LSI INDUSTRIES INC (LYTS) Stock Fundamental Analysis
NASDAQ:LYTS - Nasdaq - US50216C1080 - Common Stock - Currency: USD
We assign a fundamental rating of 6 out of 10 to LYTS. LYTS was compared to 93 industry peers in the Electrical Equipment industry. While LYTS belongs to the best of the industry regarding profitability, there are some minor concerns on its financial health. LYTS has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
In the past year LYTS was profitable.
In the past year LYTS had a positive cash flow from operations.
Each year in the past 5 years LYTS has been profitable.
Of the past 5 years LYTS 4 years had a positive operating cash flow.
1.2 Ratios
LYTS has a Return On Assets of 6.76%. This is amongst the best in the industry. LYTS outperforms 86.81% of its industry peers.
The Return On Equity of LYTS (11.19%) is better than 84.62% of its industry peers.
Looking at the Return On Invested Capital, with a value of 9.57%, LYTS belongs to the top of the industry, outperforming 85.71% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for LYTS is in line with the industry average of 10.46%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.76% | ||
| ROE | 11.19% | ||
| ROIC | 9.57% |
ROA(3y)6.9%
ROA(5y)5.66%
ROE(3y)12.3%
ROE(5y)9.81%
ROIC(3y)10.1%
ROIC(5y)7.28%
1.3 Margins
With a decent Profit Margin value of 4.88%, LYTS is doing good in the industry, outperforming 76.92% of the companies in the same industry.
In the last couple of years the Profit Margin of LYTS has grown nicely.
With a decent Operating Margin value of 6.97%, LYTS is doing good in the industry, outperforming 74.73% of the companies in the same industry.
LYTS's Operating Margin has improved in the last couple of years.
LYTS's Gross Margin of 26.92% is fine compared to the rest of the industry. LYTS outperforms 61.54% of its industry peers.
In the last couple of years the Gross Margin of LYTS has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 6.97% | ||
| PM (TTM) | 4.88% | ||
| GM | 26.92% |
OM growth 3Y44.69%
OM growth 5Y55.25%
PM growth 3Y41.69%
PM growth 5YN/A
GM growth 3Y4.38%
GM growth 5Y4.48%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), LYTS is destroying value.
The number of shares outstanding for LYTS has been increased compared to 1 year ago.
The number of shares outstanding for LYTS has been increased compared to 5 years ago.
LYTS has a worse debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 4.78 indicates that LYTS is not in any danger for bankruptcy at the moment.
LYTS has a better Altman-Z score (4.78) than 83.52% of its industry peers.
LYTS has a debt to FCF ratio of 1.22. This is a very positive value and a sign of high solvency as it would only need 1.22 years to pay back of all of its debts.
With an excellent Debt to FCF ratio value of 1.22, LYTS belongs to the best of the industry, outperforming 89.01% of the companies in the same industry.
A Debt/Equity ratio of 0.21 indicates that LYTS is not too dependend on debt financing.
With a Debt to Equity ratio value of 0.21, LYTS perfoms like the industry average, outperforming 51.65% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.21 | ||
| Debt/FCF | 1.22 | ||
| Altman-Z | 4.78 |
ROIC/WACC0.9
WACC10.66%
2.3 Liquidity
LYTS has a Current Ratio of 2.08. This indicates that LYTS is financially healthy and has no problem in meeting its short term obligations.
The Current ratio of LYTS (2.08) is comparable to the rest of the industry.
LYTS has a Quick Ratio of 1.19. This is a normal value and indicates that LYTS is financially healthy and should not expect problems in meeting its short term obligations.
The Quick ratio of LYTS (1.19) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.08 | ||
| Quick Ratio | 1.19 |
3. Growth
3.1 Past
LYTS shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -11.54%.
Measured over the past years, LYTS shows a very strong growth in Earnings Per Share. The EPS has been growing by 99.58% on average per year.
Looking at the last year, LYTS shows a decrease in Revenue. The Revenue has decreased by -1.83% in the last year.
LYTS shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 7.38% yearly.
EPS 1Y (TTM)-11.54%
EPS 3Y38.19%
EPS 5Y99.58%
EPS Q2Q%-10.34%
Revenue 1Y (TTM)-1.83%
Revenue growth 3Y14.17%
Revenue growth 5Y7.38%
Sales Q2Q%11.88%
3.2 Future
Based on estimates for the next years, LYTS will show a quite strong growth in Earnings Per Share. The EPS will grow by 9.26% on average per year.
The Revenue is expected to grow by 8.38% on average over the next years. This is quite good.
EPS Next Y6.29%
EPS Next 2Y18.14%
EPS Next 3Y11.18%
EPS Next 5Y9.26%
Revenue Next Year15.4%
Revenue Next 2Y12.44%
Revenue Next 3Y10.48%
Revenue Next 5Y8.38%
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 stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 26.87, which means the current valuation is very expensive for LYTS.
Based on the Price/Earnings ratio, LYTS is valued cheaply inside the industry as 81.32% of the companies are valued more expensively.
LYTS is valuated at similar levels of the S&P average when we compare the Price/Earnings ratio to 28.64, which is the current average of the S&P500 Index.
A Price/Forward Earnings ratio of 18.64 indicates a rather expensive valuation of LYTS.
Compared to the rest of the industry, the Price/Forward Earnings ratio of LYTS indicates a rather cheap valuation: LYTS is cheaper than 84.62% of the companies listed in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 24.51, LYTS is valued a bit cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 26.87 | ||
| Fwd PE | 18.64 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, LYTS is valued cheaper than 81.32% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, LYTS is valued cheaply inside the industry as 86.81% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 18.49 | ||
| EV/EBITDA | 14.25 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
LYTS has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)4.27
PEG (5Y)0.27
EPS Next 2Y18.14%
EPS Next 3Y11.18%
5. Dividend
5.1 Amount
LYTS has a Yearly Dividend Yield of 1.04%.
LYTS's Dividend Yield is rather good when compared to the industry average which is at 3.40. LYTS pays more dividend than 86.81% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.28, LYTS's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.04% |
5.2 History
The dividend of LYTS decreases each year by -0.17%.
LYTS has been paying a dividend for at least 10 years, so it has a reliable track record.
LYTS has decreased its dividend recently.
Dividend Growth(5Y)-0.17%
Div Incr Years0
Div Non Decr Years1
5.3 Sustainability
LYTS pays out 24.70% of its income as dividend. This is a sustainable payout ratio.
DP24.7%
EPS Next 2Y18.14%
EPS Next 3Y11.18%
LSI INDUSTRIES INC
NASDAQ:LYTS (1/23/2025, 7:31:56 PM)
After market: 25.55 +0.83 (+3.36%)24.72
+4.94 (+24.97%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryElectrical Equipment
Earnings (Last)
Earnings (Next)
Inst Owners73.16%
Inst Owner Change0.03%
Ins Owners6.1%
Ins Owner Change-6.72%
Market Cap737.64M
Analysts82.22
Price Target23.12 (-6.47%)
Short Float %1.65%
Short Ratio3.48
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.04% |
Yearly Dividend0.2
Dividend Growth(5Y)-0.17%
DP24.7%
Div Incr Years0
Div Non Decr Years1
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)8.93%
Min EPS beat(2)4.58%
Max EPS beat(2)13.29%
EPS beat(4)4
Avg EPS beat(4)17.08%
Min EPS beat(4)4.58%
Max EPS beat(4)32.83%
EPS beat(8)8
Avg EPS beat(8)27.87%
EPS beat(12)12
Avg EPS beat(12)49.41%
EPS beat(16)14
Avg EPS beat(16)48.21%
Revenue beat(2)1
Avg Revenue beat(2)-0.01%
Min Revenue beat(2)-0.4%
Max Revenue beat(2)0.39%
Revenue beat(4)2
Avg Revenue beat(4)-1.59%
Min Revenue beat(4)-6.8%
Max Revenue beat(4)0.47%
Revenue beat(8)5
Avg Revenue beat(8)0.72%
Revenue beat(12)9
Avg Revenue beat(12)4.38%
Revenue beat(16)11
Avg Revenue beat(16)4.32%
PT rev (1m)0%
PT rev (3m)15.25%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-11.11%
EPS NY rev (1m)0%
EPS NY rev (3m)6.45%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-5.32%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.87%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 26.87 | ||
| Fwd PE | 18.64 | ||
| P/S | 1.52 | ||
| P/FCF | 18.49 | ||
| P/OCF | 16.52 | ||
| P/B | 3.49 | ||
| P/tB | 9.08 | ||
| EV/EBITDA | 14.25 |
EPS(TTM)0.92
EY3.72%
EPS(NY)1.33
Fwd EY5.36%
FCF(TTM)1.34
FCFY5.41%
OCF(TTM)1.5
OCFY6.05%
SpS16.23
BVpS7.08
TBVpS2.72
PEG (NY)4.27
PEG (5Y)0.27
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.76% | ||
| ROE | 11.19% | ||
| ROCE | 12.53% | ||
| ROIC | 9.57% | ||
| ROICexc | 9.82% | ||
| ROICexgc | 19.45% | ||
| OM | 6.97% | ||
| PM (TTM) | 4.88% | ||
| GM | 26.92% | ||
| FCFM | 8.24% |
ROA(3y)6.9%
ROA(5y)5.66%
ROE(3y)12.3%
ROE(5y)9.81%
ROIC(3y)10.1%
ROIC(5y)7.28%
ROICexc(3y)10.21%
ROICexc(5y)7.37%
ROICexgc(3y)20.19%
ROICexgc(5y)14.33%
ROCE(3y)13.23%
ROCE(5y)9.54%
ROICexcg growth 3Y48.25%
ROICexcg growth 5Y62.26%
ROICexc growth 3Y53.63%
ROICexc growth 5Y50.69%
OM growth 3Y44.69%
OM growth 5Y55.25%
PM growth 3Y41.69%
PM growth 5YN/A
GM growth 3Y4.38%
GM growth 5Y4.48%
F-Score4
Asset Turnover1.39
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.21 | ||
| Debt/FCF | 1.22 | ||
| Debt/EBITDA | 1.01 | ||
| Cap/Depr | 45.01% | ||
| Cap/Sales | 0.98% | ||
| Interest Coverage | 15.2 | ||
| Cash Conversion | 100.7% | ||
| Profit Quality | 168.81% | ||
| Current Ratio | 2.08 | ||
| Quick Ratio | 1.19 | ||
| Altman-Z | 4.78 |
F-Score4
WACC10.66%
ROIC/WACC0.9
Cap/Depr(3y)36.02%
Cap/Depr(5y)33.45%
Cap/Sales(3y)0.75%
Cap/Sales(5y)0.77%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-11.54%
EPS 3Y38.19%
EPS 5Y99.58%
EPS Q2Q%-10.34%
EPS Next Y6.29%
EPS Next 2Y18.14%
EPS Next 3Y11.18%
EPS Next 5Y9.26%
Revenue 1Y (TTM)-1.83%
Revenue growth 3Y14.17%
Revenue growth 5Y7.38%
Sales Q2Q%11.88%
Revenue Next Year15.4%
Revenue Next 2Y12.44%
Revenue Next 3Y10.48%
Revenue Next 5Y8.38%
EBIT growth 1Y-13.19%
EBIT growth 3Y65.18%
EBIT growth 5Y66.71%
EBIT Next Year35.46%
EBIT Next 3Y23.75%
EBIT Next 5Y18.01%
FCF growth 1Y222.74%
FCF growth 3Y13.81%
FCF growth 5Y33.78%
OCF growth 1Y205.6%
OCF growth 3Y15.71%
OCF growth 5Y30.44%