LAMAR ADVERTISING CO-A (LAMR) Stock Fundamental Analysis
NASDAQ:LAMR - Nasdaq - US5128161099 - REIT - Currency: USD
Taking everything into account, LAMR scores 5 out of 10 in our fundamental rating. LAMR was compared to 30 industry peers in the Specialized REITs industry. LAMR has a medium profitability rating, but doesn't score so well on its financial health evaluation. LAMR is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
LAMR had positive earnings in the past year.
LAMR had a positive operating cash flow in the past year.
LAMR had positive earnings in each of the past 5 years.
Each year in the past 5 years LAMR had a positive operating cash flow.
1.2 Ratios
LAMR has a better Return On Assets (6.45%) than 86.67% of its industry peers.
The Return On Equity of LAMR (40.98%) is better than 96.67% of its industry peers.
LAMR has a better Return On Invested Capital (7.11%) than 80.00% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for LAMR is above the industry average of 5.28%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.45% | ||
| ROE | 40.98% | ||
| ROIC | 7.11% |
ROA(3y)6.6%
ROA(5y)6.08%
ROE(3y)37.3%
ROE(5y)32.79%
ROIC(3y)7.98%
ROIC(5y)7.52%
1.3 Margins
The Profit Margin of LAMR (19.06%) is better than 63.33% of its industry peers.
In the last couple of years the Profit Margin of LAMR has declined.
The Operating Margin of LAMR (23.71%) is worse than 66.67% of its industry peers.
LAMR's Operating Margin has declined in the last couple of years.
Looking at the Gross Margin, with a value of 81.47%, LAMR is in the better half of the industry, outperforming 73.33% of the companies in the same industry.
LAMR's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 23.71% | ||
| PM (TTM) | 19.06% | ||
| GM | 81.47% |
OM growth 3Y-6.38%
OM growth 5Y-3.92%
PM growth 3Y-8.94%
PM growth 5Y-5.03%
GM growth 3Y-1%
GM growth 5Y-1.65%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), LAMR is destroying value.
LAMR has more shares outstanding than it did 1 year ago.
Compared to 5 years ago, LAMR has more shares outstanding
The debt/assets ratio for LAMR has been reduced compared to a year ago.
2.2 Solvency
LAMR has an Altman-Z score of 1.72. This is a bad value and indicates that LAMR is not financially healthy and even has some risk of bankruptcy.
Looking at the Altman-Z score, with a value of 1.72, LAMR belongs to the top of the industry, outperforming 83.33% of the companies in the same industry.
The Debt to FCF ratio of LAMR is 4.19, which is a neutral value as it means it would take LAMR, 4.19 years of fcf income to pay off all of its debts.
LAMR has a better Debt to FCF ratio (4.19) than 96.67% of its industry peers.
LAMR has a Debt/Equity ratio of 2.89. This is a high value indicating a heavy dependency on external financing.
LAMR has a worse Debt to Equity ratio (2.89) than 66.67% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.89 | ||
| Debt/FCF | 4.19 | ||
| Altman-Z | 1.72 |
ROIC/WACC0.89
WACC8.01%
2.3 Liquidity
LAMR has a Current Ratio of 0.57. This is a bad value and indicates that LAMR is not financially healthy enough and could expect problems in meeting its short term obligations.
Looking at the Current ratio, with a value of 0.57, LAMR is in line with its industry, outperforming 46.67% of the companies in the same industry.
LAMR has a Quick Ratio of 0.57. This is a bad value and indicates that LAMR is not financially healthy enough and could expect problems in meeting its short term obligations.
LAMR has a Quick ratio (0.57) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.57 | ||
| Quick Ratio | 0.57 |
3. Growth
3.1 Past
The earnings per share for LAMR have decreased strongly by -15.40% in the last year.
LAMR shows a decrease in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -0.56% yearly.
LAMR shows a small growth in Revenue. In the last year, the Revenue has grown by 3.58%.
LAMR shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 4.71% yearly.
EPS 1Y (TTM)-15.4%
EPS 3Y-2.6%
EPS 5Y-0.56%
EPS Q2Q%77.63%
Revenue 1Y (TTM)3.58%
Revenue growth 3Y7.28%
Revenue growth 5Y4.71%
Sales Q2Q%1.46%
3.2 Future
LAMR is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 23.14% yearly.
Based on estimates for the next years, LAMR will show a small growth in Revenue. The Revenue will grow by 3.50% on average per year.
EPS Next Y69.59%
EPS Next 2Y29.65%
EPS Next 3Y23.14%
EPS Next 5YN/A
Revenue Next Year2.84%
Revenue Next 2Y3.19%
Revenue Next 3Y3.5%
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 decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 30.44 indicates a quite expensive valuation of LAMR.
LAMR's Price/Earnings ratio is a bit cheaper when compared to the industry. LAMR is cheaper than 66.67% of the companies in the same industry.
When comparing the Price/Earnings ratio of LAMR to the average of the S&P500 Index (28.04), we can say LAMR is valued inline with the index average.
A Price/Forward Earnings ratio of 21.14 indicates a rather expensive valuation of LAMR.
Based on the Price/Forward Earnings ratio, LAMR is valued cheaply inside the industry as 83.33% of the companies are valued more expensively.
LAMR is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 37.64, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 30.44 | ||
| Fwd PE | 21.14 |
4.2 Price Multiples
70.00% of the companies in the same industry are more expensive than LAMR, based on the Enterprise Value to EBITDA ratio.
Based on the Price/Free Cash Flow ratio, LAMR is valued cheaper than 83.33% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 16.78 | ||
| EV/EBITDA | 16.16 |
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.
LAMR has a very decent profitability rating, which may justify a higher PE ratio.
A more expensive valuation may be justified as LAMR's earnings are expected to grow with 23.14% in the coming years.
PEG (NY)0.44
PEG (5Y)N/A
EPS Next 2Y29.65%
EPS Next 3Y23.14%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 4.96%, LAMR is a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 5.63, LAMR has a dividend in line with its industry peers.
LAMR's Dividend Yield is rather good when compared to the S&P500 average which is at 2.31.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.96% |
5.2 History
The dividend of LAMR is nicely growing with an annual growth rate of 8.03%!
LAMR has been paying a dividend for at least 10 years, so it has a reliable track record.
LAMR has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)8.03%
Div Incr Years1
Div Non Decr Years4
5.3 Sustainability
143.41% of the earnings are spent on dividend by LAMR. This is not a sustainable payout ratio.
LAMR's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP143.41%
EPS Next 2Y29.65%
EPS Next 3Y23.14%
125.42
+0.44 (+0.35%)
Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustrySpecialized REITs
Earnings (Last)
Earnings (Next)
Inst Owners98.59%
Inst Owner Change-0.02%
Ins Owners0.78%
Ins Owner Change0.71%
Market Cap12.84B
Analysts75.38
Price Target132.85 (5.92%)
Short Float %5.92%
Short Ratio8.72
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.96% |
Yearly Dividend5.67
Dividend Growth(5Y)8.03%
DP143.41%
Div Incr Years1
Div Non Decr Years4
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-52.11%
Min EPS beat(2)-100.67%
Max EPS beat(2)-3.55%
EPS beat(4)0
Avg EPS beat(4)-27.77%
Min EPS beat(4)-100.67%
Max EPS beat(4)-2.79%
EPS beat(8)1
Avg EPS beat(8)-15.87%
EPS beat(12)3
Avg EPS beat(12)-15.44%
EPS beat(16)6
Avg EPS beat(16)-8.59%
Revenue beat(2)0
Avg Revenue beat(2)-2.59%
Min Revenue beat(2)-2.61%
Max Revenue beat(2)-2.57%
Revenue beat(4)0
Avg Revenue beat(4)-3.49%
Min Revenue beat(4)-6.86%
Max Revenue beat(4)-1.92%
Revenue beat(8)0
Avg Revenue beat(8)-2.2%
Revenue beat(12)1
Avg Revenue beat(12)-1.55%
Revenue beat(16)5
Avg Revenue beat(16)-0.54%
PT rev (1m)0%
PT rev (3m)-0.38%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-3.04%
EPS NY rev (1m)0%
EPS NY rev (3m)2.91%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-0.99%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.7%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 30.44 | ||
| Fwd PE | 21.14 | ||
| P/S | 5.8 | ||
| P/FCF | 16.78 | ||
| P/OCF | 14.42 | ||
| P/B | 12.47 | ||
| P/tB | N/A | ||
| EV/EBITDA | 16.16 |
EPS(TTM)4.12
EY3.28%
EPS(NY)5.93
Fwd EY4.73%
FCF(TTM)7.47
FCFY5.96%
OCF(TTM)8.7
OCFY6.94%
SpS21.63
BVpS10.06
TBVpS-20.04
PEG (NY)0.44
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.45% | ||
| ROE | 40.98% | ||
| ROCE | 9.01% | ||
| ROIC | 7.11% | ||
| ROICexc | 7.16% | ||
| ROICexgc | 15.29% | ||
| OM | 23.71% | ||
| PM (TTM) | 19.06% | ||
| GM | 81.47% | ||
| FCFM | 34.55% |
ROA(3y)6.6%
ROA(5y)6.08%
ROE(3y)37.3%
ROE(5y)32.79%
ROIC(3y)7.98%
ROIC(5y)7.52%
ROICexc(3y)8.04%
ROICexc(5y)7.62%
ROICexgc(3y)18.03%
ROICexgc(5y)17.14%
ROCE(3y)10.1%
ROCE(5y)9.52%
ROICexcg growth 3Y-4.28%
ROICexcg growth 5Y-1.97%
ROICexc growth 3Y-2.39%
ROICexc growth 5Y-1.27%
OM growth 3Y-6.38%
OM growth 5Y-3.92%
PM growth 3Y-8.94%
PM growth 5Y-5.03%
GM growth 3Y-1%
GM growth 5Y-1.65%
F-Score6
Asset Turnover0.34
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.89 | ||
| Debt/FCF | 4.19 | ||
| Debt/EBITDA | 3.01 | ||
| Cap/Depr | 27% | ||
| Cap/Sales | 5.68% | ||
| Interest Coverage | 3.28 | ||
| Cash Conversion | 89.93% | ||
| Profit Quality | 181.29% | ||
| Current Ratio | 0.57 | ||
| Quick Ratio | 0.57 | ||
| Altman-Z | 1.72 |
F-Score6
WACC8.01%
ROIC/WACC0.89
Cap/Depr(3y)45.21%
Cap/Depr(5y)41.38%
Cap/Sales(3y)7.45%
Cap/Sales(5y)6.67%
Profit Quality(3y)156.47%
Profit Quality(5y)167.04%
High Growth Momentum
Growth
EPS 1Y (TTM)-15.4%
EPS 3Y-2.6%
EPS 5Y-0.56%
EPS Q2Q%77.63%
EPS Next Y69.59%
EPS Next 2Y29.65%
EPS Next 3Y23.14%
EPS Next 5YN/A
Revenue 1Y (TTM)3.58%
Revenue growth 3Y7.28%
Revenue growth 5Y4.71%
Sales Q2Q%1.46%
Revenue Next Year2.84%
Revenue Next 2Y3.19%
Revenue Next 3Y3.5%
Revenue Next 5YN/A
EBIT growth 1Y-22.36%
EBIT growth 3Y0.44%
EBIT growth 5Y0.6%
EBIT Next Year51.16%
EBIT Next 3Y18.25%
EBIT Next 5YN/A
FCF growth 1Y25.9%
FCF growth 3Y7.15%
FCF growth 5Y8.84%
OCF growth 1Y13%
OCF growth 3Y5.96%
OCF growth 5Y6.73%