53.82 USD
+0.21 (+0.39%)
53.82 USD
0 (0%)
Taking everything into account, LGIH scores 3 out of 10 in our fundamental rating. 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 is valued correctly, but it does not seem to be growing.
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.
- Each year in the past 5 years LGIH has been profitable.
- The reported operating cash flow has been mixed in the past 5 years: LGIH reported negative operating cash flow in multiple years.
1.2 Ratios
- Looking at the Return On Assets, with a value of 2.65%, LGIH is in line with its industry, outperforming 43.33% of the companies in the same industry.
- LGIH has a Return On Equity of 5.15%. This is comparable to the rest of the industry: LGIH outperforms 43.33% of its industry peers.
- Looking at the Return On Invested Capital, with a value of 2.10%, LGIH is doing worse than 68.33% of the companies in the same industry.
- The Average Return On Invested Capital over the past 3 years for LGIH is below the industry average of 9.71%.
- 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 Rank | Sector 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%
1.3 Margins
- LGIH has a better Profit Margin (5.98%) than 63.33% of its industry peers.
- LGIH's Profit Margin has declined in the last couple of years.
- LGIH has a Operating Margin (5.99%) which is comparable to the rest of the industry.
- LGIH's Operating Margin has declined in the last couple of years.
- With a Gross Margin value of 22.19%, LGIH is not doing good in the industry: 70.00% of the companies in the same industry are doing better.
- In the last couple of years the Gross Margin of LGIH has remained more or less at the same level.
| Industry Rank | Sector 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%
2. Health
2.1 Basic Checks
- With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), LGIH is destroying value.
- Compared to 1 year ago, LGIH has less shares outstanding
- 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.
2.2 Solvency
- An Altman-Z score of 2.71 indicates that LGIH is not a great score, but indicates only limited risk for bankruptcy at the moment.
- With a Altman-Z score value of 2.71, LGIH is not doing good in the industry: 61.67% of the companies in the same industry are doing better.
- LGIH has a Debt/Equity ratio of 0.85. This is a neutral value indicating LGIH is somewhat dependend on debt financing.
- LGIH's Debt to Equity ratio of 0.85 is on the low side compared to the rest of the industry. LGIH is outperformed by 66.67% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.85 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 2.71 |
ROIC/WACC0.22
WACC9.77%
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 Current ratio of 21.56. This is amongst the best in the industry. LGIH outperforms 100.00% of its industry peers.
- A Quick Ratio of 0.48 indicates that LGIH may have some problems paying its short term obligations.
- With a Quick ratio value of 0.48, LGIH is not doing good in the industry: 78.33% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 21.56 | ||
| Quick Ratio | 0.48 |
3. Growth
3.1 Past
- The earnings per share for LGIH have decreased strongly by -41.25% in the last year.
- 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
- 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
- The Earnings Per Share is expected to decrease by -4.06% on average over the next years.
- Based on estimates for the next years, LGIH will show a small growth in Revenue. The Revenue will grow by 6.85% on average per year.
EPS Next Y-57.88%
EPS Next 2Y-26.23%
EPS Next 3Y-4.06%
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
- When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
- The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
- The Price/Earnings ratio is 10.98, which indicates a very decent valuation of LGIH.
- LGIH's Price/Earnings ratio is a bit cheaper when compared to the industry. LGIH is cheaper than 66.67% of the companies in the same industry.
- The average S&P500 Price/Earnings ratio is at 27.32. LGIH is valued rather cheaply when compared to this.
- Based on the Price/Forward Earnings ratio of 11.91, the valuation of LGIH can be described as reasonable.
- LGIH's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. LGIH is cheaper than 70.00% of the companies in the same industry.
- Compared to an average S&P500 Price/Forward Earnings ratio of 24.30, LGIH is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.98 | ||
| Fwd PE | 11.91 |
4.2 Price Multiples
- 76.67% of the companies in the same industry are cheaper than LGIH, based on the Enterprise Value to EBITDA ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 26.52 |
4.3 Compensation for Growth
- LGIH's earnings are expected to decrease with -4.06% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)3.17
EPS Next 2Y-26.23%
EPS Next 3Y-4.06%
5. Dividend
5.1 Amount
- No dividends for LGIH!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
53.82
+0.21 (+0.39%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Durables & Apparel
GICS IndustryHousehold Durables
Earnings (Last)11-04 2025-11-04/bmo
Earnings (Next)02-17 2026-02-17/bmo
Inst Owners90.74%
Inst Owner Change0.35%
Ins Owners12.52%
Ins Owner Change0.5%
Market Cap1.24B
Revenue(TTM)1.79B
Net Income(TTM)106.99M
Analysts73.33
Price Target76.5 (42.14%)
Short Float %14.06%
Short Ratio7.25
Dividend
| Industry Rank | Sector 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)-7.69%
EPS NQ rev (1m)-7.6%
EPS NQ rev (3m)-22.87%
EPS NY rev (1m)-1.44%
EPS NY rev (3m)-11.55%
Revenue NQ rev (1m)-0.71%
Revenue NQ rev (3m)2.31%
Revenue NY rev (1m)-1.12%
Revenue NY rev (3m)-2.12%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.98 | ||
| Fwd PE | 11.91 | ||
| P/S | 0.69 | ||
| P/FCF | N/A | ||
| P/OCF | N/A | ||
| P/B | 0.6 | ||
| P/tB | 0.6 | ||
| EV/EBITDA | 26.52 |
EPS(TTM)4.9
EY9.1%
EPS(NY)4.52
Fwd EY8.39%
FCF(TTM)-7.43
FCFYN/A
OCF(TTM)-7.37
OCFYN/A
SpS77.51
BVpS90.12
TBVpS89.6
PEG (NY)N/A
PEG (5Y)3.17
Graham Number99.68
Profitability
| Industry Rank | Sector 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 Rank | Sector 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 | 2.71 |
F-Score3
WACC9.77%
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-57.88%
EPS Next 2Y-26.23%
EPS Next 3Y-4.06%
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-42.2%
EBIT Next 3Y-5.22%
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 -57.88% 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%.