LUXFER HOLDINGS PLC (LXFR) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:LXFR - GB00BNK03D49 - Common Stock
15.14 USD
-0.07 (-0.46%)
15.5 USD
+0.36 (+2.38%)
Overall LXFR gets a fundamental rating of 6 out of 10. We evaluated LXFR against 132 industry peers in the Machinery industry. LXFR has an average financial health and profitability rating. A decent growth rate in combination with a cheap valuation! Better keep an eye on LXFR. LXFR also has an excellent dividend rating. This makes LXFR very considerable for value and dividend investing!
1. Profitability
1.1 Basic Checks
- In the past year LXFR was profitable.
- LXFR had a positive operating cash flow in the past year.
- LXFR had positive earnings in 4 of the past 5 years.
- LXFR had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
- LXFR has a Return On Assets (3.79%) which is comparable to the rest of the industry.
- LXFR has a Return On Equity (6.17%) which is in line with its industry peers.
- LXFR has a better Return On Invested Capital (9.14%) than 66.67% 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 10.24%.
- The 3 year average ROIC (8.65%) for LXFR is below the current ROIC(9.14%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.79% | ||
| ROE | 6.17% | ||
| ROIC | 9.14% |
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
- The Profit Margin of LXFR (3.60%) is comparable to the rest of the industry.
- LXFR's Profit Margin has improved in the last couple of years.
- The Operating Margin of LXFR (9.21%) is comparable to the rest of the industry.
- In the last couple of years the Operating Margin of LXFR has declined.
- LXFR has a Gross Margin of 22.65%. This is in the lower half of the industry: LXFR underperforms 67.42% of its industry peers.
- LXFR's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 9.21% | ||
| PM (TTM) | 3.6% | ||
| GM | 22.65% |
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.
- The number of shares outstanding for LXFR has been reduced compared to 1 year ago.
- 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
- An Altman-Z score of 3.65 indicates that LXFR is not in any danger for bankruptcy at the moment.
- LXFR has a Altman-Z score of 3.65. This is in the better half of the industry: LXFR outperforms 61.36% of its industry peers.
- LXFR has a debt to FCF ratio of 1.19. This is a very positive value and a sign of high solvency as it would only need 1.19 years to pay back of all of its debts.
- The Debt to FCF ratio of LXFR (1.19) is better than 86.36% of its industry peers.
- LXFR has a Debt/Equity ratio of 0.08. This is a healthy value indicating a solid balance between debt and equity.
- LXFR has a Debt to Equity ratio of 0.08. This is amongst the best in the industry. LXFR outperforms 81.06% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.08 | ||
| Debt/FCF | 1.19 | ||
| Altman-Z | 3.65 |
ROIC/WACC0.94
WACC9.76%
2.3 Liquidity
- A Current Ratio of 1.66 indicates that LXFR should not have too much problems paying its short term obligations.
- The Current ratio of LXFR (1.66) is worse than 66.67% of its industry peers.
- A Quick Ratio of 0.71 indicates that LXFR may have some problems paying its short term obligations.
- The Quick ratio of LXFR (0.71) is worse than 82.58% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.66 | ||
| Quick Ratio | 0.71 |
3. Growth
3.1 Past
- The Earnings Per Share has grown by an impressive 46.67% over the past year.
- 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.
- The Revenue has been growing slightly by 3.36% in the past year.
- LXFR shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 0.97% yearly.
EPS 1Y (TTM)46.67%
EPS 3Y-9.78%
EPS 5Y-7.92%
EPS Q2Q%11.11%
Revenue 1Y (TTM)3.36%
Revenue growth 3Y1.56%
Revenue growth 5Y0.97%
Sales Q2Q%-6.54%
3.2 Future
- Based on estimates for the next years, LXFR will show a quite strong growth in Earnings Per Share. The EPS will grow by 11.28% on average per year.
- Based on estimates for the next years, LXFR will show a small growth in Revenue. The Revenue will grow by 1.77% on average per year.
EPS Next Y16.11%
EPS Next 2Y13.16%
EPS Next 3Y11.28%
EPS Next 5YN/A
Revenue Next Year2.27%
Revenue Next 2Y0.67%
Revenue Next 3Y1.77%
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
- The Price/Earnings ratio is 13.76, which indicates a correct valuation of LXFR.
- Based on the Price/Earnings ratio, LXFR is valued cheaper than 90.15% of the companies in the same industry.
- LXFR is valuated rather cheaply when we compare the Price/Earnings ratio to 27.25, which is the current average of the S&P500 Index.
- LXFR is valuated correctly with a Price/Forward Earnings ratio of 12.58.
- Based on the Price/Forward Earnings ratio, LXFR is valued cheaper than 91.67% of the companies in the same industry.
- LXFR's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 25.98.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.76 | ||
| Fwd PE | 12.58 |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, LXFR is valued cheaply inside the industry as 87.88% of the companies are valued more expensively.
- LXFR's Price/Free Cash Flow ratio is rather cheap when compared to the industry. LXFR is cheaper than 91.67% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 11.14 | ||
| EV/EBITDA | 9.46 |
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.
PEG (NY)0.85
PEG (5Y)N/A
EPS Next 2Y13.16%
EPS Next 3Y11.28%
5. Dividend
5.1 Amount
- With a Yearly Dividend Yield of 3.30%, LXFR has a reasonable but not impressive dividend return.
- LXFR's Dividend Yield is rather good when compared to the industry average which is at 1.01. LXFR pays more dividend than 96.21% of the companies in the same industry.
- Compared to an average S&P500 Dividend Yield of 1.82, LXFR pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.3% |
5.2 History
- The dividend of LXFR has a limited annual growth rate of 1.53%.
- LXFR has been paying a dividend for at least 10 years, so it has a reliable track record.
- LXFR has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)1.53%
Div Incr Years0
Div Non Decr Years11
5.3 Sustainability
- LXFR pays out 97.90% of its income as dividend. This is not a sustainable payout ratio.
- The dividend of LXFR is growing, but earnings are growing more, so the dividend growth is sustainable.
DP97.9%
EPS Next 2Y13.16%
EPS Next 3Y11.28%
LUXFER HOLDINGS PLC / LXFR FAQ
What is the ChartMill fundamental rating of LUXFER HOLDINGS PLC (LXFR) stock?
ChartMill assigns a fundamental rating of 6 / 10 to LXFR.
Can you provide the valuation status for LUXFER HOLDINGS PLC?
ChartMill assigns a valuation rating of 7 / 10 to LUXFER HOLDINGS PLC (LXFR). This can be considered as Undervalued.
What is the profitability of LXFR stock?
LUXFER HOLDINGS PLC (LXFR) has a profitability rating of 5 / 10.
What is the valuation of LUXFER HOLDINGS PLC based on its PE and PB ratios?
The Price/Earnings (PE) ratio for LUXFER HOLDINGS PLC (LXFR) is 13.76 and the Price/Book (PB) ratio is 1.75.
Can you provide the financial health for LXFR stock?
The financial health rating of LUXFER HOLDINGS PLC (LXFR) is 6 / 10.