, which is the current average of the S&P500 Index.
Industry RankSector Rank
PE 11.77
Fwd PE 12.47
LGIH Price Earnings VS Forward Price EarningsLGIH Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 10 20 30 40 50

4.2 Price Multiples

  • Based on the Enterprise Value to EBITDA ratio, LGIH is valued a bit more expensive than the industry average as 78.33% of the companies are valued more cheaply.
Industry RankSector Rank
P/FCF N/A
EV/EBITDA 27.32
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

  • A cheap valuation may be justified as LGIH's earnings are expected to decrease with -13.79% in the coming years.
PEG (NY)N/A
PEG (5Y)3.4
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

  • LGIH does not give a dividend.
Industry RankSector Rank
Dividend Yield 0%

More info and screens

Find the best dividend stocksShow peers with best dividend

LGI HOMES INC

NASDAQ:LGIH (2/5/2026, 8:00:03 PM)

After market: 57.67 0 (0%)

57.67

-0.78 (-1.33%)

Chartmill FA Rating
GICS IndustryGroupConsumer Durables & Apparel
GICS IndustryHousehold Durables
Earnings (Last)11-04
Earnings (Next)02-17
Inst Owners90.74%
Inst Owner Change-2.32%
Ins Owners12.52%
Ins Owner Change0.5%
Market Cap1.33B
Revenue(TTM)1.79B
Net Income(TTM)106.99M
Analysts73.33
Price Target76.5 (32.65%)
Short Float %13.38%
Short Ratio7.26
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)-7.79%
EPS NQ rev (3m)-18.63%
EPS NY rev (1m)-2.44%
EPS NY rev (3m)-9.75%
Revenue NQ rev (1m)-0.71%
Revenue NQ rev (3m)4.94%
Revenue NY rev (1m)-0.23%
Revenue NY rev (3m)0.74%
Valuation
Industry RankSector Rank
PE 11.77
Fwd PE 12.47
P/S 0.74
P/FCF N/A
P/OCF N/A
P/B 0.64
P/tB 0.64
EV/EBITDA 27.32
EPS(TTM)4.9
EY8.5%
EPS(NY)4.62
Fwd EY8.02%
FCF(TTM)-7.43
FCFYN/A
OCF(TTM)-7.37
OCFYN/A
SpS77.51
BVpS90.12
TBVpS89.6
PEG (NY)N/A
PEG (5Y)3.4
Graham Number99.68
Profitability
Industry RankSector Rank
ROA 2.65%
ROE 5.15%
ROCE 2.77%
ROIC 2.1%
ROICexc 2.13%
ROICexgc 2.23%
OM 5.99%
PM (TTM) 5.98%
GM 22.19%
FCFM N/A
ROA(3y)7.17%
ROA(5y)11.5%
ROE(3y)13.41%
ROE(5y)19.89%
ROIC(3y)6.7%
ROIC(5y)11.06%
ROICexc(3y)6.79%
ROICexc(5y)11.27%
ROICexgc(3y)7.07%
ROICexgc(5y)11.71%
ROCE(3y)8.84%
ROCE(5y)14.59%
ROICexgc growth 3Y-37.83%
ROICexgc growth 5Y-16.08%
ROICexc growth 3Y-38.06%
ROICexc growth 5Y-16.7%
OM growth 3Y-18.77%
OM growth 5Y-4.91%
PM growth 3Y-14.19%
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 15.89
Cap/Depr 39.18%
Cap/Sales 0.08%
Interest Coverage 0.97
Cash Conversion N/A
Profit Quality N/A
Current Ratio 21.56
Quick Ratio 0.48
Altman-Z 2.73
F-Score3
WACC9.76%
ROIC/WACC0.22
Cap/Depr(3y)65.82%
Cap/Depr(5y)144.97%
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-58.91%
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-22.83%
Revenue Next 2Y-4.33%
Revenue Next 3Y6.85%
Revenue Next 5YN/A
EBIT growth 1Y-52.6%
EBIT growth 3Y-27.12%
EBIT growth 5Y-1.41%
EBIT Next Year-42.48%
EBIT Next 3Y-5.38%
EBIT Next 5YN/A
FCF growth 1Y-397.16%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-405.95%
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 -58.91% 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%.