84.33 USD
-0.97 (-1.14%)
83.61 USD
-0.72 (-0.85%)
We assign a fundamental rating of 6 out of 10 to LSCC. LSCC was compared to 113 industry peers in the Semiconductors & Semiconductor Equipment industry. LSCC has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. LSCC is valied quite expensively at the moment, while it does show a decent growth rate. This makes LSCC very considerable for quality investing!
1. Profitability
1.1 Basic Checks
- LSCC had positive earnings in the past year.
- LSCC had a positive operating cash flow in the past year.
- LSCC had positive earnings in each of the past 5 years.
- LSCC had a positive operating cash flow in each of the past 5 years.
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.
- LSCC has a Return On Equity of 3.86%. This is comparable to the rest of the industry: LSCC outperforms 55.75% of its industry peers.
- LSCC has a Return On Invested Capital (1.70%) which is in line with 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 last Return On Invested Capital (1.70%) for LSCC is well below the 3 year average (17.21%), which needs to be investigated, but indicates that LSCC had better years and this may not be a problem.
| 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
- The Profit Margin of LSCC (5.50%) is comparable to the rest of the industry.
- LSCC's Profit Margin has improved in the last couple of years.
- LSCC's Operating Margin of 3.22% is in line compared to the rest of the industry. LSCC outperforms 52.21% of its industry peers.
- In the last couple of years the Operating Margin of LSCC has declined.
- LSCC has a Gross Margin of 66.43%. This is amongst the best in the industry. LSCC outperforms 89.38% of its industry peers.
- In the last couple of years the Gross Margin of LSCC has grown nicely.
| 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.
- LSCC has more shares outstanding than it did 5 years ago.
- LSCC 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
- LSCC has an Altman-Z score of 51.52. This indicates that LSCC is financially healthy and has little risk of bankruptcy at the moment.
- LSCC has a Altman-Z score of 51.52. This is amongst the best in the industry. LSCC outperforms 95.58% of its industry peers.
- LSCC 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 | 51.52 |
ROIC/WACC0.16
WACC10.83%
2.3 Liquidity
- A Current Ratio of 3.24 indicates that LSCC has no problem at all paying its short term obligations.
- LSCC's Current ratio of 3.24 is in line compared to the rest of the industry. LSCC outperforms 55.75% of its industry peers.
- A Quick Ratio of 2.38 indicates that LSCC has no problem at all paying its short term obligations.
- LSCC's Quick ratio of 2.38 is in line compared to the rest of the industry. LSCC outperforms 57.52% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.24 | ||
| Quick Ratio | 2.38 |
3. Growth
3.1 Past
- The earnings per share for LSCC have decreased strongly by -23.14% in the last year.
- 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.
- The Revenue for LSCC has decreased by -12.03% in the past year. This is quite bad
- Measured over the past years, LSCC shows a small growth in Revenue. The Revenue has been growing by 4.74% on average per year.
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
- LSCC is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 28.00% yearly.
- LSCC is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 12.90% yearly.
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
- 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
- Based on the Price/Earnings ratio of 90.68, the valuation of LSCC can be described as expensive.
- Compared to the rest of the industry, the Price/Earnings ratio of LSCC is on the same level as its industry peers.
- Compared to an average S&P500 Price/Earnings ratio of 27.21, LSCC is valued quite expensively.
- With a Price/Forward Earnings ratio of 56.35, LSCC can be considered very expensive at the moment.
- LSCC's Price/Forward Earnings ratio is in line with the industry average.
- LSCC's Price/Forward Earnings ratio indicates a rather expensive valuation when compared to the S&P500 average which is at 25.98.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 90.68 | ||
| Fwd PE | 56.35 |
4.2 Price Multiples
- The rest of the industry has a similar Enterprise Value to EBITDA ratio as LSCC.
- LSCC's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 89.93 | ||
| EV/EBITDA | 242.3 |
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.
- The decent profitability rating of LSCC may justify a higher PE ratio.
- A more expensive valuation may be justified as LSCC's earnings are expected to grow with 27.01% in the coming years.
PEG (NY)7.07
PEG (5Y)9.42
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.