LUMENTUM HOLDINGS INC (LITE) Stock Fundamental Analysis
USA - NASDAQ:LITE - US55024U1097 - Common Stock
158.06 USD
-4.89 (-3%)
157.8 USD
-0.26 (-0.16%)
LITE gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 48 industry peers in the Communications Equipment industry. The financial health of LITE is average, but there are quite some concerns on its profitability. LITE shows excellent growth, but is valued quite expensive already.
1. Profitability
1.1 Basic Checks
LITE had positive earnings in the past year.
In the past year LITE had a positive cash flow from operations.
In multiple years LITE reported negative net income over the last 5 years.
Each year in the past 5 years LITE had a positive operating cash flow.
1.2 Ratios
LITE has a Return On Assets of 0.61%. This is comparable to the rest of the industry: LITE outperforms 56.25% of its industry peers.
With a decent Return On Equity value of 2.28%, LITE is doing good in the industry, outperforming 60.42% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.61% | ||
| ROE | 2.28% | ||
| ROIC | N/A |
ROA(3y)-5.38%
ROA(5y)-0.03%
ROE(3y)-21.5%
ROE(5y)-6.75%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
The Profit Margin of LITE (1.57%) is comparable to the rest of the industry.
LITE's Profit Margin has declined in the last couple of years.
LITE has a worse Gross Margin (27.96%) than 79.17% of its industry peers.
LITE's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | N/A | ||
| PM (TTM) | 1.57% | ||
| GM | 27.96% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3Y-48.63%
PM growth 5Y-27.88%
GM growth 3Y-15.32%
GM growth 5Y-6.31%
2. Health
2.1 Basic Checks
LITE does not have a ROIC to compare to the WACC, probably because it is not profitable.
LITE has more shares outstanding than it did 1 year ago.
LITE has less shares outstanding than it did 5 years ago.
LITE has a better debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 2.58 indicates that LITE is not a great score, but indicates only limited risk for bankruptcy at the moment.
LITE has a Altman-Z score (2.58) which is comparable to the rest of the industry.
A Debt/Equity ratio of 2.26 is on the high side and indicates that LITE has dependencies on debt financing.
Looking at the Debt to Equity ratio, with a value of 2.26, LITE is doing worse than 89.58% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.26 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 2.58 |
ROIC/WACCN/A
WACC8.28%
2.3 Liquidity
LITE has a Current Ratio of 4.37. This indicates that LITE is financially healthy and has no problem in meeting its short term obligations.
LITE has a Current ratio of 4.37. This is amongst the best in the industry. LITE outperforms 87.50% of its industry peers.
A Quick Ratio of 3.18 indicates that LITE has no problem at all paying its short term obligations.
LITE has a better Quick ratio (3.18) than 85.42% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 4.37 | ||
| Quick Ratio | 3.18 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 100.98% over the past year.
Measured over the past years, LITE shows a very negative growth in Earnings Per Share. The EPS has been decreasing by -17.64% on average per year.
The Revenue has grown by 21.03% in the past year. This is a very strong growth!
Measured over the past years, LITE shows a decrease in Revenue. The Revenue has been decreasing by -0.40% on average per year.
EPS 1Y (TTM)100.98%
EPS 3Y-30.28%
EPS 5Y-17.64%
EPS Q2Q%1366.67%
Revenue 1Y (TTM)21.03%
Revenue growth 3Y-1.33%
Revenue growth 5Y-0.4%
Sales Q2Q%55.92%
3.2 Future
Based on estimates for the next years, LITE will show a very strong growth in Earnings Per Share. The EPS will grow by 53.83% on average per year.
Based on estimates for the next years, LITE will show a very strong growth in Revenue. The Revenue will grow by 23.87% on average per year.
EPS Next Y142.69%
EPS Next 2Y80.54%
EPS Next 3Y53.83%
EPS Next 5YN/A
Revenue Next Year40.76%
Revenue Next 2Y29.77%
Revenue Next 3Y23.87%
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.
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
A Price/Earnings ratio of 77.10 indicates a quite expensive valuation of LITE.
LITE's Price/Earnings ratio is in line with the industry average.
Compared to an average S&P500 Price/Earnings ratio of 27.57, LITE is valued quite expensively.
LITE is valuated quite expensively with a Price/Forward Earnings ratio of 31.77.
LITE's Price/Forward Earnings ratio is in line with the industry average.
When comparing the Price/Forward Earnings ratio of LITE to the average of the S&P500 Index (23.09), we can say LITE is valued slightly more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 77.1 | ||
| Fwd PE | 31.77 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of LITE indicates a slightly more expensive valuation: LITE is more expensive than 60.42% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 199.91 |
4.3 Compensation for Growth
LITE's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
LITE's earnings are expected to grow with 53.83% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.54
PEG (5Y)N/A
EPS Next 2Y80.54%
EPS Next 3Y53.83%
5. Dividend
5.1 Amount
No dividends for LITE!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
158.06
-4.89 (-3%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupTechnology Hardware & Equipment
GICS IndustryCommunications Equipment
Earnings (Last)
Earnings (Next)
Inst Owners120.82%
Inst Owner Change-0.12%
Ins Owners0.63%
Ins Owner Change0.15%
Market Cap11.21B
Revenue(TTM)1.65B
Net Income(TTM)25.90M
Analysts81.6
Price Target147.6 (-6.62%)
Short Float %14.91%
Short Ratio2.95
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)2
Avg EPS beat(2)9.62%
Min EPS beat(2)7.73%
Max EPS beat(2)11.51%
EPS beat(4)4
Avg EPS beat(4)19.06%
Min EPS beat(4)7.73%
Max EPS beat(4)41.98%
EPS beat(8)8
Avg EPS beat(8)24.76%
EPS beat(12)11
Avg EPS beat(12)17.78%
EPS beat(16)14
Avg EPS beat(16)14.93%
Revenue beat(2)1
Avg Revenue beat(2)0.36%
Min Revenue beat(2)-0.34%
Max Revenue beat(2)1.05%
Revenue beat(4)3
Avg Revenue beat(4)0.88%
Min Revenue beat(4)-0.34%
Max Revenue beat(4)1.64%
Revenue beat(8)4
Avg Revenue beat(8)0.1%
Revenue beat(12)4
Avg Revenue beat(12)-0.43%
Revenue beat(16)4
Avg Revenue beat(16)-0.62%
PT rev (1m)3.14%
PT rev (3m)52.22%
EPS NQ rev (1m)0%
EPS NQ rev (3m)17.66%
EPS NY rev (1m)0.8%
EPS NY rev (3m)18.7%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)5.12%
Revenue NY rev (1m)0%
Revenue NY rev (3m)6.86%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 77.1 | ||
| Fwd PE | 31.77 | ||
| P/S | 6.81 | ||
| P/FCF | N/A | ||
| P/OCF | 88.74 | ||
| P/B | 9.88 | ||
| P/tB | N/A | ||
| EV/EBITDA | 199.91 |
EPS(TTM)2.05
EY1.3%
EPS(NY)4.98
Fwd EY3.15%
FCF(TTM)-1.48
FCFYN/A
OCF(TTM)1.78
OCFY1.13%
SpS23.2
BVpS16
TBVpS-5.52
PEG (NY)0.54
PEG (5Y)N/A
Graham Number27.17
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.61% | ||
| ROE | 2.28% | ||
| ROCE | N/A | ||
| ROIC | N/A | ||
| ROICexc | N/A | ||
| ROICexgc | N/A | ||
| OM | N/A | ||
| PM (TTM) | 1.57% | ||
| GM | 27.96% | ||
| FCFM | N/A |
ROA(3y)-5.38%
ROA(5y)-0.03%
ROE(3y)-21.5%
ROE(5y)-6.75%
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
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3Y-48.63%
PM growth 5Y-27.88%
GM growth 3Y-15.32%
GM growth 5Y-6.31%
F-Score7
Asset Turnover0.39
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.26 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 39.73 | ||
| Cap/Depr | 89.99% | ||
| Cap/Sales | 14.04% | ||
| Interest Coverage | N/A | ||
| Cash Conversion | 195.81% | ||
| Profit Quality | N/A | ||
| Current Ratio | 4.37 | ||
| Quick Ratio | 3.18 | ||
| Altman-Z | 2.58 |
F-Score7
WACC8.28%
ROIC/WACCN/A
Cap/Depr(3y)62.48%
Cap/Depr(5y)59.11%
Cap/Sales(3y)10.46%
Cap/Sales(5y)8.43%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)100.98%
EPS 3Y-30.28%
EPS 5Y-17.64%
EPS Q2Q%1366.67%
EPS Next Y142.69%
EPS Next 2Y80.54%
EPS Next 3Y53.83%
EPS Next 5YN/A
Revenue 1Y (TTM)21.03%
Revenue growth 3Y-1.33%
Revenue growth 5Y-0.4%
Sales Q2Q%55.92%
Revenue Next Year40.76%
Revenue Next 2Y29.77%
Revenue Next 3Y23.87%
Revenue Next 5YN/A
EBIT growth 1Y46.82%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year285.8%
EBIT Next 3Y81%
EBIT Next 5YN/A
FCF growth 1Y6.77%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y411.34%
OCF growth 3Y-34.97%
OCF growth 5Y-24.77%