LIQUIDITY SERVICES INC (LQDT) Stock Fundamental Analysis
USA - NASDAQ:LQDT - US53635B1070 - Common Stock
27.61 USD
+0.44 (+1.62%)
27.61 USD
0 (0%)
We assign a fundamental rating of 6 out of 10 to LQDT. LQDT was compared to 84 industry peers in the Commercial Services & Supplies industry. LQDT is in great health and has no worries on liquidiy or solvency at all, but the profibility rating is only average. LQDT is not priced too expensively while it is growing strongly. Keep and eye on this one! These ratings would make LQDT suitable for growth investing!
1. Profitability
1.1 Basic Checks
In the past year LQDT was profitable.
In the past year LQDT had a positive cash flow from operations.
LQDT had positive earnings in 4 of the past 5 years.
Each year in the past 5 years LQDT had a positive operating cash flow.
1.2 Ratios
LQDT has a Return On Assets of 7.15%. This is in the better half of the industry: LQDT outperforms 78.57% of its industry peers.
With a decent Return On Equity value of 12.77%, LQDT is doing good in the industry, outperforming 73.81% of the companies in the same industry.
LQDT has a better Return On Invested Capital (10.95%) than 80.95% of its industry peers.
The Average Return On Invested Capital over the past 3 years for LQDT is in line with the industry average of 10.60%.
The last Return On Invested Capital (10.95%) for LQDT is above the 3 year average (10.51%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.15% | ||
| ROE | 12.77% | ||
| ROIC | 10.95% |
ROA(3y)9%
ROA(5y)9%
ROE(3y)16.67%
ROE(5y)16.87%
ROIC(3y)10.51%
ROIC(5y)N/A
1.3 Margins
With a decent Profit Margin value of 5.72%, LQDT is doing good in the industry, outperforming 69.05% of the companies in the same industry.
LQDT's Profit Margin has declined in the last couple of years.
LQDT's Operating Margin of 7.06% is in line compared to the rest of the industry. LQDT outperforms 55.95% of its industry peers.
In the last couple of years the Operating Margin of LQDT has declined.
The Gross Margin of LQDT (43.20%) is better than 76.19% of its industry peers.
In the last couple of years the Gross Margin of LQDT has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 7.06% | ||
| PM (TTM) | 5.72% | ||
| GM | 43.2% |
OM growth 3Y-14.3%
OM growth 5YN/A
PM growth 3Y-34.71%
PM growth 5YN/A
GM growth 3Y-4.34%
GM growth 5Y-1.44%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), LQDT is creating some value.
Compared to 1 year ago, LQDT has about the same amount of shares outstanding.
LQDT has less shares outstanding than it did 5 years ago.
LQDT has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
2.2 Solvency
An Altman-Z score of 4.98 indicates that LQDT is not in any danger for bankruptcy at the moment.
With a decent Altman-Z score value of 4.98, LQDT is doing good in the industry, outperforming 78.57% of the companies in the same industry.
There is no outstanding debt for LQDT. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | 4.98 |
ROIC/WACC1.26
WACC8.7%
2.3 Liquidity
A Current Ratio of 1.43 indicates that LQDT should not have too much problems paying its short term obligations.
Looking at the Current ratio, with a value of 1.43, LQDT is in line with its industry, outperforming 44.05% of the companies in the same industry.
LQDT has a Quick Ratio of 1.32. This is a normal value and indicates that LQDT is financially healthy and should not expect problems in meeting its short term obligations.
LQDT has a Quick ratio (1.32) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.43 | ||
| Quick Ratio | 1.32 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 28.87% over the past year.
LQDT shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 3.46% yearly.
Looking at the last year, LQDT shows a very strong growth in Revenue. The Revenue has grown by 38.40%.
LQDT shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 9.91% yearly.
EPS 1Y (TTM)28.87%
EPS 3Y3.46%
EPS 5YN/A
EPS Q2Q%13.33%
Revenue 1Y (TTM)38.4%
Revenue growth 3Y12.16%
Revenue growth 5Y9.91%
Sales Q2Q%28.05%
3.2 Future
Based on estimates for the next years, LQDT will show a quite strong growth in Earnings Per Share. The EPS will grow by 17.75% on average per year.
The Revenue is expected to grow by 17.29% on average over the next years. This is quite good.
EPS Next Y29.73%
EPS Next 2Y17.75%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year34.12%
Revenue Next 2Y17.29%
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better 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.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 22.09, which indicates a rather expensive current valuation of LQDT.
Compared to the rest of the industry, the Price/Earnings ratio of LQDT indicates a somewhat cheap valuation: LQDT is cheaper than 67.86% of the companies listed in the same industry.
LQDT's Price/Earnings ratio indicates a similar valuation than the S&P500 average which is at 27.27.
A Price/Forward Earnings ratio of 19.33 indicates a rather expensive valuation of LQDT.
Based on the Price/Forward Earnings ratio, LQDT is valued a bit cheaper than the industry average as 69.05% of the companies are valued more expensively.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.77, LQDT is valued at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22.09 | ||
| Fwd PE | 19.33 |
4.2 Price Multiples
LQDT's Enterprise Value to EBITDA ratio is in line with the industry average.
75.00% of the companies in the same industry are more expensive than LQDT, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 20.46 | ||
| EV/EBITDA | 15.44 |
4.3 Compensation for Growth
LQDT's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
LQDT has a very decent profitability rating, which may justify a higher PE ratio.
A more expensive valuation may be justified as LQDT's earnings are expected to grow with 17.75% in the coming years.
PEG (NY)0.74
PEG (5Y)N/A
EPS Next 2Y17.75%
EPS Next 3YN/A
5. Dividend
5.1 Amount
No dividends for LQDT!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
27.61
+0.44 (+1.62%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCommercial & Professional Services
GICS IndustryCommercial Services & Supplies
Earnings (Last)
Earnings (Next)
Inst Owners83.16%
Inst Owner Change0.4%
Ins Owners25.41%
Ins Owner Change-0.88%
Market Cap862.54M
Analysts85
Price Target41.82 (51.47%)
Short Float %5.3%
Short Ratio4.14
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)6.21%
Min EPS beat(2)1.31%
Max EPS beat(2)11.11%
EPS beat(4)4
Avg EPS beat(4)12.31%
Min EPS beat(4)1.31%
Max EPS beat(4)24.78%
EPS beat(8)7
Avg EPS beat(8)10.77%
EPS beat(12)10
Avg EPS beat(12)10.99%
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)0
Avg Revenue beat(2)-4.19%
Min Revenue beat(2)-5.99%
Max Revenue beat(2)-2.39%
Revenue beat(4)2
Avg Revenue beat(4)4.53%
Min Revenue beat(4)-5.99%
Max Revenue beat(4)13.84%
Revenue beat(8)4
Avg Revenue beat(8)2.53%
Revenue beat(12)8
Avg Revenue beat(12)3.06%
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)0%
PT rev (3m)0%
EPS NQ rev (1m)0%
EPS NQ rev (3m)0%
EPS NY rev (1m)0%
EPS NY rev (3m)6.5%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-9.64%
Revenue NY rev (1m)-2.55%
Revenue NY rev (3m)-2.55%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22.09 | ||
| Fwd PE | 19.33 | ||
| P/S | 1.85 | ||
| P/FCF | 20.46 | ||
| P/OCF | 16.99 | ||
| P/B | 4.13 | ||
| P/tB | 9.42 | ||
| EV/EBITDA | 15.44 |
EPS(TTM)1.25
EY4.53%
EPS(NY)1.43
Fwd EY5.17%
FCF(TTM)1.35
FCFY4.89%
OCF(TTM)1.63
OCFY5.89%
SpS14.9
BVpS6.68
TBVpS2.93
PEG (NY)0.74
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.15% | ||
| ROE | 12.77% | ||
| ROCE | 15.04% | ||
| ROIC | 10.95% | ||
| ROICexc | 46.39% | ||
| ROICexgc | N/A | ||
| OM | 7.06% | ||
| PM (TTM) | 5.72% | ||
| GM | 43.2% | ||
| FCFM | 9.05% |
ROA(3y)9%
ROA(5y)9%
ROE(3y)16.67%
ROE(5y)16.87%
ROIC(3y)10.51%
ROIC(5y)N/A
ROICexc(3y)38.45%
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)14.43%
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3Y-0.55%
ROICexc growth 5YN/A
OM growth 3Y-14.3%
OM growth 5YN/A
PM growth 3Y-34.71%
PM growth 5YN/A
GM growth 3Y-4.34%
GM growth 5Y-1.44%
F-Score7
Asset Turnover1.25
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 81.65% | ||
| Cap/Sales | 1.85% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 116.93% | ||
| Profit Quality | 158.18% | ||
| Current Ratio | 1.43 | ||
| Quick Ratio | 1.32 | ||
| Altman-Z | 4.98 |
F-Score7
WACC8.7%
ROIC/WACC1.26
Cap/Depr(3y)66.68%
Cap/Depr(5y)69.16%
Cap/Sales(3y)2.35%
Cap/Sales(5y)2.25%
Profit Quality(3y)198.75%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)28.87%
EPS 3Y3.46%
EPS 5YN/A
EPS Q2Q%13.33%
EPS Next Y29.73%
EPS Next 2Y17.75%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)38.4%
Revenue growth 3Y12.16%
Revenue growth 5Y9.91%
Sales Q2Q%28.05%
Revenue Next Year34.12%
Revenue Next 2Y17.29%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y27.66%
EBIT growth 3Y-3.88%
EBIT growth 5YN/A
EBIT Next Year82.65%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y4.51%
FCF growth 3Y0.74%
FCF growth 5YN/A
OCF growth 1Y10.26%
OCF growth 3Y2.39%
OCF growth 5YN/A