LUMENTUM HOLDINGS INC (LITE) Stock Fundamental Analysis
USA - NASDAQ:LITE - US55024U1097 - Common Stock
160.75 USD
+1.64 (+1.03%)
164.3 USD
+3.55 (+2.21%)
Taking everything into account, LITE scores 4 out of 10 in our fundamental rating. LITE was compared to 48 industry peers in the Communications Equipment industry. LITE scores quite bad on profitability, while its financial health is fine. Not spectacular, but in line with the averages. LITE is valued quite expensively, but it does show have an excellent growth rating.
1. Profitability
1.1 Basic Checks
In the past year LITE was profitable.
In the past year LITE had a positive cash flow from operations.
The reported net income has been mixed in the past 5 years: LITE reported negative net income in multiple years.
Each year in the past 5 years LITE had a positive operating cash flow.
1.2 Ratios
LITE has a Return On Assets (0.61%) which is in line with 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.
With a Gross Margin value of 27.96%, LITE is not doing good in the industry: 79.17% of the companies in the same industry are doing better.
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.
The number of shares outstanding for LITE has been increased compared to 1 year ago.
LITE has less shares outstanding than it did 5 years ago.
The debt/assets ratio for LITE has been reduced compared to a year ago.
2.2 Solvency
LITE has an Altman-Z score of 2.52. This is not the best score and indicates that LITE is in the grey zone with still only limited risk for bankruptcy at the moment.
LITE has a Altman-Z score of 2.52. This is in the better half of the industry: LITE outperforms 66.67% of its industry peers.
LITE has a Debt/Equity ratio of 2.26. This is a high value indicating a heavy dependency on external financing.
Looking at the Debt to Equity ratio, with a value of 2.26, LITE is doing worse than 87.50% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.26 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 2.52 |
ROIC/WACCN/A
WACC8.97%
2.3 Liquidity
A Current Ratio of 4.37 indicates that LITE has no problem at all paying its short term obligations.
The Current ratio of LITE (4.37) is better than 87.50% of its industry peers.
LITE has a Quick Ratio of 3.18. This indicates that LITE is financially healthy and has no problem in meeting its short term obligations.
Looking at the Quick ratio, with a value of 3.18, LITE belongs to the top of the industry, outperforming 85.42% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 4.37 | ||
| Quick Ratio | 3.18 |
3. Growth
3.1 Past
LITE shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 100.98%, which is quite impressive.
LITE shows a very negative growth in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -17.64% yearly.
LITE shows a strong growth in Revenue. In the last year, the Revenue has grown by 21.03%.
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
The Earnings Per Share is expected to grow by 50.98% on average over the next years. This is a very strong growth
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 3Y50.98%
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
With a Price/Earnings ratio of 78.41, LITE can be considered very expensive at the moment.
Compared to the rest of the industry, the Price/Earnings ratio of LITE is on the same level as its industry peers.
Compared to an average S&P500 Price/Earnings ratio of 27.54, LITE is valued quite expensively.
LITE is valuated quite expensively with a Price/Forward Earnings ratio of 32.31.
LITE's Price/Forward Earnings ratio is in line with the industry average.
Compared to an average S&P500 Price/Forward Earnings ratio of 23.05, LITE is valued a bit more expensive.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 78.41 | ||
| Fwd PE | 32.31 |
4.2 Price Multiples
62.50% of the companies in the same industry are cheaper than LITE, based on the Enterprise Value to EBITDA ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 194.98 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
A more expensive valuation may be justified as LITE's earnings are expected to grow with 50.98% in the coming years.
PEG (NY)0.55
PEG (5Y)N/A
EPS Next 2Y80.54%
EPS Next 3Y50.98%
5. Dividend
5.1 Amount
LITE does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
160.75
+1.64 (+1.03%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupTechnology Hardware & Equipment
GICS IndustryCommunications Equipment
Earnings (Last)
Earnings (Next)
Inst Owners120.82%
Inst Owner Change3.71%
Ins Owners0.63%
Ins Owner Change0.15%
Market Cap11.24B
Analysts81.6
Price Target143.1 (-10.98%)
Short Float %16.33%
Short Ratio3.58
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)2.5%
PT rev (3m)53.38%
EPS NQ rev (1m)-0.06%
EPS NQ rev (3m)18.18%
EPS NY rev (1m)0.8%
EPS NY rev (3m)19.3%
Revenue NQ rev (1m)0.04%
Revenue NQ rev (3m)5.49%
Revenue NY rev (1m)0%
Revenue NY rev (3m)7.3%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 78.41 | ||
| Fwd PE | 32.31 | ||
| P/S | 6.83 | ||
| P/FCF | N/A | ||
| P/OCF | 88.97 | ||
| P/B | 9.9 | ||
| P/tB | N/A | ||
| EV/EBITDA | 194.98 |
EPS(TTM)2.05
EY1.28%
EPS(NY)4.98
Fwd EY3.09%
FCF(TTM)-1.5
FCFYN/A
OCF(TTM)1.81
OCFY1.12%
SpS23.53
BVpS16.23
TBVpS-5.6
PEG (NY)0.55
PEG (5Y)N/A
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
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 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 | 2.52 |
F-Score7
WACC8.97%
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 3Y50.98%
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 3Y76.77%
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%