LUXFER HOLDINGS PLC (LXFR) Stock Fundamental Analysis
USA - NYSE:LXFR - GB00BNK03D49 - Common Stock
12.79 USD
-0.55 (-4.12%)
12.79 USD
0 (0%)
LXFR gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 129 industry peers in the Machinery industry. Both the profitability and the financial health of LXFR get a neutral evaluation. Nothing too spectacular is happening here. LXFR may be a bit undervalued, certainly considering the very reasonable score on growth LXFR also has an excellent dividend rating. These ratings could make LXFR a good candidate for value and dividend investing.
1. Profitability
1.1 Basic Checks
In the past year LXFR was profitable.
In the past year LXFR had a positive cash flow from operations.
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
With a decent Return On Assets value of 6.09%, LXFR is doing good in the industry, outperforming 63.57% of the companies in the same industry.
LXFR has a Return On Equity (10.22%) which is comparable to the rest of the industry.
The Return On Invested Capital of LXFR (9.23%) is better than 65.12% of its industry peers.
The Average Return On Invested Capital over the past 3 years for LXFR is in line with the industry average of 10.01%.
The 3 year average ROIC (8.65%) for LXFR is below the current ROIC(9.23%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.09% | ||
| ROE | 10.22% | ||
| ROIC | 9.23% |
ROA(3y)3.64%
ROA(5y)4.96%
ROE(3y)6.82%
ROE(5y)9.35%
ROIC(3y)8.65%
ROIC(5y)9.23%
1.3 Margins
LXFR has a Profit Margin of 6.02%. This is comparable to the rest of the industry: LXFR outperforms 53.49% of its industry peers.
In the last couple of years the Profit Margin of LXFR has grown nicely.
LXFR has a Operating Margin (9.53%) which is in line with its industry peers.
LXFR's Operating Margin has declined in the last couple of years.
Looking at the Gross Margin, with a value of 22.46%, LXFR is doing worse than 68.99% of the companies in the same industry.
In the last couple of years the Gross Margin of LXFR has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 9.53% | ||
| PM (TTM) | 6.02% | ||
| GM | 22.46% |
OM growth 3Y-4.62%
OM growth 5Y-4.2%
PM growth 3Y-16.25%
PM growth 5Y41.41%
GM growth 3Y-5.19%
GM growth 5Y-4.67%
2. Health
2.1 Basic Checks
LXFR has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
LXFR has less shares outstanding than it did 1 year ago.
Compared to 5 years ago, LXFR has less shares outstanding
Compared to 1 year ago, LXFR has an improved debt to assets ratio.
2.2 Solvency
LXFR has an Altman-Z score of 3.26. This indicates that LXFR is financially healthy and has little risk of bankruptcy at the moment.
The Altman-Z score of LXFR (3.26) is comparable to the rest of the industry.
The Debt to FCF ratio of LXFR is 1.49, which is an excellent value as it means it would take LXFR, only 1.49 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of LXFR (1.49) is better than 83.72% of its industry peers.
LXFR has a Debt/Equity ratio of 0.10. This is a healthy value indicating a solid balance between debt and equity.
The Debt to Equity ratio of LXFR (0.10) is better than 79.07% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.1 | ||
| Debt/FCF | 1.49 | ||
| Altman-Z | 3.26 |
ROIC/WACC0.96
WACC9.59%
2.3 Liquidity
A Current Ratio of 1.65 indicates that LXFR should not have too much problems paying its short term obligations.
With a Current ratio value of 1.65, LXFR is not doing good in the industry: 65.89% of the companies in the same industry are doing better.
A Quick Ratio of 0.83 indicates that LXFR may have some problems paying its short term obligations.
Looking at the Quick ratio, with a value of 0.83, LXFR is doing worse than 74.42% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.65 | ||
| Quick Ratio | 0.83 |
3. Growth
3.1 Past
LXFR shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 105.77%, which is quite impressive.
Measured over the past years, LXFR shows a decrease in Earnings Per Share. The EPS has been decreasing by -7.92% on average per year.
LXFR shows a small growth in Revenue. In the last year, the Revenue has grown by 5.60%.
The Revenue has been growing slightly by 0.97% on average over the past years.
EPS 1Y (TTM)105.77%
EPS 3Y-9.78%
EPS 5Y-7.92%
EPS Q2Q%25%
Revenue 1Y (TTM)5.6%
Revenue growth 3Y1.56%
Revenue growth 5Y0.97%
Sales Q2Q%4.31%
3.2 Future
LXFR is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 13.16% yearly.
LXFR is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 4.06% yearly.
EPS Next Y11.77%
EPS Next 2Y13.16%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year4.81%
Revenue Next 2Y4.06%
Revenue Next 3YN/A
Revenue Next 5YN/A
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 11.95, the valuation of LXFR can be described as reasonable.
LXFR's Price/Earnings ratio is rather cheap when compared to the industry. LXFR is cheaper than 90.70% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 27.40, LXFR is valued rather cheaply.
Based on the Price/Forward Earnings ratio of 10.63, the valuation of LXFR can be described as reasonable.
LXFR's Price/Forward Earnings ratio is rather cheap when compared to the industry. LXFR is cheaper than 92.25% of the companies in the same industry.
LXFR is valuated cheaply when we compare the Price/Forward Earnings ratio to 22.94, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.95 | ||
| Fwd PE | 10.63 |
4.2 Price Multiples
89.15% of the companies in the same industry are more expensive than LXFR, based on the Enterprise Value to EBITDA ratio.
Based on the Price/Free Cash Flow ratio, LXFR is valued cheaply inside the industry as 94.57% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 9.67 | ||
| EV/EBITDA | 7.59 |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
A more expensive valuation may be justified as LXFR's earnings are expected to grow with 13.16% in the coming years.
PEG (NY)1.02
PEG (5Y)N/A
EPS Next 2Y13.16%
EPS Next 3YN/A
5. Dividend
5.1 Amount
LXFR has a Yearly Dividend Yield of 3.96%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 1.82, LXFR pays a better dividend. On top of this LXFR pays more dividend than 95.35% of the companies listed in the same industry.
LXFR's Dividend Yield is rather good when compared to the S&P500 average which is at 2.38.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.96% |
5.2 History
The dividend of LXFR has a limited annual growth rate of 1.53%.
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)1.53%
Div Incr Years0
Div Non Decr Years11
5.3 Sustainability
57.61% of the earnings are spent on dividend by LXFR. This is a bit on the high side, but may be sustainable.
LXFR's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP57.61%
EPS Next 2Y13.16%
EPS Next 3YN/A
12.79
-0.55 (-4.12%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryMachinery
Earnings (Last)
Earnings (Next)
Inst Owners95.3%
Inst Owner Change0%
Ins Owners1.29%
Ins Owner Change2.53%
Market Cap342.26M
Analysts43.33
Price Target17.34 (35.57%)
Short Float %2%
Short Ratio4.15
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.96% |
Yearly Dividend0.52
Dividend Growth(5Y)1.53%
DP57.61%
Div Incr Years0
Div Non Decr Years11
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)36.97%
Min EPS beat(2)26.87%
Max EPS beat(2)47.06%
EPS beat(4)4
Avg EPS beat(4)36.44%
Min EPS beat(4)24.78%
Max EPS beat(4)47.06%
EPS beat(8)6
Avg EPS beat(8)70.86%
EPS beat(12)7
Avg EPS beat(12)45.44%
EPS beat(16)10
Avg EPS beat(16)36.45%
Revenue beat(2)2
Avg Revenue beat(2)6.57%
Min Revenue beat(2)3.83%
Max Revenue beat(2)9.31%
Revenue beat(4)4
Avg Revenue beat(4)10%
Min Revenue beat(4)3.83%
Max Revenue beat(4)13.58%
Revenue beat(8)6
Avg Revenue beat(8)5.88%
Revenue beat(12)7
Avg Revenue beat(12)4.15%
Revenue beat(16)9
Avg Revenue beat(16)3.34%
PT rev (1m)0%
PT rev (3m)0%
EPS NQ rev (1m)0%
EPS NQ rev (3m)8.7%
EPS NY rev (1m)0%
EPS NY rev (3m)18.39%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-1.72%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.48%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.95 | ||
| Fwd PE | 10.63 | ||
| P/S | 0.85 | ||
| P/FCF | 9.67 | ||
| P/OCF | 7.59 | ||
| P/B | 1.44 | ||
| P/tB | 2.2 | ||
| EV/EBITDA | 7.59 |
EPS(TTM)1.07
EY8.37%
EPS(NY)1.2
Fwd EY9.41%
FCF(TTM)1.32
FCFY10.34%
OCF(TTM)1.69
OCFY13.18%
SpS15.09
BVpS8.88
TBVpS5.83
PEG (NY)1.02
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.09% | ||
| ROE | 10.22% | ||
| ROCE | 13.36% | ||
| ROIC | 9.23% | ||
| ROICexc | 9.37% | ||
| ROICexgc | 13.16% | ||
| OM | 9.53% | ||
| PM (TTM) | 6.02% | ||
| GM | 22.46% | ||
| FCFM | 8.77% |
ROA(3y)3.64%
ROA(5y)4.96%
ROE(3y)6.82%
ROE(5y)9.35%
ROIC(3y)8.65%
ROIC(5y)9.23%
ROICexc(3y)8.87%
ROICexc(5y)9.42%
ROICexgc(3y)12.19%
ROICexgc(5y)13.16%
ROCE(3y)12.53%
ROCE(5y)13.37%
ROICexcg growth 3Y-4.86%
ROICexcg growth 5Y-1.98%
ROICexc growth 3Y-3.81%
ROICexc growth 5Y-2.08%
OM growth 3Y-4.62%
OM growth 5Y-4.2%
PM growth 3Y-16.25%
PM growth 5Y41.41%
GM growth 3Y-5.19%
GM growth 5Y-4.67%
F-Score8
Asset Turnover1.01
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.1 | ||
| Debt/FCF | 1.49 | ||
| Debt/EBITDA | 0.45 | ||
| Cap/Depr | 65.1% | ||
| Cap/Sales | 2.4% | ||
| Interest Coverage | 8.37 | ||
| Cash Conversion | 84.46% | ||
| Profit Quality | 145.68% | ||
| Current Ratio | 1.65 | ||
| Quick Ratio | 0.83 | ||
| Altman-Z | 3.26 |
F-Score8
WACC9.59%
ROIC/WACC0.96
Cap/Depr(3y)71.63%
Cap/Depr(5y)66.68%
Cap/Sales(3y)2.34%
Cap/Sales(5y)2.38%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)105.77%
EPS 3Y-9.78%
EPS 5Y-7.92%
EPS Q2Q%25%
EPS Next Y11.77%
EPS Next 2Y13.16%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)5.6%
Revenue growth 3Y1.56%
Revenue growth 5Y0.97%
Sales Q2Q%4.31%
Revenue Next Year4.81%
Revenue Next 2Y4.06%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y51.57%
EBIT growth 3Y-3.13%
EBIT growth 5Y-3.27%
EBIT Next Year37.6%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y216.07%
FCF growth 3Y33.45%
FCF growth 5YN/A
OCF growth 1Y109.77%
OCF growth 3Y25.1%
OCF growth 5Y54.52%