LUXFER HOLDINGS PLC (LXFR) Stock Fundamental Analysis
NYSE:LXFR - New York Stock Exchange, Inc. - GB00BNK03D49 - Common Stock - Currency: USD
Overall LXFR gets a fundamental rating of 5 out of 10. We evaluated LXFR against 129 industry peers in the Machinery industry. No worries on liquidiy or solvency for LXFR as it has an excellent financial health rating, but there are worries on the profitability. LXFR may be a bit undervalued, certainly considering the very reasonable score on growth LXFR also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
In the past year LXFR was profitable.
LXFR had a positive operating cash flow in the past year.
Of the past 5 years LXFR 4 years were profitable.
Each year in the past 5 years LXFR had a positive operating cash flow.
1.2 Ratios
LXFR has a Return On Assets (2.25%) which is comparable to the rest of the industry.
LXFR has a Return On Equity of 4.04%. This is comparable to the rest of the industry: LXFR outperforms 40.80% of its industry peers.
LXFR has a Return On Invested Capital of 8.63%. This is in the better half of the industry: LXFR outperforms 62.40% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for LXFR is in line with the industry average of 11.00%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.25% | ||
| ROE | 4.04% | ||
| ROIC | 8.63% |
ROA(3y)4.73%
ROA(5y)4.15%
ROE(3y)8.79%
ROE(5y)8.03%
ROIC(3y)10.2%
ROIC(5y)10.63%
1.3 Margins
With a Profit Margin value of 2.37%, LXFR is not doing good in the industry: 60.00% of the companies in the same industry are doing better.
LXFR has a Operating Margin (9.16%) which is in line with its industry peers.
In the last couple of years the Operating Margin of LXFR has declined.
LXFR's Gross Margin of 20.68% is on the low side compared to the rest of the industry. LXFR is outperformed by 74.40% of its industry peers.
In the last couple of years the Gross Margin of LXFR has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 9.16% | ||
| PM (TTM) | 2.37% | ||
| GM | 20.68% |
OM growth 3Y-20.93%
OM growth 5Y-16.51%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-8.77%
GM growth 5Y-8.4%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), LXFR is creating some value.
Compared to 1 year ago, LXFR has less shares outstanding
LXFR has less shares outstanding than it did 5 years ago.
The debt/assets ratio for LXFR has been reduced compared to a year ago.
2.2 Solvency
LXFR has an Altman-Z score of 3.19. This indicates that LXFR is financially healthy and has little risk of bankruptcy at the moment.
LXFR has a Altman-Z score (3.19) which is comparable to the rest of the industry.
LXFR has a debt to FCF ratio of 2.17. This is a good value and a sign of high solvency as LXFR would need 2.17 years to pay back of all of its debts.
The Debt to FCF ratio of LXFR (2.17) is better than 77.60% of its industry peers.
A Debt/Equity ratio of 0.31 indicates that LXFR is not too dependend on debt financing.
LXFR has a better Debt to Equity ratio (0.31) than 63.20% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.31 | ||
| Debt/FCF | 2.17 | ||
| Altman-Z | 3.19 |
ROIC/WACC1.01
WACC8.57%
2.3 Liquidity
A Current Ratio of 2.17 indicates that LXFR has no problem at all paying its short term obligations.
With a Current ratio value of 2.17, LXFR perfoms like the industry average, outperforming 55.20% of the companies in the same industry.
A Quick Ratio of 1.14 indicates that LXFR should not have too much problems paying its short term obligations.
Looking at the Quick ratio, with a value of 1.14, LXFR is in line with its industry, outperforming 43.20% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.17 | ||
| Quick Ratio | 1.14 |
3. Growth
3.1 Past
The earnings per share for LXFR have decreased by -8.54% in the last year.
LXFR shows a very negative growth in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -19.27% yearly.
The Revenue has decreased by -9.72% in the past year.
LXFR shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 0.15% yearly.
EPS 1Y (TTM)-8.54%
EPS 3Y-15.37%
EPS 5Y-19.27%
EPS Q2Q%575%
Revenue 1Y (TTM)-9.72%
Revenue growth 3Y7.63%
Revenue growth 5Y0.15%
Sales Q2Q%2.05%
3.2 Future
The Earnings Per Share is expected to grow by 30.59% on average over the next years. This is a very strong growth
LXFR is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 1.47% yearly.
EPS Next Y58.1%
EPS Next 2Y33.6%
EPS Next 3Y30.59%
EPS Next 5YN/A
Revenue Next Year-5.22%
Revenue Next 2Y-0.98%
Revenue Next 3Y1.47%
Revenue Next 5YN/A
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
LXFR is valuated rather expensively with a Price/Earnings ratio of 18.89.
LXFR's Price/Earnings ratio is a bit cheaper when compared to the industry. LXFR is cheaper than 71.20% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 29.63. LXFR is valued slightly cheaper when compared to this.
The Price/Forward Earnings ratio is 13.23, which indicates a correct valuation of LXFR.
Based on the Price/Forward Earnings ratio, LXFR is valued cheaply inside the industry as 88.00% of the companies are valued more expensively.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.68, LXFR is valued a bit cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.89 | ||
| Fwd PE | 13.23 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of LXFR indicates a somewhat cheap valuation: LXFR is cheaper than 76.80% of the companies listed in the same industry.
LXFR's Price/Free Cash Flow ratio is rather cheap when compared to the industry. LXFR is cheaper than 91.20% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 11.86 | ||
| EV/EBITDA | 9.69 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
A more expensive valuation may be justified as LXFR's earnings are expected to grow with 30.59% in the coming years.
PEG (NY)0.33
PEG (5Y)N/A
EPS Next 2Y33.6%
EPS Next 3Y30.59%
5. Dividend
5.1 Amount
LXFR has a Yearly Dividend Yield of 3.62%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 1.65, LXFR pays a better dividend. On top of this LXFR pays more dividend than 95.20% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.27, LXFR pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.62% |
5.2 History
The dividend of LXFR has a limited annual growth rate of 0.33%.
LXFR has paid a dividend for at least 10 years, which is a reliable track record.
LXFR has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)0.33%
Div Incr Years2
Div Non Decr Years11
5.3 Sustainability
LXFR pays out 153.85% of its income as dividend. This is not a sustainable payout ratio.
LXFR's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP153.85%
EPS Next 2Y33.6%
EPS Next 3Y30.59%
14.17
-0.18 (-1.25%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryMachinery
Earnings (Last)
Earnings (Next)
Inst Owners92.3%
Inst Owner Change-90.37%
Ins Owners1.1%
Ins Owner Change-0.69%
Market Cap379.47M
Analysts43.33
Price Target17.34 (22.37%)
Short Float %0.44%
Short Ratio0.99
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.62% |
Yearly Dividend0.5
Dividend Growth(5Y)0.33%
DP153.85%
Div Incr Years2
Div Non Decr Years11
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)22.55%
Min EPS beat(2)-1.96%
Max EPS beat(2)47.06%
EPS beat(4)3
Avg EPS beat(4)117.53%
Min EPS beat(4)-1.96%
Max EPS beat(4)341.18%
EPS beat(8)3
Avg EPS beat(8)55.7%
EPS beat(12)7
Avg EPS beat(12)40.57%
EPS beat(16)10
Avg EPS beat(16)36.33%
Revenue beat(2)1
Avg Revenue beat(2)5.81%
Min Revenue beat(2)-1.96%
Max Revenue beat(2)13.58%
Revenue beat(4)3
Avg Revenue beat(4)5.54%
Min Revenue beat(4)-1.96%
Max Revenue beat(4)13.58%
Revenue beat(8)4
Avg Revenue beat(8)3.66%
Revenue beat(12)6
Avg Revenue beat(12)2.44%
Revenue beat(16)8
Avg Revenue beat(16)1.32%
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)10.71%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0%
Revenue NY rev (1m)0%
Revenue NY rev (3m)3.73%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.89 | ||
| Fwd PE | 13.23 | ||
| P/S | 0.99 | ||
| P/FCF | 11.86 | ||
| P/OCF | 9.12 | ||
| P/B | 1.69 | ||
| P/tB | 2.64 | ||
| EV/EBITDA | 9.69 |
EPS(TTM)0.75
EY5.29%
EPS(NY)1.07
Fwd EY7.56%
FCF(TTM)1.19
FCFY8.43%
OCF(TTM)1.55
OCFY10.96%
SpS14.35
BVpS8.41
TBVpS5.37
PEG (NY)0.33
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.25% | ||
| ROE | 4.04% | ||
| ROCE | 11.19% | ||
| ROIC | 8.63% | ||
| ROICexc | 8.73% | ||
| ROICexgc | 11.78% | ||
| OM | 9.16% | ||
| PM (TTM) | 2.37% | ||
| GM | 20.68% | ||
| FCFM | 8.32% |
ROA(3y)4.73%
ROA(5y)4.15%
ROE(3y)8.79%
ROE(5y)8.03%
ROIC(3y)10.2%
ROIC(5y)10.63%
ROICexc(3y)10.49%
ROICexc(5y)10.9%
ROICexgc(3y)14.61%
ROICexgc(5y)15.19%
ROCE(3y)13.07%
ROCE(5y)13.62%
ROICexcg growth 3Y-18.71%
ROICexcg growth 5Y-16.67%
ROICexc growth 3Y-17.34%
ROICexc growth 5Y-16.45%
OM growth 3Y-20.93%
OM growth 5Y-16.51%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-8.77%
GM growth 5Y-8.4%
F-Score7
Asset Turnover0.95
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.31 | ||
| Debt/FCF | 2.17 | ||
| Debt/EBITDA | 1.52 | ||
| Cap/Depr | 92.31% | ||
| Cap/Sales | 2.5% | ||
| Interest Coverage | 6.18 | ||
| Cash Conversion | 91.23% | ||
| Profit Quality | 351.65% | ||
| Current Ratio | 2.17 | ||
| Quick Ratio | 1.14 | ||
| Altman-Z | 3.19 |
F-Score7
WACC8.57%
ROIC/WACC1.01
Cap/Depr(3y)64.46%
Cap/Depr(5y)68.88%
Cap/Sales(3y)2.24%
Cap/Sales(5y)2.58%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-8.54%
EPS 3Y-15.37%
EPS 5Y-19.27%
EPS Q2Q%575%
EPS Next Y58.1%
EPS Next 2Y33.6%
EPS Next 3Y30.59%
EPS Next 5YN/A
Revenue 1Y (TTM)-9.72%
Revenue growth 3Y7.63%
Revenue growth 5Y0.15%
Sales Q2Q%2.05%
Revenue Next Year-5.22%
Revenue Next 2Y-0.98%
Revenue Next 3Y1.47%
Revenue Next 5YN/A
EBIT growth 1Y18.12%
EBIT growth 3Y-14.9%
EBIT growth 5Y-16.38%
EBIT Next Year76.38%
EBIT Next 3Y29.53%
EBIT Next 5YN/A
FCF growth 1Y260.8%
FCF growth 3Y-25.94%
FCF growth 5Y-19.27%
OCF growth 1Y471.43%
OCF growth 3Y-19.06%
OCF growth 5Y-16.08%