LSB INDUSTRIES INC (LXU) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:LXU - US5021601043 - Common Stock
8.7 USD
-0.13 (-1.47%)
8.7 USD
0 (0%)
We assign a fundamental rating of 3 out of 10 to LXU. LXU was compared to 82 industry peers in the Chemicals industry. LXU has an average financial health and profitability rating. LXU is valied quite expensively at the moment, while it does show a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year LXU was profitable.
In the past year LXU had a positive cash flow from operations.
In multiple years LXU reported negative net income over the last 5 years.
Of the past 5 years LXU 4 years had a positive operating cash flow.
1.2 Ratios
LXU has a Return On Assets of -0.06%. This is comparable to the rest of the industry: LXU outperforms 52.44% of its industry peers.
LXU's Return On Equity of -0.13% is in line compared to the rest of the industry. LXU outperforms 52.44% of its industry peers.
The Return On Invested Capital of LXU (2.77%) is comparable to the rest of the industry.
The Average Return On Invested Capital over the past 3 years for LXU is in line with the industry average of 6.05%.
The 3 year average ROIC (7.85%) for LXU is well above the current ROIC(2.77%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.06% | ||
| ROE | -0.13% | ||
| ROIC | 2.77% |
ROA(3y)5.51%
ROA(5y)-2.47%
ROE(3y)15.37%
ROE(5y)-5.05%
ROIC(3y)7.85%
ROIC(5y)N/A
1.3 Margins
LXU has a Operating Margin (6.06%) which is in line with its industry peers.
In the last couple of years the Operating Margin of LXU has declined.
LXU's Gross Margin of 12.46% is on the low side compared to the rest of the industry. LXU is outperformed by 76.83% of its industry peers.
LXU's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 6.06% | ||
| PM (TTM) | N/A | ||
| GM | 12.46% |
OM growth 3Y-59.74%
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-28.46%
GM growth 5Y46.21%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so LXU is destroying value.
Compared to 1 year ago, LXU has less shares outstanding
Compared to 5 years ago, LXU has more shares outstanding
Compared to 1 year ago, LXU has an improved debt to assets ratio.
2.2 Solvency
LXU has an Altman-Z score of 1.64. This is a bad value and indicates that LXU is not financially healthy and even has some risk of bankruptcy.
LXU has a Altman-Z score of 1.64. This is in the lower half of the industry: LXU underperforms 60.98% of its industry peers.
LXU has a Debt/Equity ratio of 0.89. This is a neutral value indicating LXU is somewhat dependend on debt financing.
LXU has a Debt to Equity ratio of 0.89. This is in the lower half of the industry: LXU underperforms 60.98% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.89 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 1.64 |
ROIC/WACC0.32
WACC8.77%
2.3 Liquidity
LXU has a Current Ratio of 2.84. This indicates that LXU is financially healthy and has no problem in meeting its short term obligations.
With an excellent Current ratio value of 2.84, LXU belongs to the best of the industry, outperforming 80.49% of the companies in the same industry.
LXU has a Quick Ratio of 2.28. This indicates that LXU is financially healthy and has no problem in meeting its short term obligations.
The Quick ratio of LXU (2.28) is better than 84.15% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.84 | ||
| Quick Ratio | 2.28 |
3. Growth
3.1 Past
LXU shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 40.00%, which is quite impressive.
The Revenue has grown by 12.49% in the past year. This is quite good.
The Revenue has been growing slightly by 7.43% on average over the past years.
EPS 1Y (TTM)40%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%127.73%
Revenue 1Y (TTM)12.49%
Revenue growth 3Y-2.07%
Revenue growth 5Y7.43%
Sales Q2Q%42.31%
3.2 Future
LXU is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 1.25% yearly.
Based on estimates for the next years, LXU will show a small growth in Revenue. The Revenue will grow by 3.57% on average per year.
EPS Next Y-38.68%
EPS Next 2Y-22.85%
EPS Next 3Y-11.07%
EPS Next 5Y1.25%
Revenue Next Year19.77%
Revenue Next 2Y7.77%
Revenue Next 3Y7.46%
Revenue Next 5Y3.57%
3.3 Evolution
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
LXU is valuated rather expensively with a Price/Earnings ratio of 17.76.
Compared to the rest of the industry, the Price/Earnings ratio of LXU is on the same level as its industry peers.
LXU is valuated rather cheaply when we compare the Price/Earnings ratio to 26.34, which is the current average of the S&P500 Index.
Based on the Price/Forward Earnings ratio of 26.10, the valuation of LXU can be described as expensive.
Compared to the rest of the industry, the Price/Forward Earnings ratio of LXU is on the same level as its industry peers.
Compared to an average S&P500 Price/Forward Earnings ratio of 23.56, LXU is valued at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 17.76 | ||
| Fwd PE | 26.1 |
4.2 Price Multiples
79.27% of the companies in the same industry are more expensive than LXU, based on the Enterprise Value to EBITDA ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 6.81 |
4.3 Compensation for Growth
A cheap valuation may be justified as LXU's earnings are expected to decrease with -11.07% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-22.85%
EPS Next 3Y-11.07%
5. Dividend
5.1 Amount
LXU does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
8.7
-0.13 (-1.47%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryChemicals
Earnings (Last)
Earnings (Next)
Inst Owners60.74%
Inst Owner Change2.25%
Ins Owners4.13%
Ins Owner Change-0.22%
Market Cap625.88M
Revenue(TTM)585.07M
Net Income(TTM)-668.00K
Analysts75
Price Target10.07 (15.75%)
Short Float %2.85%
Short Ratio3.62
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly Dividend0
Dividend Growth(5Y)N/A
DP0%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)0.51%
Min EPS beat(2)-33.99%
Max EPS beat(2)35.01%
EPS beat(4)3
Avg EPS beat(4)51.48%
Min EPS beat(4)-33.99%
Max EPS beat(4)135.15%
EPS beat(8)6
Avg EPS beat(8)53.34%
EPS beat(12)8
Avg EPS beat(12)28.4%
EPS beat(16)10
Avg EPS beat(16)40.69%
Revenue beat(2)1
Avg Revenue beat(2)5.1%
Min Revenue beat(2)-4.79%
Max Revenue beat(2)14.99%
Revenue beat(4)3
Avg Revenue beat(4)7.5%
Min Revenue beat(4)-4.79%
Max Revenue beat(4)14.99%
Revenue beat(8)6
Avg Revenue beat(8)5.82%
Revenue beat(12)9
Avg Revenue beat(12)3.98%
Revenue beat(16)12
Avg Revenue beat(16)4.06%
PT rev (1m)12.06%
PT rev (3m)12.06%
EPS NQ rev (1m)40%
EPS NQ rev (3m)6.06%
EPS NY rev (1m)-9.74%
EPS NY rev (3m)-23.6%
Revenue NQ rev (1m)-9.34%
Revenue NQ rev (3m)-4.66%
Revenue NY rev (1m)3.43%
Revenue NY rev (3m)4.46%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 17.76 | ||
| Fwd PE | 26.1 | ||
| P/S | 1.07 | ||
| P/FCF | N/A | ||
| P/OCF | 7.67 | ||
| P/B | 1.24 | ||
| P/tB | 1.24 | ||
| EV/EBITDA | 6.81 |
EPS(TTM)0.49
EY5.63%
EPS(NY)0.33
Fwd EY3.83%
FCF(TTM)-0.04
FCFYN/A
OCF(TTM)1.13
OCFY13.03%
SpS8.13
BVpS7.01
TBVpS7
PEG (NY)N/A
PEG (5Y)N/A
Graham Number8.79
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.06% | ||
| ROE | -0.13% | ||
| ROCE | 3.36% | ||
| ROIC | 2.77% | ||
| ROICexc | 3.23% | ||
| ROICexgc | 3.23% | ||
| OM | 6.06% | ||
| PM (TTM) | N/A | ||
| GM | 12.46% | ||
| FCFM | N/A |
ROA(3y)5.51%
ROA(5y)-2.47%
ROE(3y)15.37%
ROE(5y)-5.05%
ROIC(3y)7.85%
ROIC(5y)N/A
ROICexc(3y)11.08%
ROICexc(5y)N/A
ROICexgc(3y)11.1%
ROICexgc(5y)N/A
ROCE(3y)9.64%
ROCE(5y)N/A
ROICexgc growth 3Y-59.46%
ROICexgc growth 5YN/A
ROICexc growth 3Y-59.42%
ROICexc growth 5YN/A
OM growth 3Y-59.74%
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-28.46%
GM growth 5Y46.21%
F-Score7
Asset Turnover0.51
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.89 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 3.83 | ||
| Cap/Depr | 103.35% | ||
| Cap/Sales | 14.45% | ||
| Interest Coverage | 1.15 | ||
| Cash Conversion | 69.57% | ||
| Profit Quality | N/A | ||
| Current Ratio | 2.84 | ||
| Quick Ratio | 2.28 | ||
| Altman-Z | 1.64 |
F-Score7
WACC8.77%
ROIC/WACC0.32
Cap/Depr(3y)96.58%
Cap/Depr(5y)76.59%
Cap/Sales(3y)11.38%
Cap/Sales(5y)9.83%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)40%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%127.73%
EPS Next Y-38.68%
EPS Next 2Y-22.85%
EPS Next 3Y-11.07%
EPS Next 5Y1.25%
Revenue 1Y (TTM)12.49%
Revenue growth 3Y-2.07%
Revenue growth 5Y7.43%
Sales Q2Q%42.31%
Revenue Next Year19.77%
Revenue Next 2Y7.77%
Revenue Next 3Y7.46%
Revenue Next 5Y3.57%
EBIT growth 1Y258.45%
EBIT growth 3Y-60.57%
EBIT growth 5YN/A
EBIT Next Year2325.63%
EBIT Next 3Y195.69%
EBIT Next 5Y92.24%
FCF growth 1Y-101.95%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-60.6%
OCF growth 3Y-0.4%
OCF growth 5Y110.4%
LSB INDUSTRIES INC / LXU FAQ
What is the fundamental rating for LXU stock?
ChartMill assigns a fundamental rating of 3 / 10 to LXU.
Can you provide the valuation status for LSB INDUSTRIES INC?
ChartMill assigns a valuation rating of 2 / 10 to LSB INDUSTRIES INC (LXU). This can be considered as Overvalued.
What is the profitability of LXU stock?
LSB INDUSTRIES INC (LXU) has a profitability rating of 4 / 10.
Can you provide the PE and PB ratios for LXU stock?
The Price/Earnings (PE) ratio for LSB INDUSTRIES INC (LXU) is 17.76 and the Price/Book (PB) ratio is 1.24.
How financially healthy is LSB INDUSTRIES INC?
The financial health rating of LSB INDUSTRIES INC (LXU) is 4 / 10.