LAZARD INC (LAZ) Stock Fundamental Analysis
NYSE:LAZ - New York Stock Exchange, Inc. - US52110M1099 - Common Stock - Currency: USD
We assign a fundamental rating of 6 out of 10 to LAZ. LAZ was compared to 232 industry peers in the Capital Markets industry. LAZ has an average financial health and profitability rating. LAZ has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
In the past year LAZ was profitable.
In the past year LAZ had a positive cash flow from operations.
Of the past 5 years LAZ 4 years were profitable.
LAZ had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
With an excellent Return On Assets value of 7.02%, LAZ belongs to the best of the industry, outperforming 81.90% of the companies in the same industry.
LAZ has a better Return On Equity (49.27%) than 97.41% of its industry peers.
LAZ's Return On Invested Capital of 9.73% is amongst the best of the industry. LAZ outperforms 84.05% of its industry peers.
LAZ had an Average Return On Invested Capital over the past 3 years of 6.49%. This is in line with the industry average of 7.88%.
The last Return On Invested Capital (9.73%) for LAZ is above the 3 year average (6.49%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.02% | ||
| ROE | 49.27% | ||
| ROIC | 9.73% |
ROA(3y)3.33%
ROA(5y)4.77%
ROE(3y)29.09%
ROE(5y)36.77%
ROIC(3y)6.49%
ROIC(5y)7.55%
1.3 Margins
With a Profit Margin value of 9.83%, LAZ perfoms like the industry average, outperforming 40.09% of the companies in the same industry.
LAZ's Profit Margin has declined in the last couple of years.
LAZ's Operating Margin of 12.79% is on the low side compared to the rest of the industry. LAZ is outperformed by 68.53% of its industry peers.
LAZ's Operating Margin has declined in the last couple of years.
LAZ's Gross Margin of 93.52% is amongst the best of the industry. LAZ outperforms 93.97% of its industry peers.
LAZ's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 12.79% | ||
| PM (TTM) | 9.83% | ||
| GM | 93.52% |
OM growth 3Y-20.51%
OM growth 5Y-6.29%
PM growth 3Y-17.15%
PM growth 5Y-3.2%
GM growth 3Y0%
GM growth 5Y0.18%
2. Health
2.1 Basic Checks
LAZ has more shares outstanding than it did 1 year ago.
Compared to 5 years ago, LAZ has less shares outstanding
LAZ has a better debt/assets ratio than last year.
2.2 Solvency
LAZ has an Altman-Z score of 2.26. This is not the best score and indicates that LAZ is in the grey zone with still only limited risk for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 2.26, LAZ is in the better half of the industry, outperforming 71.12% of the companies in the same industry.
LAZ has a debt to FCF ratio of 3.75. This is a good value and a sign of high solvency as LAZ would need 3.75 years to pay back of all of its debts.
LAZ has a Debt to FCF ratio of 3.75. This is in the better half of the industry: LAZ outperforms 71.12% of its industry peers.
A Debt/Equity ratio of 3.50 is on the high side and indicates that LAZ has dependencies on debt financing.
LAZ has a worse Debt to Equity ratio (3.50) than 83.19% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 3.5 | ||
| Debt/FCF | 3.75 | ||
| Altman-Z | 2.26 |
ROIC/WACCN/A
WACCN/A
2.3 Liquidity
A Current Ratio of 1.14 indicates that LAZ should not have too much problems paying its short term obligations.
The Current ratio of LAZ (1.14) is comparable to the rest of the industry.
A Quick Ratio of 1.14 indicates that LAZ should not have too much problems paying its short term obligations.
With a Quick ratio value of 1.14, LAZ perfoms like the industry average, outperforming 51.72% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.14 | ||
| Quick Ratio | 1.14 |
3. Growth
3.1 Past
LAZ shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 34.94%, which is quite impressive.
LAZ shows a decrease in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -6.47% yearly.
Looking at the last year, LAZ shows a small growth in Revenue. The Revenue has grown by 6.66% in the last year.
LAZ shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 2.56% yearly.
EPS 1Y (TTM)34.94%
EPS 3Y-22.62%
EPS 5Y-6.47%
EPS Q2Q%-15.15%
Revenue 1Y (TTM)6.66%
Revenue growth 3Y-2.59%
Revenue growth 5Y2.56%
Sales Q2Q%-13.85%
3.2 Future
LAZ is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 26.38% yearly.
The Revenue is expected to grow by 8.61% on average over the next years. This is quite good.
EPS Next Y-3.5%
EPS Next 2Y27.12%
EPS Next 3Y26.38%
EPS Next 5YN/A
Revenue Next Year3.04%
Revenue Next 2Y8.6%
Revenue Next 3Y8.61%
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.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 19.26, LAZ is valued on the expensive side.
LAZ's Price/Earnings is on the same level as the industry average.
LAZ is valuated rather cheaply when we compare the Price/Earnings ratio to 26.31, which is the current average of the S&P500 Index.
Based on the Price/Forward Earnings ratio of 11.41, the valuation of LAZ can be described as reasonable.
Compared to the rest of the industry, the Price/Forward Earnings ratio of LAZ indicates a somewhat cheap valuation: LAZ is cheaper than 62.50% of the companies listed in the same industry.
LAZ is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 22.13, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.26 | ||
| Fwd PE | 11.41 |
4.2 Price Multiples
LAZ's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. LAZ is cheaper than 85.34% of the companies in the same industry.
78.88% of the companies in the same industry are more expensive than LAZ, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 7.22 | ||
| EV/EBITDA | 11.27 |
4.3 Compensation for Growth
The decent profitability rating of LAZ may justify a higher PE ratio.
A more expensive valuation may be justified as LAZ's earnings are expected to grow with 26.38% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y27.12%
EPS Next 3Y26.38%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 4.52%, LAZ is a good candidate for dividend investing.
LAZ's Dividend Yield is comparable with the industry average which is at 7.98.
LAZ's Dividend Yield is rather good when compared to the S&P500 average which is at 2.40.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.52% |
5.2 History
The dividend of LAZ decreases each year by -2.47%.
LAZ has been paying a dividend for at least 10 years, so it has a reliable track record.
LAZ has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)-2.47%
Div Incr Years0
Div Non Decr Years11
5.3 Sustainability
LAZ pays out 60.67% of its income as dividend. This is not a sustainable payout ratio.
DP60.67%
EPS Next 2Y27.12%
EPS Next 3Y26.38%
43.14
-1.06 (-2.4%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryCapital Markets
Earnings (Last)
Earnings (Next)
Inst Owners94.96%
Inst Owner Change8.51%
Ins Owners1.41%
Ins Owner Change5.25%
Market Cap4.06B
Analysts68.57
Price Target43.42 (0.65%)
Short Float %4.64%
Short Ratio3.53
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.52% |
Yearly Dividend2.01
Dividend Growth(5Y)-2.47%
DP60.67%
Div Incr Years0
Div Non Decr Years11
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)43.13%
Min EPS beat(2)39.78%
Max EPS beat(2)46.49%
EPS beat(4)3
Avg EPS beat(4)32.41%
Min EPS beat(4)-4.93%
Max EPS beat(4)48.31%
EPS beat(8)6
Avg EPS beat(8)38.91%
EPS beat(12)8
Avg EPS beat(12)10.83%
EPS beat(16)12
Avg EPS beat(16)14.15%
Revenue beat(2)1
Avg Revenue beat(2)0.38%
Min Revenue beat(2)-4.17%
Max Revenue beat(2)4.92%
Revenue beat(4)2
Avg Revenue beat(4)1.24%
Min Revenue beat(4)-4.17%
Max Revenue beat(4)6.12%
Revenue beat(8)5
Avg Revenue beat(8)3.15%
Revenue beat(12)7
Avg Revenue beat(12)3.28%
Revenue beat(16)11
Avg Revenue beat(16)5.63%
PT rev (1m)2.76%
PT rev (3m)-24.56%
EPS NQ rev (1m)-3.12%
EPS NQ rev (3m)-53.93%
EPS NY rev (1m)-16.53%
EPS NY rev (3m)-38.33%
Revenue NQ rev (1m)0.83%
Revenue NQ rev (3m)-10.77%
Revenue NY rev (1m)0.34%
Revenue NY rev (3m)-8.67%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.26 | ||
| Fwd PE | 11.41 | ||
| P/S | 1.34 | ||
| P/FCF | 7.22 | ||
| P/OCF | 6.6 | ||
| P/B | 6.74 | ||
| P/tB | 19.44 | ||
| EV/EBITDA | 11.27 |
EPS(TTM)2.24
EY5.19%
EPS(NY)3.78
Fwd EY8.77%
FCF(TTM)5.98
FCFY13.85%
OCF(TTM)6.54
OCFY15.15%
SpS32.11
BVpS6.4
TBVpS2.22
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.02% | ||
| ROE | 49.27% | ||
| ROCE | 14.82% | ||
| ROIC | 9.73% | ||
| ROICexc | 16.16% | ||
| ROICexgc | 27.7% | ||
| OM | 12.79% | ||
| PM (TTM) | 9.83% | ||
| GM | 93.52% | ||
| FCFM | 18.61% |
ROA(3y)3.33%
ROA(5y)4.77%
ROE(3y)29.09%
ROE(5y)36.77%
ROIC(3y)6.49%
ROIC(5y)7.55%
ROICexc(3y)12%
ROICexc(5y)15.18%
ROICexgc(3y)16.01%
ROICexgc(5y)19.68%
ROCE(3y)10.39%
ROCE(5y)12.97%
ROICexcg growth 3Y-5.07%
ROICexcg growth 5Y-1.07%
ROICexc growth 3Y-9.8%
ROICexc growth 5Y-2.23%
OM growth 3Y-20.51%
OM growth 5Y-6.29%
PM growth 3Y-17.15%
PM growth 5Y-3.2%
GM growth 3Y0%
GM growth 5Y0.18%
F-Score8
Asset Turnover0.71
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 3.5 | ||
| Debt/FCF | 3.75 | ||
| Debt/EBITDA | 5 | ||
| Cap/Depr | 148.37% | ||
| Cap/Sales | 1.74% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 145.72% | ||
| Profit Quality | 189.35% | ||
| Current Ratio | 1.14 | ||
| Quick Ratio | 1.14 | ||
| Altman-Z | 2.26 |
F-Score8
WACCN/A
ROIC/WACCN/A
Cap/Depr(3y)102.56%
Cap/Depr(5y)117.06%
Cap/Sales(3y)1.44%
Cap/Sales(5y)1.59%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)34.94%
EPS 3Y-22.62%
EPS 5Y-6.47%
EPS Q2Q%-15.15%
EPS Next Y-3.5%
EPS Next 2Y27.12%
EPS Next 3Y26.38%
EPS Next 5YN/A
Revenue 1Y (TTM)6.66%
Revenue growth 3Y-2.59%
Revenue growth 5Y2.56%
Sales Q2Q%-13.85%
Revenue Next Year3.04%
Revenue Next 2Y8.6%
Revenue Next 3Y8.61%
Revenue Next 5YN/A
EBIT growth 1Y62.74%
EBIT growth 3Y-22.57%
EBIT growth 5Y-3.9%
EBIT Next Year5.67%
EBIT Next 3Y17.52%
EBIT Next 5YN/A
FCF growth 1Y-5.53%
FCF growth 3Y-5.5%
FCF growth 5Y1.88%
OCF growth 1Y-3.27%
OCF growth 3Y-4.99%
OCF growth 5Y1.84%