LI-CYCLE HOLDINGS CORP (LICY)
CA50202P2044 - Common Stock
We assign a fundamental rating of 1 out of 10 to LICY. LICY was compared to 84 industry peers in the Commercial Services & Supplies industry. LICY has a bad profitability rating. Also its financial health evaluation is rather negative. LICY is quite expensive at the moment. It does show a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year LICY has reported negative net income.
LICY had negative earnings in each of the past 5 years.
LICY had a negative operating cash flow in each of the past 5 years.
1.2 Ratios
LICY's Return On Assets of -15.34% is on the low side compared to the rest of the industry. LICY is outperformed by 86.90% of its industry peers.
LICY's Return On Equity of -58.55% is on the low side compared to the rest of the industry. LICY is outperformed by 80.95% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -15.34% | ||
| ROE | -58.55% | ||
| ROIC | N/A |
ROA(3y)-18.57%
ROA(5y)N/A
ROE(3y)-33.25%
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
The Profit Margin and Operating Margin and Gross Margin are not available for LICY so they could not be analyzed.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | N/A |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
LICY does not have a ROIC to compare to the WACC, probably because it is not profitable.
Compared to 1 year ago, LICY has more shares outstanding
The debt/assets ratio for LICY has been reduced compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of -1.20, we must say that LICY is in the distress zone and has some risk of bankruptcy.
Looking at the Altman-Z score, with a value of -1.20, LICY is doing worse than 86.90% of the companies in the same industry.
LICY has a Debt/Equity ratio of 1.81. This is a high value indicating a heavy dependency on external financing.
With a Debt to Equity ratio value of 1.81, LICY is not doing good in the industry: 80.95% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.81 | ||
| Debt/FCF | N/A | ||
| Altman-Z | -1.2 |
ROIC/WACCN/A
WACC5.8%
2.3 Liquidity
LICY has a Current Ratio of 0.75. This is a bad value and indicates that LICY is not financially healthy enough and could expect problems in meeting its short term obligations.
Looking at the Current ratio, with a value of 0.75, LICY is doing worse than 91.67% of the companies in the same industry.
A Quick Ratio of 0.68 indicates that LICY may have some problems paying its short term obligations.
LICY's Quick ratio of 0.68 is on the low side compared to the rest of the industry. LICY is outperformed by 89.29% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.75 | ||
| Quick Ratio | 0.68 |
3. Growth
3.1 Past
LICY shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 25.64%, which is quite impressive.
LICY shows a strong growth in Revenue. In the last year, the Revenue has grown by 36.57%.
Measured over the past years, LICY shows a very strong growth in Revenue. The Revenue has been growing by 185.06% on average per year.
EPS 1Y (TTM)25.64%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%241.45%
Revenue 1Y (TTM)36.57%
Revenue growth 3Y185.06%
Revenue growth 5YN/A
Sales Q2Q%-6.38%
3.2 Future
Based on estimates for the next years, LICY will show a very negative growth in Earnings Per Share. The EPS will decrease by -44.14% on average per year.
LICY is expected to show a strong growth in Revenue. In the coming years, the Revenue will grow by 107.75% yearly.
EPS Next Y-271.44%
EPS Next 2Y-76.95%
EPS Next 3Y-44.14%
EPS Next 5YN/A
Revenue Next Year83.33%
Revenue Next 2Y47.18%
Revenue Next 3Y38.43%
Revenue Next 5Y107.75%
3.3 Evolution
The estimated forward Revenue growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
4. Valuation
4.1 Price/Earnings Ratio
LICY reported negative earnings for the last year, which makes the Price/Earnings Ratio negative.
Also next year LICY is expected to report negative earnings again, which makes the also the Forward Price/Earnings Ratio negative.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | N/A |
4.2 Price Multiples
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
A cheap valuation may be justified as LICY's earnings are expected to decrease with -44.14% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-76.95%
EPS Next 3Y-44.14%
5. Dividend
5.1 Amount
LICY does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
LI-CYCLE HOLDINGS CORP
NYSE:LICY (11/12/2024, 10:14:09 AM)
2.6686
-0.2 (-7.02%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCommercial & Professional Services
GICS IndustryCommercial Services & Supplies
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap61.96M
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
Max EPS beat(2)
EPS beat(4)
Avg EPS beat(4)
Min EPS beat(4)
Max EPS beat(4)
EPS beat(8)
Avg EPS beat(8)
EPS beat(12)
Avg EPS beat(12)
EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
Avg Revenue beat(2)
Min Revenue beat(2)
Max Revenue beat(2)
Revenue beat(4)
Avg Revenue beat(4)
Min Revenue beat(4)
Max Revenue beat(4)
Revenue beat(8)
Avg Revenue beat(8)
Revenue beat(12)
Avg Revenue beat(12)
Revenue beat(16)
Avg Revenue beat(16)
PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | N/A | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -15.34% | ||
| ROE | -58.55% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | N/A | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.02
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.81 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 0.75 | ||
| Quick Ratio | 0.68 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
High Growth Momentum
Growth
EPS 1Y (TTM)25.64%
EPS 3YN/A
EPS 5Y
EPS Q2Q%
EPS Next Y-271.44%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)36.57%
Revenue growth 3Y185.06%
Revenue growth 5Y
Sales Q2Q%
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y