85.05 USD
+1.57 (+1.88%)
Taking everything into account, LSCC scores 6 out of 10 in our fundamental rating. LSCC was compared to 113 industry peers in the Semiconductors & Semiconductor Equipment industry. LSCC gets an excellent profitability rating and is at the same time showing great financial health properties. While showing a medium growth rate, LSCC is valued expensive at the moment. This makes LSCC very considerable for quality investing!
1. Profitability
1.1 Basic Checks
- LSCC had positive earnings in the past year.
- In the past year LSCC had a positive cash flow from operations.
- In the past 5 years LSCC has always been profitable.
- In the past 5 years LSCC always reported a positive cash flow from operatings.
1.2 Ratios
- LSCC has a Return On Assets of 3.23%. This is comparable to the rest of the industry: LSCC outperforms 58.41% of its industry peers.
- The Return On Equity of LSCC (3.86%) is comparable to the rest of the industry.
- LSCC has a Return On Invested Capital of 1.70%. This is comparable to the rest of the industry: LSCC outperforms 53.98% of its industry peers.
- LSCC had an Average Return On Invested Capital over the past 3 years of 17.21%. This is significantly above the industry average of 10.75%.
- The 3 year average ROIC (17.21%) for LSCC is well above the current ROIC(1.70%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.23% | ||
| ROE | 3.86% | ||
| ROIC | 1.7% |
ROA(3y)20.15%
ROA(5y)16.12%
ROE(3y)27.58%
ROE(5y)23.68%
ROIC(3y)17.21%
ROIC(5y)14.43%
1.3 Margins
- LSCC has a Profit Margin (5.50%) which is comparable to the rest of the industry.
- In the last couple of years the Profit Margin of LSCC has grown nicely.
- LSCC has a Operating Margin of 3.22%. This is comparable to the rest of the industry: LSCC outperforms 52.21% of its industry peers.
- LSCC's Operating Margin has declined in the last couple of years.
- Looking at the Gross Margin, with a value of 66.43%, LSCC belongs to the top of the industry, outperforming 89.38% of the companies in the same industry.
- LSCC's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 3.22% | ||
| PM (TTM) | 5.5% | ||
| GM | 66.43% |
OM growth 3Y-15.82%
OM growth 5Y-5.45%
PM growth 3Y-13.61%
PM growth 5Y2.2%
GM growth 3Y2.29%
GM growth 5Y2.52%
2. Health
2.1 Basic Checks
- The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so LSCC is still creating some value.
- The number of shares outstanding for LSCC has been increased compared to 1 year ago.
- Compared to 5 years ago, LSCC has more shares outstanding
- There is no outstanding debt for LSCC. 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 51.01 indicates that LSCC is not in any danger for bankruptcy at the moment.
- LSCC's Altman-Z score of 51.01 is amongst the best of the industry. LSCC outperforms 95.58% of its industry peers.
- There is no outstanding debt for LSCC. 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 | 51.01 |
ROIC/WACC0.16
WACC10.93%
2.3 Liquidity
- LSCC has a Current Ratio of 3.24. This indicates that LSCC is financially healthy and has no problem in meeting its short term obligations.
- LSCC has a Current ratio (3.24) which is comparable to the rest of the industry.
- LSCC has a Quick Ratio of 2.38. This indicates that LSCC is financially healthy and has no problem in meeting its short term obligations.
- LSCC has a Quick ratio (2.38) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.24 | ||
| Quick Ratio | 2.38 |
3. Growth
3.1 Past
- LSCC shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -23.14%.
- Measured over the past years, LSCC shows a quite strong growth in Earnings Per Share. The EPS has been growing by 9.63% on average per year.
- Looking at the last year, LSCC shows a very negative growth in Revenue. The Revenue has decreased by -12.03% in the last year.
- The Revenue has been growing slightly by 4.74% on average over the past years.
EPS 1Y (TTM)-23.14%
EPS 3Y-3.89%
EPS 5Y9.63%
EPS Q2Q%16.67%
Revenue 1Y (TTM)-12.03%
Revenue growth 3Y-0.38%
Revenue growth 5Y4.74%
Sales Q2Q%4.92%
3.2 Future
- The Earnings Per Share is expected to grow by 28.00% on average over the next years. This is a very strong growth
- The Revenue is expected to grow by 12.90% on average over the next years. This is quite good.
EPS Next Y12.82%
EPS Next 2Y25.51%
EPS Next 3Y27.01%
EPS Next 5Y28%
Revenue Next Year2.27%
Revenue Next 2Y11.49%
Revenue Next 3Y13.26%
Revenue Next 5Y12.9%
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.
- 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
- Based on the Price/Earnings ratio of 91.45, the valuation of LSCC can be described as expensive.
- LSCC's Price/Earnings is on the same level as the industry average.
- The average S&P500 Price/Earnings ratio is at 27.25. LSCC is valued rather expensively when compared to this.
- The Price/Forward Earnings ratio is 56.83, which means the current valuation is very expensive for LSCC.
- The rest of the industry has a similar Price/Forward Earnings ratio as LSCC.
- When comparing the Price/Forward Earnings ratio of LSCC to the average of the S&P500 Index (25.98), we can say LSCC is valued expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 91.45 | ||
| Fwd PE | 56.83 |
4.2 Price Multiples
- LSCC's Enterprise Value to EBITDA is on the same level as the industry average.
- LSCC's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 90.7 | ||
| EV/EBITDA | 239.83 |
4.3 Compensation for Growth
- The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates LSCC does not grow enough to justify the current Price/Earnings ratio.
- LSCC has a very decent profitability rating, which may justify a higher PE ratio.
- LSCC's earnings are expected to grow with 27.01% in the coming years. This may justify a more expensive valuation.
PEG (NY)7.13
PEG (5Y)9.5
EPS Next 2Y25.51%
EPS Next 3Y27.01%
5. Dividend
5.1 Amount
- No dividends for LSCC!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
LATTICE SEMICONDUCTOR CORP / LSCC FAQ
What is the ChartMill fundamental rating of LATTICE SEMICONDUCTOR CORP (LSCC) stock?
ChartMill assigns a fundamental rating of 6 / 10 to LSCC.
What is the valuation status for LSCC stock?
ChartMill assigns a valuation rating of 2 / 10 to LATTICE SEMICONDUCTOR CORP (LSCC). This can be considered as Overvalued.
What is the profitability of LSCC stock?
LATTICE SEMICONDUCTOR CORP (LSCC) has a profitability rating of 7 / 10.
Can you provide the financial health for LSCC stock?
The financial health rating of LATTICE SEMICONDUCTOR CORP (LSCC) is 8 / 10.