LHC GROUP INC (LHCG) Stock Fundamental Analysis
NASDAQ:LHCG - Nasdaq - US50187A1079 - Common Stock - Currency: USD
Taking everything into account, LHCG scores 4 out of 10 in our fundamental rating. LHCG was compared to 102 industry peers in the Health Care Providers & Services industry. LHCG has an average financial health and profitability rating. While showing a medium growth rate, LHCG is valued expensive at the moment.
1. Profitability
1.1 Basic Checks
In the past year LHCG was profitable.
In the past year LHCG has reported a negative cash flow from operations.
1.2 Ratios
LHCG's Return On Assets of 2.16% is fine compared to the rest of the industry. LHCG outperforms 66.09% of its industry peers.
The Return On Equity of LHCG (3.94%) is better than 66.09% of its industry peers.
LHCG has a better Return On Invested Capital (4.20%) than 62.61% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.16% | ||
| ROE | 3.94% | ||
| ROIC | 4.2% |
ROA(3y)N/A
ROA(5y)N/A
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
LHCG has a better Profit Margin (2.73%) than 65.22% of its industry peers.
LHCG's Profit Margin has improved in the last couple of years.
LHCG has a Operating Margin of 6.15%. This is in the better half of the industry: LHCG outperforms 68.70% of its industry peers.
LHCG's Operating Margin has improved in the last couple of years.
With a decent Gross Margin value of 38.62%, LHCG is doing good in the industry, outperforming 68.70% of the companies in the same industry.
LHCG's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 6.15% | ||
| PM (TTM) | 2.73% | ||
| GM | 38.62% |
OM growth 3Y2.47%
OM growth 5Y2.07%
PM growth 3Y14.06%
PM growth 5Y5.1%
GM growth 3Y3.28%
GM growth 5Y0.9%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), LHCG is destroying value.
The number of shares outstanding for LHCG has been reduced compared to 1 year ago.
Compared to 1 year ago, LHCG has a worse debt to assets ratio.
2.2 Solvency
LHCG has an Altman-Z score of 3.80. This indicates that LHCG is financially healthy and has little risk of bankruptcy at the moment.
LHCG's Altman-Z score of 3.80 is amongst the best of the industry. LHCG outperforms 80.87% of its industry peers.
A Debt/Equity ratio of 0.46 indicates that LHCG is not too dependend on debt financing.
The Debt to Equity ratio of LHCG (0.46) is better than 64.35% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.46 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 3.8 |
ROIC/WACC0.5
WACC8.35%
2.3 Liquidity
A Current Ratio of 1.45 indicates that LHCG should not have too much problems paying its short term obligations.
The Current ratio of LHCG (1.45) is comparable to the rest of the industry.
A Quick Ratio of 1.45 indicates that LHCG should not have too much problems paying its short term obligations.
With a decent Quick ratio value of 1.45, LHCG is doing good in the industry, outperforming 61.74% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.45 | ||
| Quick Ratio | 1.45 |
3. Growth
3.1 Past
The earnings per share for LHCG have decreased strongly by -25.09% in the last year.
LHCG shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 22.42% yearly.
LHCG shows a small growth in Revenue. In the last year, the Revenue has grown by 6.44%.
Measured over the past years, LHCG shows a quite strong growth in Revenue. The Revenue has been growing by 19.79% on average per year.
EPS 1Y (TTM)-25.09%
EPS 3Y18.36%
EPS 5Y22.42%
EPS Q2Q%-26.9%
Revenue 1Y (TTM)6.44%
Revenue growth 3Y7.04%
Revenue growth 5Y19.79%
Sales Q2Q%2.03%
3.2 Future
Based on estimates for the next years, LHCG will show a small growth in Earnings Per Share. The EPS will grow by 3.16% on average per year.
The Revenue is expected to grow by 7.06% on average over the next years.
EPS Next Y-22.68%
EPS Next 2Y-7.47%
EPS Next 3Y-2.14%
EPS Next 5Y3.16%
Revenue Next Year4.9%
Revenue Next 2Y5.12%
Revenue Next 3Y5.4%
Revenue Next 5Y7.06%
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.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 38.68, which means the current valuation is very expensive for LHCG.
LHCG's Price/Earnings ratio is in line with the industry average.
The average S&P500 Price/Earnings ratio is at 26.68. LHCG is valued slightly more expensive when compared to this.
The Price/Forward Earnings ratio is 34.68, which means the current valuation is very expensive for LHCG.
Based on the Price/Forward Earnings ratio, LHCG is valued a bit cheaper than the industry average as 61.74% of the companies are valued more expensively.
LHCG's Price/Forward Earnings ratio indicates a rather expensive valuation when compared to the S&P500 average which is at 22.50.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 38.68 | ||
| Fwd PE | 34.68 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of LHCG is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 36.27 |
4.3 Compensation for Growth
A cheap valuation may be justified as LHCG's earnings are expected to decrease with -2.14% in the coming years.
PEG (NY)N/A
PEG (5Y)1.72
EPS Next 2Y-7.47%
EPS Next 3Y-2.14%
5. Dividend
5.1 Amount
LHCG does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
169.81
+0.8 (+0.47%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupHealth Care Equipment & Services
GICS IndustryHealth Care Providers & Services
Earnings (Last)
Earnings (Next)
Inst OwnersN/A
Inst Owner ChangeN/A
Ins Owners9.38%
Ins Owner Change0%
Market Cap5.27B
Analysts52.31
Price Target176.8 (4.12%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-24.89%
Min EPS beat(2)-28.55%
Max EPS beat(2)-21.23%
EPS beat(4)1
Avg EPS beat(4)-13.67%
Min EPS beat(4)-28.55%
Max EPS beat(4)1.37%
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)0
Avg Revenue beat(2)-7.18%
Min Revenue beat(2)-7.57%
Max Revenue beat(2)-6.79%
Revenue beat(4)0
Avg Revenue beat(4)-4.6%
Min Revenue beat(4)-7.57%
Max Revenue beat(4)-1.81%
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)0%
PT rev (3m)0%
EPS NQ rev (1m)0%
EPS NQ rev (3m)1.26%
EPS NY rev (1m)0%
EPS NY rev (3m)-9.87%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-0.12%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-2.5%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 38.68 | ||
| Fwd PE | 34.68 | ||
| P/S | 2.28 | ||
| P/FCF | N/A | ||
| P/OCF | N/A | ||
| P/B | 3.29 | ||
| P/tB | N/A | ||
| EV/EBITDA | 36.27 |
EPS(TTM)4.39
EY2.59%
EPS(NY)4.9
Fwd EY2.88%
FCF(TTM)-2.01
FCFYN/A
OCF(TTM)-1.25
OCFYN/A
SpS74.37
BVpS51.57
TBVpS-17.57
PEG (NY)N/A
PEG (5Y)1.72
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.16% | ||
| ROE | 3.94% | ||
| ROCE | N/A | ||
| ROIC | 4.2% | ||
| ROICexc | 4.22% | ||
| ROICexgc | 24.13% | ||
| OM | 6.15% | ||
| PM (TTM) | 2.73% | ||
| GM | 38.62% | ||
| FCFM | N/A |
ROA(3y)N/A
ROA(5y)N/A
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)7.29%
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexcg growth 3Y-4.92%
ROICexcg growth 5Y0.12%
ROICexc growth 3Y-3.77%
ROICexc growth 5Y-10.17%
OM growth 3Y2.47%
OM growth 5Y2.07%
PM growth 3Y14.06%
PM growth 5Y5.1%
GM growth 3Y3.28%
GM growth 5Y0.9%
F-Score3
Asset Turnover0.79
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.46 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 4.46 | ||
| Cap/Depr | 100.43% | ||
| Cap/Sales | N/A | ||
| Interest Coverage | N/A | ||
| Cash Conversion | N/A | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.45 | ||
| Quick Ratio | 1.45 | ||
| Altman-Z | 3.8 |
F-Score3
WACC8.35%
ROIC/WACC0.5
Cap/Depr(3y)217.37%
Cap/Depr(5y)282.31%
Cap/Sales(3y)N/A
Cap/Sales(5y)N/A
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-25.09%
EPS 3Y18.36%
EPS 5Y22.42%
EPS Q2Q%-26.9%
EPS Next Y-22.68%
EPS Next 2Y-7.47%
EPS Next 3Y-2.14%
EPS Next 5Y3.16%
Revenue 1Y (TTM)6.44%
Revenue growth 3Y7.04%
Revenue growth 5Y19.79%
Sales Q2Q%2.03%
Revenue Next Year4.9%
Revenue Next 2Y5.12%
Revenue Next 3Y5.4%
Revenue Next 5Y7.06%
EBIT growth 1Y-34.33%
EBIT growth 3Y9.68%
EBIT growth 5Y22.27%
EBIT Next Year-13.1%
EBIT Next 3Y1.4%
EBIT Next 5Y2.66%
FCF growth 1Y-115.12%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-108.03%
OCF growth 3YN/A
OCF growth 5YN/A