LIQUIDITY SERVICES INC (LQDT) Stock Fundamental Analysis
NASDAQ:LQDT - Nasdaq - US53635B1070 - Common Stock - Currency: USD
Overall LQDT gets a fundamental rating of 5 out of 10. We evaluated LQDT against 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. While showing a medium growth rate, LQDT is valued expensive at the moment.
1. Profitability
1.1 Basic Checks
LQDT had positive earnings in the past year.
LQDT had a positive operating cash flow in the past year.
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's Return On Assets of 7.17% is fine compared to the rest of the industry. LQDT outperforms 75.61% of its industry peers.
LQDT's Return On Equity of 12.63% is fine compared to the rest of the industry. LQDT outperforms 71.95% of its industry peers.
LQDT has a Return On Invested Capital of 11.27%. This is in the better half of the industry: LQDT outperforms 79.27% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for LQDT is in line with the industry average of 10.12%.
The last Return On Invested Capital (11.27%) for LQDT is above the 3 year average (10.51%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.17% | ||
| ROE | 12.63% | ||
| ROIC | 11.27% |
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
Looking at the Profit Margin, with a value of 5.77%, LQDT is in the better half of the industry, outperforming 70.73% of the companies in the same industry.
LQDT's Profit Margin has declined in the last couple of years.
The Operating Margin of LQDT (7.38%) is comparable to the rest of the industry.
In the last couple of years the Operating Margin of LQDT has declined.
LQDT has a better Gross Margin (47.19%) than 82.93% 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 | 7.38% | ||
| PM (TTM) | 5.77% | ||
| GM | 47.19% |
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
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so LQDT is still creating some value.
LQDT has about the same amout of shares outstanding than it did 1 year ago.
Compared to 5 years ago, LQDT has less shares outstanding
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.
2.2 Solvency
An Altman-Z score of 6.40 indicates that LQDT is not in any danger for bankruptcy at the moment.
LQDT has a Altman-Z score of 6.40. This is amongst the best in the industry. LQDT outperforms 89.02% of its industry peers.
LQDT has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | 6.4 |
ROIC/WACC1.24
WACC9.06%
2.3 Liquidity
LQDT has a Current Ratio of 1.39. 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 Current ratio (1.39) which is comparable to the rest of the industry.
LQDT has a Quick Ratio of 1.29. This is a normal value and indicates that LQDT is financially healthy and should not expect problems in meeting its short term obligations.
With a Quick ratio value of 1.29, LQDT perfoms like the industry average, outperforming 50.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.39 | ||
| Quick Ratio | 1.29 |
3. Growth
3.1 Past
LQDT shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 32.95%, which is quite impressive.
Measured over the past 5 years, LQDT shows a small growth in Earnings Per Share. The EPS has been growing by 3.46% on average per year.
Looking at the last year, LQDT shows a very strong growth in Revenue. The Revenue has grown by 32.13%.
The Revenue has been growing by 9.91% on average over the past years. This is quite good.
EPS 1Y (TTM)32.95%
EPS 3Y3.46%
EPS 5YN/A
EPS Q2Q%100%
Revenue 1Y (TTM)32.13%
Revenue growth 3Y12.16%
Revenue growth 5Y9.91%
Sales Q2Q%71.51%
3.2 Future
No EPS estimates are available, so we could not analyze the future EPS growth and evolution.
No Revenue estimates are available, so we could not analyze the future revenue growth and evolution.
EPS Next Y21.81%
EPS Next 2YN/A
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year33.62%
Revenue Next 2YN/A
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
No EPS estimates are available, so we could not analyze the future EPS growth and evolution.
No Revenue estimates are available, so we could not analyze the future revenue growth and evolution.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 29.32, the valuation of LQDT can be described as expensive.
The rest of the industry has a similar Price/Earnings ratio as LQDT.
The average S&P500 Price/Earnings ratio is at 29.63. LQDT is around the same levels.
LQDT is valuated quite expensively with a Price/Forward Earnings ratio of 27.35.
The rest of the industry has a similar Price/Forward Earnings ratio as LQDT.
LQDT is valuated rather expensively when we compare the Price/Forward Earnings ratio to 22.68, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 29.32 | ||
| Fwd PE | 27.35 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, LQDT is valued a bit more expensive than 63.41% of the companies in the same industry.
LQDT's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. LQDT is cheaper than 68.29% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 18.37 | ||
| EV/EBITDA | 22.53 |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
LQDT has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)1.34
PEG (5Y)N/A
EPS Next 2YN/A
EPS Next 3YN/A
5. Dividend
5.1 Amount
LQDT does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
34.31
-1.23 (-3.46%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCommercial & Professional Services
GICS IndustryCommercial Services & Supplies
Earnings (Last)
Earnings (Next)
Inst Owners73.41%
Inst Owner Change2.52%
Ins Owners26.2%
Ins Owner Change-32.17%
Market Cap1.06B
Analysts85
Price Target41.82 (21.89%)
Short Float %4.54%
Short Ratio2.79
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)18.41%
Min EPS beat(2)12.04%
Max EPS beat(2)24.78%
EPS beat(4)4
Avg EPS beat(4)19%
Min EPS beat(4)12.04%
Max EPS beat(4)26.05%
EPS beat(8)7
Avg EPS beat(8)14.28%
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)2
Avg Revenue beat(2)13.25%
Min Revenue beat(2)12.66%
Max Revenue beat(2)13.84%
Revenue beat(4)4
Avg Revenue beat(4)10.76%
Min Revenue beat(4)3.33%
Max Revenue beat(4)13.84%
Revenue beat(8)6
Avg Revenue beat(8)4.79%
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)0%
PT rev (3m)30.91%
EPS NQ rev (1m)0%
EPS NQ rev (3m)N/A
EPS NY rev (1m)2.5%
EPS NY rev (3m)2.5%
Revenue NQ rev (1m)30.01%
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0%
Revenue NY rev (3m)24.95%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 29.32 | ||
| Fwd PE | 27.35 | ||
| P/S | 2.57 | ||
| P/FCF | 18.37 | ||
| P/OCF | 15.91 | ||
| P/B | 5.63 | ||
| P/tB | 13.54 | ||
| EV/EBITDA | 22.53 |
EPS(TTM)1.17
EY3.41%
EPS(NY)1.25
Fwd EY3.66%
FCF(TTM)1.87
FCFY5.44%
OCF(TTM)2.16
OCFY6.29%
SpS13.35
BVpS6.09
TBVpS2.53
PEG (NY)1.34
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.17% | ||
| ROE | 12.63% | ||
| ROCE | 15.48% | ||
| ROIC | 11.27% | ||
| ROICexc | 38.04% | ||
| ROICexgc | N/A | ||
| OM | 7.38% | ||
| PM (TTM) | 5.77% | ||
| GM | 47.19% | ||
| FCFM | 13.99% |
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-Score8
Asset Turnover1.24
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 76.66% | ||
| Cap/Sales | 2.17% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 158.18% | ||
| Profit Quality | 242.57% | ||
| Current Ratio | 1.39 | ||
| Quick Ratio | 1.29 | ||
| Altman-Z | 6.4 |
F-Score8
WACC9.06%
ROIC/WACC1.24
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)32.95%
EPS 3Y3.46%
EPS 5YN/A
EPS Q2Q%100%
EPS Next Y21.81%
EPS Next 2YN/A
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)32.13%
Revenue growth 3Y12.16%
Revenue growth 5Y9.91%
Sales Q2Q%71.51%
Revenue Next Year33.62%
Revenue Next 2YN/A
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y29.94%
EBIT growth 3Y-3.88%
EBIT growth 5YN/A
EBIT Next Year87.84%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y132.4%
FCF growth 3Y0.74%
FCF growth 5YN/A
OCF growth 1Y107.29%
OCF growth 3Y2.39%
OCF growth 5YN/A