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LAURENTIAN BANK OF CANADA (LB.CA) Stock Fundamental Analysis

TSX:LB - Toronto Stock Exchange - CA51925D1069 - Common Stock - Currency: CAD

27.86  +0.07 (+0.25%)

Fundamental Rating

2

LB gets a fundamental rating of 2 out of 10. The analysis compared the fundamentals against 31 industry peers in the Banks industry. Both the profitability and financial health of LB have multiple concerns. LB is valued expensive and it does not seem to be growing.


Dividend Valuation Growth Profitability Health

2

1. Profitability

1.1 Basic Checks

LB had positive earnings in the past year.
LB had a positive operating cash flow in the past year.
LB had positive earnings in 4 of the past 5 years.
LB had a positive operating cash flow in 4 of the past 5 years.
LB.CA Yearly Net Income VS EBIT VS OCF VS FCFLB.CA Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 500M -500M 1B

1.2 Ratios

LB has a worse Return On Assets (-0.04%) than 96.77% of its industry peers.
With a Return On Equity value of -0.63%, LB is not doing good in the industry: 96.77% of the companies in the same industry are doing better.
Industry RankSector Rank
ROA -0.04%
ROE -0.63%
ROIC N/A
ROA(3y)0.24%
ROA(5y)0.21%
ROE(3y)4.34%
ROE(5y)3.72%
ROIC(3y)N/A
ROIC(5y)N/A
LB.CA Yearly ROA, ROE, ROICLB.CA Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 2 4 6 8

1.3 Margins

LB does not have Profit Margin and Operating Margin and Gross Margin available, so we won't be analyzing them here.
Industry RankSector Rank
OM N/A
PM (TTM) N/A
GM N/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3YN/A
GM growth 5YN/A
LB.CA Yearly Profit, Operating, Gross MarginsLB.CA Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 5 10 15 20

0

2. Health

2.1 Basic Checks

LB does not have a ROIC to compare to the WACC, probably because it is not profitable.
Compared to 1 year ago, LB has more shares outstanding
LB has more shares outstanding than it did 5 years ago.
Compared to 1 year ago, LB has a worse debt to assets ratio.
LB.CA Yearly Shares OutstandingLB.CA Yearly Shares OutstandingYearly Shares Outstanding 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 10M 20M 30M 40M
LB.CA Yearly Total Debt VS Total AssetsLB.CA Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 10B 20B 30B 40B 50B

2.2 Solvency

LB has a debt to FCF ratio of 122.07. This is a negative value and a sign of low solvency as LB would need 122.07 years to pay back of all of its debts.
LB has a Debt to FCF ratio of 122.07. This is amonst the worse of the industry: LB underperforms 93.55% of its industry peers.
A Debt/Equity ratio of 6.09 is on the high side and indicates that LB has dependencies on debt financing.
The Debt to Equity ratio of LB (6.09) is worse than 96.77% of its industry peers.
Industry RankSector Rank
Debt/Equity 6.09
Debt/FCF 122.07
Altman-Z N/A
ROIC/WACCN/A
WACC7.26%
LB.CA Yearly LT Debt VS Equity VS FCFLB.CA Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 5B 10B

2.3 Liquidity

Industry RankSector Rank
Current Ratio N/A
Quick Ratio N/A
LB.CA Yearly Current Assets VS Current LiabilitesLB.CA Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2B 4B 6B 8B

3

3. Growth

3.1 Past

LB shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -20.97%.
Measured over the past years, LB shows a decrease in Earnings Per Share. The EPS has been decreasing by -3.42% on average per year.
The Revenue has decreased by -0.71% in the past year.
Measured over the past years, LB shows a small growth in Revenue. The Revenue has been growing by 1.01% on average per year.
EPS 1Y (TTM)-20.97%
EPS 3Y-7.82%
EPS 5Y-3.42%
EPS Q2Q%-11%
Revenue 1Y (TTM)-0.71%
Revenue growth 3Y0.52%
Revenue growth 5Y1.01%
Sales Q2Q%1.34%

3.2 Future

Based on estimates for the next years, LB will show a small growth in Earnings Per Share. The EPS will grow by 5.97% on average per year.
LB is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 1.23% yearly.
EPS Next Y1.02%
EPS Next 2Y5.97%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year-2.29%
Revenue Next 2Y1.23%
Revenue Next 3YN/A
Revenue Next 5YN/A

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 accelerating.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
LB.CA Yearly Revenue VS EstimatesLB.CA Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 200M 400M 600M 800M 1B
LB.CA Yearly EPS VS EstimatesLB.CA Yearly EPS VS EstimatesYearly EPS VS Estimates 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2 4 6

3

4. Valuation

4.1 Price/Earnings Ratio

Based on the Price/Earnings ratio of 7.78, the valuation of LB can be described as very cheap.
LB's Price/Earnings ratio is a bit more expensive when compared to the industry. LB is more expensive than 64.52% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 30.43. LB is valued rather cheaply when compared to this.
With a Price/Forward Earnings ratio of 7.70, the valuation of LB can be described as very cheap.
Based on the Price/Forward Earnings ratio, LB is valued a bit more expensive than 67.74% of the companies in the same industry.
LB's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 23.78.
Industry RankSector Rank
PE 7.78
Fwd PE 7.7
LB.CA Price Earnings VS Forward Price EarningsLB.CA Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 10 20 30

4.2 Price Multiples

Compared to the rest of the industry, the Price/Free Cash Flow ratio of LB indicates a rather expensive valuation: LB more expensive than 83.87% of the companies listed in the same industry.
Industry RankSector Rank
P/FCF 7.58
EV/EBITDA N/A
LB.CA Per share dataLB.CA EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 20 40 60

4.3 Compensation for Growth

The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates LB does not grow enough to justify the current Price/Earnings ratio.
PEG (NY)7.61
PEG (5Y)N/A
EPS Next 2Y5.97%
EPS Next 3YN/A

5

5. Dividend

5.1 Amount

With a Yearly Dividend Yield of 6.77%, LB is a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 4.01, LB pays a better dividend. On top of this LB pays more dividend than 96.77% of the companies listed in the same industry.
LB's Dividend Yield is rather good when compared to the S&P500 average which is at 2.30.
Industry RankSector Rank
Dividend Yield 6.77%

5.2 History

The dividend of LB decreases each year by -4.14%.
LB has been paying a dividend for at least 10 years, so it has a reliable track record.
The dividend of LB decreased recently.
Dividend Growth(5Y)-4.14%
Div Incr Years1
Div Non Decr Years1
LB.CA Yearly Dividends per shareLB.CA Yearly Dividends per shareYearly Dividends per share 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0.5 1 1.5 2 2.5

5.3 Sustainability

The earnings of LB are negative and hence is the payout ratio. LB will probably not be able to sustain this dividend level.
DP-476.84%
EPS Next 2Y5.97%
EPS Next 3YN/A
LB.CA Yearly Income VS Free CF VS DividendLB.CA Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 500M -500M 1B

LAURENTIAN BANK OF CANADA

TSX:LB (2/18/2025, 7:00:00 PM)

27.86

+0.07 (+0.25%)

Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupBanks
GICS IndustryBanks
Earnings (Last)12-06 2024-12-06/bmo
Earnings (Next)02-28 2025-02-28
Inst Owners27.01%
Inst Owner ChangeN/A
Ins Owners0.12%
Ins Owner ChangeN/A
Market Cap1.23B
Analysts46.25
Price Target29.39 (5.49%)
Short Float %N/A
Short RatioN/A
Dividend
Industry RankSector Rank
Dividend Yield 6.77%
Yearly Dividend1.95
Dividend Growth(5Y)-4.14%
DP-476.84%
Div Incr Years1
Div Non Decr Years1
Ex-Date01-03 2025-01-03 (0.47)
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-0.3%
Min EPS beat(2)-0.42%
Max EPS beat(2)-0.17%
EPS beat(4)0
Avg EPS beat(4)-2.2%
Min EPS beat(4)-7.06%
Max EPS beat(4)-0.17%
EPS beat(8)2
Avg EPS beat(8)-2.81%
EPS beat(12)5
Avg EPS beat(12)-0.34%
EPS beat(16)9
Avg EPS beat(16)5.57%
Revenue beat(2)0
Avg Revenue beat(2)-2.53%
Min Revenue beat(2)-2.72%
Max Revenue beat(2)-2.34%
Revenue beat(4)0
Avg Revenue beat(4)-2.17%
Min Revenue beat(4)-2.72%
Max Revenue beat(4)-1.41%
Revenue beat(8)0
Avg Revenue beat(8)-3.26%
Revenue beat(12)1
Avg Revenue beat(12)-3.14%
Revenue beat(16)3
Avg Revenue beat(16)-2.55%
PT rev (1m)0%
PT rev (3m)9.69%
EPS NQ rev (1m)-5.95%
EPS NQ rev (3m)-13.13%
EPS NY rev (1m)-5.01%
EPS NY rev (3m)-5.01%
Revenue NQ rev (1m)-0.38%
Revenue NQ rev (3m)-3.4%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-2.76%
Valuation
Industry RankSector Rank
PE 7.78
Fwd PE 7.7
P/S 1.2
P/FCF 7.58
P/OCF 6.17
P/B 0.43
P/tB 0.46
EV/EBITDA N/A
EPS(TTM)3.58
EY12.85%
EPS(NY)3.62
Fwd EY12.98%
FCF(TTM)3.68
FCFY13.19%
OCF(TTM)4.52
OCFY16.21%
SpS23.14
BVpS64.27
TBVpS60.15
PEG (NY)7.61
PEG (5Y)N/A
Profitability
Industry RankSector Rank
ROA -0.04%
ROE -0.63%
ROCE N/A
ROIC N/A
ROICexc N/A
ROICexgc N/A
OM N/A
PM (TTM) N/A
GM N/A
FCFM 15.89%
ROA(3y)0.24%
ROA(5y)0.21%
ROE(3y)4.34%
ROE(5y)3.72%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3YN/A
GM growth 5YN/A
F-Score5
Asset Turnover0.02
Health
Industry RankSector Rank
Debt/Equity 6.09
Debt/FCF 122.07
Debt/EBITDA N/A
Cap/Depr 64.17%
Cap/Sales 3.64%
Interest Coverage N/A
Cash Conversion N/A
Profit Quality N/A
Current Ratio N/A
Quick Ratio N/A
Altman-Z N/A
F-Score5
WACC7.26%
ROIC/WACCN/A
Cap/Depr(3y)82.94%
Cap/Depr(5y)75.57%
Cap/Sales(3y)4.5%
Cap/Sales(5y)4.36%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-20.97%
EPS 3Y-7.82%
EPS 5Y-3.42%
EPS Q2Q%-11%
EPS Next Y1.02%
EPS Next 2Y5.97%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)-0.71%
Revenue growth 3Y0.52%
Revenue growth 5Y1.01%
Sales Q2Q%1.34%
Revenue Next Year-2.29%
Revenue Next 2Y1.23%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1YN/A
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next YearN/A
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y126.23%
FCF growth 3Y19.88%
FCF growth 5YN/A
OCF growth 1Y134.4%
OCF growth 3Y13.85%
OCF growth 5YN/A