LGI HOMES INC (LGIH) Stock Fundamental Analysis

NASDAQ:LGIH • US50187T1060

50.89 USD
-1.21 (-2.32%)
At close: Feb 25, 2026
50.89 USD
0 (0%)
After Hours: 2/25/2026, 8:26:02 PM
Overview Stock Chart Technical Analysis Fundamental Analysis Analyst Ratings Earnings Estimates Financials Ownership News
Fundamental Rating

3

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 has a bad profitability rating. Also its financial health evaluation is rather negative. 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 4 of the past 5 years.
  • LGIH had negative operating cash flow in 4 of the past 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

  • With a Return On Assets value of 2.63%, LGIH perfoms like the industry average, outperforming 45.00% of the companies in the same industry.
  • The Return On Equity of LGIH (5.11%) is comparable to the rest of the industry.
  • With a Return On Invested Capital value of 2.11%, LGIH is not doing good in the industry: 70.00% of the companies in the same industry are doing better.
  • LGIH had an Average Return On Invested Capital over the past 3 years of 6.71%. This is below the industry average of 9.17%.
  • The 3 year average ROIC (6.71%) for LGIH is well above the current ROIC(2.11%). The reason for the recent decline needs to be investigated.
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.
  • The Operating Margin of LGIH (6.00%) is comparable to the rest of the industry.
  • In the last couple of years the Operating Margin of LGIH has declined.
  • LGIH has a worse Gross Margin (22.19%) than 70.00% of its industry peers.
  • 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

  • With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), LGIH is destroying value.
  • There is no outstanding debt for LGIH. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
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 2.69. 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 2.69, LGIH is doing worse than 60.00% 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 68.33% of its industry peers.
Industry RankSector Rank
Debt/Equity 0.85
Debt/FCF N/A
Altman-Z 2.69
ROIC/WACC0.22
WACC9.68%
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

  • LGIH has a Current Ratio of 21.61. This indicates that LGIH is financially healthy and has no problem in meeting its short term obligations.
  • Looking at the Current ratio, with a value of 21.61, LGIH belongs to the top of the industry, outperforming 100.00% of the companies in the same industry.
  • 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.
  • LGIH has a worse Quick ratio (0.48) 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

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 -55.18%.
  • Measured over the past years, LGIH shows a very negative growth in Earnings Per Share. The EPS has been decreasing by -20.44% on average per year.
EPS 1Y (TTM)-55.18%
EPS 3Y-35.32%
EPS 5Y-20.44%
EPS Q2Q%-54.88%
Revenue 1Y (TTM)N/A
Revenue growth 3YN/A
Revenue growth 5YN/A
Sales Q2Q%-14.97%

3.2 Future

  • LGIH is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 19.56% yearly.
  • LGIH is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 11.61% yearly.
EPS Next Y24.28%
EPS Next 2Y19.56%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year15.64%
Revenue Next 2Y11.61%
Revenue Next 3YN/A
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.
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

  • LGIH is valuated correctly with a Price/Earnings ratio of 13.68.
  • The rest of the industry has a similar Price/Earnings ratio as LGIH.
  • Compared to an average S&P500 Price/Earnings ratio of 27.05, LGIH is valued a bit cheaper.
  • Based on the Price/Forward Earnings ratio of 11.01, the valuation of LGIH can be described as reasonable.
  • 76.67% of the companies in the same industry are more expensive than LGIH, based on the Price/Forward Earnings ratio.
  • The average S&P500 Price/Forward Earnings ratio is at 28.03. LGIH is valued rather cheaply when compared to this.
Industry RankSector Rank
PE 13.68
Fwd PE 11.01
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 the industry average as 78.33% of the companies are valued more cheaply.
Industry RankSector Rank
P/FCF N/A
EV/EBITDA 26.14
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

  • The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
  • LGIH's earnings are expected to grow with 19.56% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.56
PEG (5Y)N/A
EPS Next 2Y19.56%
EPS Next 3YN/A

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 (2/25/2026, 8:26:02 PM)

After market: 50.89 0 (0%)

50.89

-1.21 (-2.32%)

Chartmill FA Rating
GICS IndustryGroupConsumer Durables & Apparel
GICS IndustryHousehold Durables
Earnings (Last)02-17
Earnings (Next)04-27
Inst Owners90.74%
Inst Owner Change-1.76%
Ins Owners12.52%
Ins Owner Change0.5%
Market Cap1.17B
Revenue(TTM)N/A
Net Income(TTM)106.23M
Analysts74.55
Price Target86.02 (69.03%)
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)0%
PT rev (3m)0.4%
EPS NQ rev (1m)-1.41%
EPS NQ rev (3m)-15.39%
EPS NY rev (1m)-0.37%
EPS NY rev (3m)-8.65%
Revenue NQ rev (1m)-2.43%
Revenue NQ rev (3m)-7.06%
Revenue NY rev (1m)-0.68%
Revenue NY rev (3m)0.92%
Valuation
Industry RankSector Rank
PE 13.68
Fwd PE 11.01
P/S 0.66
P/FCF N/A
P/OCF N/A
P/B 0.56
P/tB 0.57
EV/EBITDA 26.14
EPS(TTM)3.72
EY7.31%
EPS(NY)4.62
Fwd EY9.08%
FCF(TTM)-7.42
FCFYN/A
OCF(TTM)-7.35
OCFYN/A
SpS77.51
BVpS90.09
TBVpS89.57
PEG (NY)0.56
PEG (5Y)N/A
Graham Number86.84
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 2.69
F-Score3
WACC9.68%
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)-55.18%
EPS 3Y-35.32%
EPS 5Y-20.44%
EPS Q2Q%-54.88%
EPS Next Y24.28%
EPS Next 2Y19.56%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)N/A
Revenue growth 3YN/A
Revenue growth 5YN/A
Sales Q2Q%-14.97%
Revenue Next Year15.64%
Revenue Next 2Y11.61%
Revenue Next 3YN/A
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-13.83%
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 grow by 24.28% 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%.