LIFE STORAGE INC (LSI) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:LSI - US53223X1072 - REIT
133.1 USD
-1.02 (-0.76%)
133.7 USD
+0.6 (+0.45%)
Overall LSI gets a fundamental rating of 4 out of 10. We evaluated LSI against 30 industry peers in the Specialized REITs industry. LSI scores excellent on profitability, but there are concerns on its financial health. While showing a medium growth rate, LSI is valued expensive at the moment.
1. Profitability
1.1 Basic Checks
LSI had positive earnings in the past year.
LSI had a positive operating cash flow in the past year.
Each year in the past 5 years LSI has been profitable.
LSI had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
LSI has a Return On Assets of 4.96%. This is in the better half of the industry: LSI outperforms 73.33% of its industry peers.
The Return On Equity of LSI (10.27%) is better than 66.67% of its industry peers.
LSI's Return On Invested Capital of 5.20% is in line compared to the rest of the industry. LSI outperforms 60.00% of its industry peers.
LSI had an Average Return On Invested Capital over the past 3 years of 4.37%. This is in line with the industry average of 4.77%.
The 3 year average ROIC (4.37%) for LSI is below the current ROIC(5.20%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.96% | ||
| ROE | 10.27% | ||
| ROIC | 5.2% |
ROA(3y)3.95%
ROA(5y)4.66%
ROE(3y)7.88%
ROE(5y)9.16%
ROIC(3y)4.37%
ROIC(5y)4.38%
1.3 Margins
LSI's Profit Margin of 33.96% is fine compared to the rest of the industry. LSI outperforms 76.67% of its industry peers.
LSI's Profit Margin has improved in the last couple of years.
The Operating Margin of LSI (44.13%) is better than 76.67% of its industry peers.
In the last couple of years the Operating Margin of LSI has grown nicely.
LSI has a Gross Margin (73.35%) which is in line with its industry peers.
In the last couple of years the Gross Margin of LSI has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 44.13% | ||
| PM (TTM) | 33.96% | ||
| GM | 73.35% |
OM growth 3Y4.08%
OM growth 5Y6.35%
PM growth 3Y-8.49%
PM growth 5Y13.65%
GM growth 3Y3.43%
GM growth 5Y2.08%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), LSI is destroying value.
The number of shares outstanding for LSI has been increased compared to 1 year ago.
Compared to 1 year ago, LSI has a worse debt to assets ratio.
2.2 Solvency
An Altman-Z score of 2.07 indicates that LSI is not a great score, but indicates only limited risk for bankruptcy at the moment.
LSI's Altman-Z score of 2.07 is amongst the best of the industry. LSI outperforms 83.33% of its industry peers.
LSI has a Debt/Equity ratio of 0.95. This is a neutral value indicating LSI is somewhat dependend on debt financing.
LSI has a Debt to Equity ratio of 0.95. This is comparable to the rest of the industry: LSI outperforms 56.67% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.95 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 2.07 |
ROIC/WACC0.66
WACC7.85%
2.3 Liquidity
LSI has a Current Ratio of 0.50. This is a bad value and indicates that LSI is not financially healthy enough and could expect problems in meeting its short term obligations.
Looking at the Current ratio, with a value of 0.50, LSI is doing worse than 70.00% of the companies in the same industry.
A Quick Ratio of 0.50 indicates that LSI may have some problems paying its short term obligations.
LSI has a worse Quick ratio (0.50) than 70.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.5 | ||
| Quick Ratio | 0.5 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 26.02% over the past year.
The Earnings Per Share has been growing by 22.29% on average over the past years. This is a very strong growth
Looking at the last year, LSI shows a very strong growth in Revenue. The Revenue has grown by 26.83%.
LSI shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 14.40% yearly.
EPS 1Y (TTM)26.02%
EPS 3Y23.24%
EPS 5Y22.29%
EPS Q2Q%9.09%
Revenue 1Y (TTM)26.83%
Revenue growth 3Y21.79%
Revenue growth 5Y14.4%
Sales Q2Q%17.18%
3.2 Future
Based on estimates for the next years, LSI will show a small growth in Earnings Per Share. The EPS will grow by 5.56% on average per year.
Based on estimates for the next years, LSI will show a small growth in Revenue. The Revenue will grow by 7.90% on average per year.
EPS Next Y6.43%
EPS Next 2Y8.5%
EPS Next 3Y8.37%
EPS Next 5Y5.56%
Revenue Next Year2.51%
Revenue Next 2Y3.8%
Revenue Next 3Y5.26%
Revenue Next 5Y7.9%
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 decreasing.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 30.88, which means the current valuation is very expensive for LSI.
LSI's Price/Earnings ratio is in line with the industry average.
LSI's Price/Earnings ratio indicates a valuation a bit more expensive than the S&P500 average which is at 25.65.
LSI is valuated quite expensively with a Price/Forward Earnings ratio of 26.73.
Compared to the rest of the industry, the Price/Forward Earnings ratio of LSI is on the same level as its industry peers.
The average S&P500 Price/Forward Earnings ratio is at 34.45. LSI is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 30.88 | ||
| Fwd PE | 26.73 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, LSI is valued a bit more expensive than the industry average as 76.67% of the companies are valued more cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 21.93 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates LSI does not grow enough to justify the current Price/Earnings ratio.
The decent profitability rating of LSI may justify a higher PE ratio.
PEG (NY)4.8
PEG (5Y)1.39
EPS Next 2Y8.5%
EPS Next 3Y8.37%
5. Dividend
5.1 Amount
LSI has a Yearly Dividend Yield of 2.70%.
Compared to an average industry Dividend Yield of 6.15, LSI's dividend is way lower than its industry peers. On top of this 83.33% of the companies listed in the same industry pay a better dividend than LSI!
LSI's Dividend Yield is comparable with the S&P500 average which is at 2.41.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.7% |
5.2 History
The dividend of LSI is nicely growing with an annual growth rate of 9.59%!
LSI has been paying a dividend for over 5 years, so it has already some track record.
LSI has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)9.59%
Div Incr Years3
Div Non Decr Years12
5.3 Sustainability
100.86% of the earnings are spent on dividend by LSI. This is not a sustainable payout ratio.
The dividend of LSI is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP100.86%
EPS Next 2Y8.5%
EPS Next 3Y8.37%
133.1
-1.02 (-0.76%)
Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustrySpecialized REITs
Earnings (Last)
Earnings (Next)
Inst Owners0%
Inst Owner Change0%
Ins Owners0.78%
Ins Owner Change0%
Market Cap11.33B
Revenue(TTM)1.08B
Net Income(TTM)366.16M
Analysts71.43
Price Target143.82 (8.05%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.7% |
Yearly Dividend4.16
Dividend Growth(5Y)9.59%
DP100.86%
Div Incr Years3
Div Non Decr Years12
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-2.82%
Min EPS beat(2)-7.42%
Max EPS beat(2)1.79%
EPS beat(4)3
Avg EPS beat(4)1.63%
Min EPS beat(4)-7.42%
Max EPS beat(4)8.14%
EPS beat(8)N/A
Avg EPS beat(8)N/A
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)3.31%
Min Revenue beat(2)0.96%
Max Revenue beat(2)5.66%
Revenue beat(4)4
Avg Revenue beat(4)3.45%
Min Revenue beat(4)0.96%
Max Revenue beat(4)5.66%
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
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)0.16%
PT rev (3m)0.95%
EPS NQ rev (1m)-0.81%
EPS NQ rev (3m)-2.36%
EPS NY rev (1m)-2.31%
EPS NY rev (3m)-2.31%
Revenue NQ rev (1m)-4.94%
Revenue NQ rev (3m)-5.64%
Revenue NY rev (1m)-6.28%
Revenue NY rev (3m)-6.28%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 30.88 | ||
| Fwd PE | 26.73 | ||
| P/S | 10.5 | ||
| P/FCF | N/A | ||
| P/OCF | 18.8 | ||
| P/B | 3.18 | ||
| P/tB | 3.19 | ||
| EV/EBITDA | 21.93 |
EPS(TTM)4.31
EY3.24%
EPS(NY)4.98
Fwd EY3.74%
FCF(TTM)-1.3
FCFYN/A
OCF(TTM)7.08
OCFY5.32%
SpS12.67
BVpS41.9
TBVpS41.68
PEG (NY)4.8
PEG (5Y)1.39
Graham NumberN/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.96% | ||
| ROE | 10.27% | ||
| ROCE | N/A | ||
| ROIC | 5.2% | ||
| ROICexc | 5.22% | ||
| ROICexgc | 5.24% | ||
| OM | 44.13% | ||
| PM (TTM) | 33.96% | ||
| GM | 73.35% | ||
| FCFM | N/A |
ROA(3y)3.95%
ROA(5y)4.66%
ROE(3y)7.88%
ROE(5y)9.16%
ROIC(3y)4.37%
ROIC(5y)4.38%
ROICexc(3y)4.42%
ROICexc(5y)4.43%
ROICexgc(3y)4.45%
ROICexgc(5y)4.45%
ROCE(3y)N/A
ROCE(5y)N/A
ROICexgc growth 3Y5.05%
ROICexgc growth 5Y6.86%
ROICexc growth 3Y5.13%
ROICexc growth 5Y6.9%
OM growth 3Y4.08%
OM growth 5Y6.35%
PM growth 3Y-8.49%
PM growth 5Y13.65%
GM growth 3Y3.43%
GM growth 5Y2.08%
F-Score6
Asset Turnover0.15
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.95 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 5.08 | ||
| Cap/Depr | 366.87% | ||
| Cap/Sales | N/A | ||
| Interest Coverage | N/A | ||
| Cash Conversion | N/A | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.5 | ||
| Quick Ratio | 0.5 | ||
| Altman-Z | 2.07 |
F-Score6
WACC7.85%
ROIC/WACC0.66
Cap/Depr(3y)559.87%
Cap/Depr(5y)366.07%
Cap/Sales(3y)N/A
Cap/Sales(5y)N/A
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)26.02%
EPS 3Y23.24%
EPS 5Y22.29%
EPS Q2Q%9.09%
EPS Next Y6.43%
EPS Next 2Y8.5%
EPS Next 3Y8.37%
EPS Next 5Y5.56%
Revenue 1Y (TTM)26.83%
Revenue growth 3Y21.79%
Revenue growth 5Y14.4%
Sales Q2Q%17.18%
Revenue Next Year2.51%
Revenue Next 2Y3.8%
Revenue Next 3Y5.26%
Revenue Next 5Y7.9%
EBIT growth 1Y30.73%
EBIT growth 3Y26.76%
EBIT growth 5Y21.66%
EBIT Next Year56.6%
EBIT Next 3Y22.08%
EBIT Next 5Y20.96%
FCF growth 1Y-141.42%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y87.63%
OCF growth 3Y28.16%
OCF growth 5Y18.74%
LIFE STORAGE INC / LSI FAQ
What is the ChartMill fundamental rating of LIFE STORAGE INC (LSI) stock?
ChartMill assigns a fundamental rating of 4 / 10 to LSI.
What is the valuation status for LSI stock?
ChartMill assigns a valuation rating of 2 / 10 to LIFE STORAGE INC (LSI). This can be considered as Overvalued.
How profitable is LIFE STORAGE INC (LSI) stock?
LIFE STORAGE INC (LSI) has a profitability rating of 7 / 10.
Can you provide the PE and PB ratios for LSI stock?
The Price/Earnings (PE) ratio for LIFE STORAGE INC (LSI) is 30.88 and the Price/Book (PB) ratio is 3.18.
What is the earnings growth outlook for LIFE STORAGE INC?
The Earnings per Share (EPS) of LIFE STORAGE INC (LSI) is expected to grow by 6.43% in the next year.