52.68 USD
+1.19 (+2.31%)
52.68 USD
0 (0%)
Overall LGIH gets a fundamental rating of 3 out of 10. We evaluated LGIH against 61 industry peers in the Household Durables industry. LGIH may be in some trouble as it scores bad on both profitability and health. LGIH has a valuation in line with the averages, but on the other hand it scores bad on growth.
1. Profitability
1.1 Basic Checks
LGIH had positive earnings in the past year.
In the past year LGIH has reported a negative cash flow from operations.
LGIH had positive earnings in each of the past 5 years.
The reported operating cash flow has been mixed in the past 5 years: LGIH reported negative operating cash flow in multiple years.
1.2 Ratios
LGIH's Return On Assets of 2.63% is in line compared to the rest of the industry. LGIH outperforms 45.90% of its industry peers.
With a Return On Equity value of 5.10%, LGIH perfoms like the industry average, outperforming 42.62% of the companies in the same industry.
LGIH's Return On Invested Capital of 2.10% is on the low side compared to the rest of the industry. LGIH is outperformed by 70.49% of its industry peers.
The Average Return On Invested Capital over the past 3 years for LGIH is below the industry average of 9.75%.
The last Return On Invested Capital (2.10%) for LGIH is well below the 3 year average (6.71%), which needs to be investigated, but indicates that LGIH had better years and this may not be a problem.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.63% | ||
| ROE | 5.1% | ||
| ROIC | 2.1% |
ROA(3y)7.17%
ROA(5y)11.5%
ROE(3y)13.41%
ROE(5y)19.89%
ROIC(3y)6.71%
ROIC(5y)11.08%
1.3 Margins
With a decent Profit Margin value of 5.93%, LGIH is doing good in the industry, outperforming 63.93% of the companies in the same industry.
In the last couple of years the Profit Margin of LGIH has declined.
The Operating Margin of LGIH (5.97%) is comparable to the rest of the industry.
LGIH's Operating Margin has declined in the last couple of years.
LGIH's Gross Margin of 22.19% is on the low side compared to the rest of the industry. LGIH is outperformed by 72.13% of its industry peers.
In the last couple of years the Gross Margin of LGIH has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 5.97% | ||
| PM (TTM) | 5.93% | ||
| GM | 22.19% |
OM growth 3Y-18.75%
OM growth 5Y-4.9%
PM growth 3Y-14.18%
PM growth 5Y-1.74%
GM growth 3Y-3.35%
GM growth 5Y0.39%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), LGIH is destroying value.
Compared to 1 year ago, LGIH has less shares outstanding
LGIH has less shares outstanding than it did 5 years ago.
LGIH has a worse debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 2.70 indicates that LGIH is not a great score, but indicates only limited risk for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 2.70, LGIH is in line with its industry, outperforming 42.62% of the companies in the same industry.
A Debt/Equity ratio of 0.85 indicates that LGIH is somewhat dependend on debt financing.
LGIH has a Debt to Equity ratio of 0.85. This is in the lower half of the industry: LGIH underperforms 65.57% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.85 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 2.7 |
ROIC/WACC0.23
WACC9%
2.3 Liquidity
LGIH has a Current Ratio of 21.61. This indicates that LGIH is financially healthy and has no problem in meeting its short term obligations.
With an excellent Current ratio value of 21.61, LGIH belongs to the best of the industry, outperforming 100.00% of the companies in the same industry.
A Quick Ratio of 0.48 indicates that LGIH may have some problems paying its short term obligations.
Looking at the Quick ratio, with a value of 0.48, LGIH is doing worse than 78.69% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 21.61 | ||
| Quick Ratio | 0.48 |
3. Growth
3.1 Past
The earnings per share for LGIH have decreased strongly by -41.25% in the last year.
The Earnings Per Share has been growing slightly by 3.47% on average over the past years.
The Revenue for LGIH has decreased by -20.62% in the past year. This is quite bad
Measured over the past years, LGIH shows a small growth in Revenue. The Revenue has been growing by 3.68% on average per year.
EPS 1Y (TTM)-41.25%
EPS 3Y-21.62%
EPS 5Y3.47%
EPS Q2Q%-71.19%
Revenue 1Y (TTM)-20.62%
Revenue growth 3Y-10.28%
Revenue growth 5Y3.68%
Sales Q2Q%-39.15%
3.2 Future
Based on estimates for the next years, LGIH will show a decrease in Earnings Per Share. The EPS will decrease by -2.18% on average per year.
Based on estimates for the next years, LGIH will show a small growth in Revenue. The Revenue will grow by 5.55% on average per year.
EPS Next Y-55.18%
EPS Next 2Y-21.9%
EPS Next 3Y-2.18%
EPS Next 5YN/A
Revenue Next Year-24.06%
Revenue Next 2Y-6.16%
Revenue Next 3Y5.55%
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 decreasing.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 10.75, the valuation of LGIH can be described as reasonable.
Based on the Price/Earnings ratio, LGIH is valued a bit cheaper than the industry average as 62.30% of the companies are valued more expensively.
Compared to an average S&P500 Price/Earnings ratio of 26.15, LGIH is valued rather cheaply.
LGIH is valuated reasonably with a Price/Forward Earnings ratio of 10.41.
Compared to the rest of the industry, the Price/Forward Earnings ratio of LGIH indicates a somewhat cheap valuation: LGIH is cheaper than 72.13% of the companies listed in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 36.12, LGIH is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.75 | ||
| Fwd PE | 10.41 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of LGIH indicates a slightly more expensive valuation: LGIH is more expensive than 75.41% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 26.35 |
4.3 Compensation for Growth
LGIH's earnings are expected to decrease with -2.18% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)3.1
EPS Next 2Y-21.9%
EPS Next 3Y-2.18%
5. Dividend
5.1 Amount
LGIH does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
52.68
+1.19 (+2.31%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Durables & Apparel
GICS IndustryHousehold Durables
Earnings (Last)
Earnings (Next)
Inst Owners91.71%
Inst Owner Change-2.18%
Ins Owners12.44%
Ins Owner Change0%
Market Cap1.21B
Revenue(TTM)1.79B
Net Income(TTM)106.10M
Analysts50.91
Price Target76.19 (44.63%)
Short Float %15.22%
Short Ratio7.83
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DP0%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-7.04%
Min EPS beat(2)-10.33%
Max EPS beat(2)-3.76%
EPS beat(4)0
Avg EPS beat(4)-8.36%
Min EPS beat(4)-16.15%
Max EPS beat(4)-3.19%
EPS beat(8)2
Avg EPS beat(8)-7.08%
EPS beat(12)4
Avg EPS beat(12)-2.91%
EPS beat(16)8
Avg EPS beat(16)0.93%
Revenue beat(2)0
Avg Revenue beat(2)-0.39%
Min Revenue beat(2)-0.71%
Max Revenue beat(2)-0.07%
Revenue beat(4)0
Avg Revenue beat(4)-3.48%
Min Revenue beat(4)-7.15%
Max Revenue beat(4)-0.07%
Revenue beat(8)0
Avg Revenue beat(8)-4.2%
Revenue beat(12)1
Avg Revenue beat(12)-3.71%
Revenue beat(16)3
Avg Revenue beat(16)-3.14%
PT rev (1m)-8.06%
PT rev (3m)-5.14%
EPS NQ rev (1m)-6.61%
EPS NQ rev (3m)-11.01%
EPS NY rev (1m)-1.57%
EPS NY rev (3m)-6.93%
Revenue NQ rev (1m)9.6%
Revenue NQ rev (3m)5.95%
Revenue NY rev (1m)-0.86%
Revenue NY rev (3m)-3.67%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.75 | ||
| Fwd PE | 10.41 | ||
| P/S | 0.68 | ||
| P/FCF | N/A | ||
| P/OCF | N/A | ||
| P/B | 0.58 | ||
| P/tB | 0.59 | ||
| EV/EBITDA | 26.35 |
EPS(TTM)4.9
EY9.3%
EPS(NY)5.06
Fwd EY9.61%
FCF(TTM)-7.43
FCFYN/A
OCF(TTM)-7.36
OCFYN/A
SpS77.58
BVpS90.17
TBVpS89.65
PEG (NY)N/A
PEG (5Y)3.1
Graham Number99.71
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.63% | ||
| ROE | 5.1% | ||
| ROCE | 2.76% | ||
| ROIC | 2.1% | ||
| ROICexc | 2.13% | ||
| ROICexgc | 2.23% | ||
| OM | 5.97% | ||
| PM (TTM) | 5.93% | ||
| GM | 22.19% | ||
| FCFM | N/A |
ROA(3y)7.17%
ROA(5y)11.5%
ROE(3y)13.41%
ROE(5y)19.89%
ROIC(3y)6.71%
ROIC(5y)11.08%
ROICexc(3y)6.8%
ROICexc(5y)11.29%
ROICexgc(3y)7.08%
ROICexgc(5y)11.73%
ROCE(3y)8.84%
ROCE(5y)14.59%
ROICexgc growth 3Y-37.81%
ROICexgc growth 5Y-16.06%
ROICexc growth 3Y-38.04%
ROICexc growth 5Y-16.69%
OM growth 3Y-18.75%
OM growth 5Y-4.9%
PM growth 3Y-14.18%
PM growth 5Y-1.74%
GM growth 3Y-3.35%
GM growth 5Y0.39%
F-Score3
Asset Turnover0.44
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.85 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 15.94 | ||
| Cap/Depr | 39.45% | ||
| Cap/Sales | 0.09% | ||
| Interest Coverage | 0.96 | ||
| Cash Conversion | N/A | ||
| Profit Quality | N/A | ||
| Current Ratio | 21.61 | ||
| Quick Ratio | 0.48 | ||
| Altman-Z | 2.7 |
F-Score3
WACC9%
ROIC/WACC0.23
Cap/Depr(3y)65.91%
Cap/Depr(5y)145.02%
Cap/Sales(3y)0.07%
Cap/Sales(5y)0.07%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-41.25%
EPS 3Y-21.62%
EPS 5Y3.47%
EPS Q2Q%-71.19%
EPS Next Y-55.18%
EPS Next 2Y-21.9%
EPS Next 3Y-2.18%
EPS Next 5YN/A
Revenue 1Y (TTM)-20.62%
Revenue growth 3Y-10.28%
Revenue growth 5Y3.68%
Sales Q2Q%-39.15%
Revenue Next Year-24.06%
Revenue Next 2Y-6.16%
Revenue Next 3Y5.55%
Revenue Next 5YN/A
EBIT growth 1Y-52.81%
EBIT growth 3Y-27.11%
EBIT growth 5Y-1.4%
EBIT Next Year-36.4%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-396.44%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-405.18%
OCF growth 3YN/A
OCF growth 5YN/A
LGI HOMES INC / LGIH FAQ
What is the fundamental rating for LGIH stock?
ChartMill assigns a fundamental rating of 3 / 10 to LGIH.
Can you provide the valuation status for LGI HOMES INC?
ChartMill assigns a valuation rating of 4 / 10 to LGI HOMES INC (LGIH). This can be considered as Fairly Valued.
What is the profitability of LGIH stock?
LGI HOMES INC (LGIH) has a profitability rating of 3 / 10.
Can you provide the PE and PB ratios for LGIH stock?
The Price/Earnings (PE) ratio for LGI HOMES INC (LGIH) is 10.75 and the Price/Book (PB) ratio is 0.58.
Can you provide the dividend sustainability for LGIH stock?
The dividend rating of LGI HOMES INC (LGIH) is 0 / 10 and the dividend payout ratio is 0%.