LIBERTY ENERGY INC (LBRT) Stock Fundamental Analysis
NYSE:LBRT - US53115L1044 - Common Stock
11.25 USD
-0.07 (-0.62%)
11.29 USD
+0.04 (+0.36%)
Overall LBRT gets a fundamental rating of 5 out of 10. We evaluated LBRT against 61 industry peers in the Energy Equipment & Services industry. Both the profitability and the financial health of LBRT get a neutral evaluation. Nothing too spectacular is happening here. LBRT is valued correctly, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
In the past year LBRT was profitable.
In the past year LBRT had a positive cash flow from operations.
The reported net income has been mixed in the past 5 years: LBRT reported negative net income in multiple years.
Each year in the past 5 years LBRT had a positive operating cash flow.
1.2 Ratios
Looking at the Return On Assets, with a value of 6.30%, LBRT is in the better half of the industry, outperforming 72.13% of the companies in the same industry.
LBRT's Return On Equity of 10.65% is fine compared to the rest of the industry. LBRT outperforms 63.93% of its industry peers.
LBRT's Return On Invested Capital of 5.58% is in line compared to the rest of the industry. LBRT outperforms 45.90% of its industry peers.
LBRT had an Average Return On Invested Capital over the past 3 years of 18.48%. This is significantly above the industry average of 8.01%.
The 3 year average ROIC (18.48%) for LBRT is well above the current ROIC(5.58%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.3% | ||
| ROE | 10.65% | ||
| ROIC | 5.58% |
ROA(3y)14.48%
ROA(5y)5.71%
ROE(3y)24.3%
ROE(5y)9.62%
ROIC(3y)18.48%
ROIC(5y)N/A
1.3 Margins
LBRT has a Profit Margin (5.29%) which is in line with its industry peers.
In the last couple of years the Profit Margin of LBRT has grown nicely.
With a Operating Margin value of 4.68%, LBRT is not doing good in the industry: 67.21% of the companies in the same industry are doing better.
LBRT's Operating Margin has improved in the last couple of years.
The Gross Margin of LBRT (23.07%) is comparable to the rest of the industry.
LBRT's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 4.68% | ||
| PM (TTM) | 5.29% | ||
| GM | 23.07% |
OM growth 3YN/A
OM growth 5Y10.37%
PM growth 3YN/A
PM growth 5Y30.17%
GM growth 3Y42.43%
GM growth 5Y6.73%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so LBRT is creating value.
The number of shares outstanding for LBRT has been reduced compared to 1 year ago.
The number of shares outstanding for LBRT has been increased compared to 5 years ago.
LBRT has a worse debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 2.64 indicates that LBRT is not a great score, but indicates only limited risk for bankruptcy at the moment.
The Altman-Z score of LBRT (2.64) is better than 72.13% of its industry peers.
The Debt to FCF ratio of LBRT is 3.12, which is a good value as it means it would take LBRT, 3.12 years of fcf income to pay off all of its debts.
LBRT has a better Debt to FCF ratio (3.12) than 63.93% of its industry peers.
A Debt/Equity ratio of 0.18 indicates that LBRT is not too dependend on debt financing.
With a decent Debt to Equity ratio value of 0.18, LBRT is doing good in the industry, outperforming 72.13% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.18 | ||
| Debt/FCF | 3.12 | ||
| Altman-Z | 2.64 |
ROIC/WACC0.6
WACC9.25%
2.3 Liquidity
A Current Ratio of 1.16 indicates that LBRT should not have too much problems paying its short term obligations.
With a Current ratio value of 1.16, LBRT is not doing good in the industry: 86.89% of the companies in the same industry are doing better.
A Quick Ratio of 0.91 indicates that LBRT may have some problems paying its short term obligations.
LBRT has a Quick ratio of 0.91. This is amonst the worse of the industry: LBRT underperforms 81.97% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.16 | ||
| Quick Ratio | 0.91 |
3. Growth
3.1 Past
LBRT shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -59.35%.
Measured over the past years, LBRT shows a very strong growth in Earnings Per Share. The EPS has been growing by 23.91% on average per year.
Looking at the last year, LBRT shows a decrease in Revenue. The Revenue has decreased by -9.32% in the last year.
LBRT shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 16.74% yearly.
EPS 1Y (TTM)-59.35%
EPS 3YN/A
EPS 5Y23.91%
EPS Q2Q%-80.33%
Revenue 1Y (TTM)-9.32%
Revenue growth 3Y20.43%
Revenue growth 5Y16.74%
Sales Q2Q%-10.12%
3.2 Future
Based on estimates for the next years, LBRT will show a very negative growth in Earnings Per Share. The EPS will decrease by -18.97% on average per year.
LBRT is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 2.82% yearly.
EPS Next Y-85.86%
EPS Next 2Y-84.09%
EPS Next 3Y-39.45%
EPS Next 5Y-18.97%
Revenue Next Year-10.65%
Revenue Next 2Y-5.44%
Revenue Next 3Y-2.41%
Revenue Next 5Y2.82%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less 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
Based on the Price/Earnings ratio of 11.25, the valuation of LBRT can be described as reasonable.
81.97% of the companies in the same industry are more expensive than LBRT, based on the Price/Earnings ratio.
LBRT is valuated cheaply when we compare the Price/Earnings ratio to 27.13, which is the current average of the S&P500 Index.
Based on the Price/Forward Earnings ratio of 241.50, the valuation of LBRT can be described as expensive.
Compared to the rest of the industry, the Price/Forward Earnings ratio of LBRT indicates a slightly more expensive valuation: LBRT is more expensive than 77.05% of the companies listed in the same industry.
LBRT is valuated expensively when we compare the Price/Forward Earnings ratio to 22.76, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.25 | ||
| Fwd PE | 241.5 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of LBRT indicates a rather cheap valuation: LBRT is cheaper than 96.72% of the companies listed in the same industry.
LBRT's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 12.74 | ||
| EV/EBITDA | 3.18 |
4.3 Compensation for Growth
The decent profitability rating of LBRT may justify a higher PE ratio.
LBRT's earnings are expected to decrease with -39.45% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)0.47
EPS Next 2Y-84.09%
EPS Next 3Y-39.45%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 2.83%, LBRT has a reasonable but not impressive dividend return.
LBRT's Dividend Yield is a higher than the industry average which is at 3.33.
LBRT's Dividend Yield is a higher than the S&P500 average which is at 2.32.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.83% |
5.2 History
The dividend of LBRT is nicely growing with an annual growth rate of 17.58%!
LBRT has been paying a dividend for over 5 years, so it has already some track record.
The dividend of LBRT decreased in the last 3 years.
Dividend Growth(5Y)17.58%
Div Incr Years2
Div Non Decr Years2
5.3 Sustainability
23.70% of the earnings are spent on dividend by LBRT. This is a low number and sustainable payout ratio.
DP23.7%
EPS Next 2Y-84.09%
EPS Next 3Y-39.45%
11.25
-0.07 (-0.62%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryEnergy Equipment & Services
Earnings (Last)
Earnings (Next)
Inst Owners97.39%
Inst Owner Change-1.22%
Ins Owners2%
Ins Owner Change0.16%
Market Cap1.82B
Analysts75.79
Price Target14.83 (31.82%)
Short Float %5.45%
Short Ratio2.32
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.83% |
Yearly Dividend0.29
Dividend Growth(5Y)17.58%
DP23.7%
Div Incr Years2
Div Non Decr Years2
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)85.62%
Min EPS beat(2)-19.97%
Max EPS beat(2)191.21%
EPS beat(4)2
Avg EPS beat(4)79.13%
Min EPS beat(4)-24.52%
Max EPS beat(4)191.21%
EPS beat(8)4
Avg EPS beat(8)38.01%
EPS beat(12)7
Avg EPS beat(12)31.68%
EPS beat(16)9
Avg EPS beat(16)26.16%
Revenue beat(2)2
Avg Revenue beat(2)1.09%
Min Revenue beat(2)0.37%
Max Revenue beat(2)1.81%
Revenue beat(4)2
Avg Revenue beat(4)-1.72%
Min Revenue beat(4)-6.21%
Max Revenue beat(4)1.81%
Revenue beat(8)3
Avg Revenue beat(8)-1.06%
Revenue beat(12)5
Avg Revenue beat(12)-0.51%
Revenue beat(16)8
Avg Revenue beat(16)0.43%
PT rev (1m)-7.1%
PT rev (3m)-12.53%
EPS NQ rev (1m)-32.62%
EPS NQ rev (3m)-78.81%
EPS NY rev (1m)-35.89%
EPS NY rev (3m)-45.08%
Revenue NQ rev (1m)-1.22%
Revenue NQ rev (3m)-6.86%
Revenue NY rev (1m)0.56%
Revenue NY rev (3m)-1%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.25 | ||
| Fwd PE | 241.5 | ||
| P/S | 0.44 | ||
| P/FCF | 12.74 | ||
| P/OCF | 2.32 | ||
| P/B | 0.9 | ||
| P/tB | 0.9 | ||
| EV/EBITDA | 3.18 |
EPS(TTM)1
EY8.89%
EPS(NY)0.05
Fwd EY0.41%
FCF(TTM)0.88
FCFY7.85%
OCF(TTM)4.84
OCFY43.06%
SpS25.33
BVpS12.56
TBVpS12.56
PEG (NY)N/A
PEG (5Y)0.47
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.3% | ||
| ROE | 10.65% | ||
| ROCE | 7.24% | ||
| ROIC | 5.58% | ||
| ROICexc | 5.62% | ||
| ROICexgc | 5.62% | ||
| OM | 4.68% | ||
| PM (TTM) | 5.29% | ||
| GM | 23.07% | ||
| FCFM | 3.49% |
ROA(3y)14.48%
ROA(5y)5.71%
ROE(3y)24.3%
ROE(5y)9.62%
ROIC(3y)18.48%
ROIC(5y)N/A
ROICexc(3y)18.79%
ROICexc(5y)N/A
ROICexgc(3y)18.84%
ROICexgc(5y)N/A
ROCE(3y)23.99%
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5Y4.23%
ROICexc growth 3YN/A
ROICexc growth 5Y4.23%
OM growth 3YN/A
OM growth 5Y10.37%
PM growth 3YN/A
PM growth 5Y30.17%
GM growth 3Y42.43%
GM growth 5Y6.73%
F-Score4
Asset Turnover1.19
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.18 | ||
| Debt/FCF | 3.12 | ||
| Debt/EBITDA | 0.52 | ||
| Cap/Depr | 124.41% | ||
| Cap/Sales | 15.64% | ||
| Interest Coverage | 5.17 | ||
| Cash Conversion | 110.89% | ||
| Profit Quality | 65.94% | ||
| Current Ratio | 1.16 | ||
| Quick Ratio | 0.91 | ||
| Altman-Z | 2.64 |
F-Score4
WACC9.25%
ROIC/WACC0.6
Cap/Depr(3y)137.31%
Cap/Depr(5y)109.02%
Cap/Sales(3y)12.9%
Cap/Sales(5y)11.49%
Profit Quality(3y)50%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-59.35%
EPS 3YN/A
EPS 5Y23.91%
EPS Q2Q%-80.33%
EPS Next Y-85.86%
EPS Next 2Y-84.09%
EPS Next 3Y-39.45%
EPS Next 5Y-18.97%
Revenue 1Y (TTM)-9.32%
Revenue growth 3Y20.43%
Revenue growth 5Y16.74%
Sales Q2Q%-10.12%
Revenue Next Year-10.65%
Revenue Next 2Y-5.44%
Revenue Next 3Y-2.41%
Revenue Next 5Y2.82%
EBIT growth 1Y-67.1%
EBIT growth 3YN/A
EBIT growth 5Y28.84%
EBIT Next Year50.7%
EBIT Next 3Y14.82%
EBIT Next 5Y14.1%
FCF growth 1Y-55.28%
FCF growth 3YN/A
FCF growth 5Y22.03%
OCF growth 1Y-6.52%
OCF growth 3Y82.92%
OCF growth 5Y26.01%