LIVE OAK BANCSHARES INC (LOB) Stock Fundamental Analysis
USA - NYSE:LOB - US53803X1054 - Common Stock
34.44 USD
-0.67 (-1.91%)
34.44 USD
0 (0%)
We assign a fundamental rating of 4 out of 10 to LOB. LOB was compared to 392 industry peers in the Banks industry. LOB may be in some trouble as it scores bad on both profitability and health. LOB is showing excellent growth while it is valued at reasonable prices. Keep and eye on this one! Finally LOB also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
In the past year LOB was profitable.
LOB had a positive operating cash flow in the past year.
Each year in the past 5 years LOB has been profitable.
The reported operating cash flow has been mixed in the past 5 years: LOB reported negative operating cash flow in multiple years.
1.2 Ratios
With a Return On Assets value of 0.41%, LOB is not doing good in the industry: 78.83% of the companies in the same industry are doing better.
Looking at the Return On Equity, with a value of 5.28%, LOB is doing worse than 74.74% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.41% | ||
| ROE | 5.28% | ||
| ROIC | N/A |
ROA(3y)1.01%
ROA(5y)1.17%
ROE(3y)12.56%
ROE(5y)14.3%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
LOB's Profit Margin of 10.62% is on the low side compared to the rest of the industry. LOB is outperformed by 81.89% of its industry peers.
In the last couple of years the Profit Margin of LOB has grown nicely.
The Operating Margin and Gross Margin are not available for LOB so they could not be analyzed.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | N/A | ||
| PM (TTM) | 10.62% | ||
| GM | N/A |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3Y-24.86%
PM growth 5Y11.89%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
LOB does not have a ROIC to compare to the WACC, probably because it is not profitable.
Compared to 1 year ago, LOB has more shares outstanding
LOB has more shares outstanding than it did 5 years ago.
Compared to 1 year ago, LOB has a worse debt to assets ratio.
2.2 Solvency
LOB has a debt to FCF ratio of 0.16. This is a very positive value and a sign of high solvency as it would only need 0.16 years to pay back of all of its debts.
LOB's Debt to FCF ratio of 0.16 is amongst the best of the industry. LOB outperforms 87.50% of its industry peers.
LOB has a Debt/Equity ratio of 0.10. This is a healthy value indicating a solid balance between debt and equity.
With a decent Debt to Equity ratio value of 0.10, LOB is doing good in the industry, outperforming 69.13% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.1 | ||
| Debt/FCF | 0.16 | ||
| Altman-Z | N/A |
ROIC/WACCN/A
WACC31.79%
2.3 Liquidity
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | N/A | ||
| Quick Ratio | N/A |
3. Growth
3.1 Past
The earnings per share for LOB have decreased strongly by -44.29% in the last year.
Measured over the past years, LOB shows a very strong growth in Earnings Per Share. The EPS has been growing by 26.65% on average per year.
The Revenue has grown by 8.02% in the past year. This is quite good.
LOB shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 19.67% yearly.
EPS 1Y (TTM)-44.29%
EPS 3Y-26.89%
EPS 5Y26.65%
EPS Q2Q%-13.56%
Revenue 1Y (TTM)8.02%
Revenue growth 3Y3.02%
Revenue growth 5Y19.67%
Sales Q2Q%14.56%
3.2 Future
The Earnings Per Share is expected to grow by 52.43% on average over the next years. This is a very strong growth
LOB is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 15.89% yearly.
EPS Next Y50.46%
EPS Next 2Y52.43%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year22.24%
Revenue Next 2Y15.89%
Revenue Next 3YN/A
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 stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 28.23, which means the current valuation is very expensive for LOB.
Based on the Price/Earnings ratio, LOB is valued expensively inside the industry as 84.69% of the companies are valued cheaper.
When comparing the Price/Earnings ratio of LOB to the average of the S&P500 Index (27.86), we can say LOB is valued inline with the index average.
LOB is valuated reasonably with a Price/Forward Earnings ratio of 10.22.
Compared to the rest of the industry, the Price/Forward Earnings ratio of LOB is on the same level as its industry peers.
The average S&P500 Price/Forward Earnings ratio is at 23.29. LOB is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 28.23 | ||
| Fwd PE | 10.22 |
4.2 Price Multiples
97.96% of the companies in the same industry are more expensive than LOB, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 2.38 | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
LOB's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
LOB's earnings are expected to grow with 52.43% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.56
PEG (5Y)1.06
EPS Next 2Y52.43%
EPS Next 3YN/A
5. Dividend
5.1 Amount
LOB has a Yearly Dividend Yield of 3.71%. Purely for dividend investing, there may be better candidates out there.
LOB's Dividend Yield is a higher than the industry average which is at 3.52.
Compared to an average S&P500 Dividend Yield of 2.41, LOB pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.71% |
5.2 History
The dividend of LOB has a limited annual growth rate of 0.13%.
LOB has been paying a dividend for at least 10 years, so it has a reliable track record.
LOB has not decreased its dividend in the past 5 years, so it has a somewhat stable track record.
Dividend Growth(5Y)0.13%
Div Incr Years0
Div Non Decr Years9
5.3 Sustainability
9.71% of the earnings are spent on dividend by LOB. This is a low number and sustainable payout ratio.
LOB's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP9.71%
EPS Next 2Y52.43%
EPS Next 3YN/A
34.44
-0.67 (-1.91%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupBanks
GICS IndustryBanks
Earnings (Last)
Earnings (Next)
Inst Owners68.43%
Inst Owner Change2.18%
Ins Owners19.7%
Ins Owner Change3.36%
Market Cap1.57B
Analysts48
Price Target40.12 (16.49%)
Short Float %4.88%
Short Ratio5.84
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.71% |
Yearly Dividend0.12
Dividend Growth(5Y)0.13%
DP9.71%
Div Incr Years0
Div Non Decr Years9
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-22.19%
Min EPS beat(2)-39.65%
Max EPS beat(2)-4.73%
EPS beat(4)0
Avg EPS beat(4)-38.59%
Min EPS beat(4)-59.96%
Max EPS beat(4)-4.73%
EPS beat(8)2
Avg EPS beat(8)-11.02%
EPS beat(12)4
Avg EPS beat(12)-18.21%
EPS beat(16)6
Avg EPS beat(16)-18.46%
Revenue beat(2)2
Avg Revenue beat(2)6.32%
Min Revenue beat(2)2.68%
Max Revenue beat(2)9.96%
Revenue beat(4)4
Avg Revenue beat(4)4.84%
Min Revenue beat(4)2.67%
Max Revenue beat(4)9.96%
Revenue beat(8)7
Avg Revenue beat(8)4.33%
Revenue beat(12)9
Avg Revenue beat(12)4.42%
Revenue beat(16)13
Avg Revenue beat(16)11.06%
PT rev (1m)3.51%
PT rev (3m)24.87%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-5.43%
EPS NY rev (1m)9.37%
EPS NY rev (3m)2.13%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)1%
Revenue NY rev (1m)0%
Revenue NY rev (3m)1.64%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 28.23 | ||
| Fwd PE | 10.22 | ||
| P/S | 2.98 | ||
| P/FCF | 2.38 | ||
| P/OCF | 2.33 | ||
| P/B | 1.48 | ||
| P/tB | 1.57 | ||
| EV/EBITDA | N/A |
EPS(TTM)1.22
EY3.54%
EPS(NY)3.37
Fwd EY9.78%
FCF(TTM)14.45
FCFY41.95%
OCF(TTM)14.76
OCFY42.85%
SpS11.54
BVpS23.24
TBVpS21.92
PEG (NY)0.56
PEG (5Y)1.06
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.41% | ||
| ROE | 5.28% | ||
| ROCE | N/A | ||
| ROIC | N/A | ||
| ROICexc | N/A | ||
| ROICexgc | N/A | ||
| OM | N/A | ||
| PM (TTM) | 10.62% | ||
| GM | N/A | ||
| FCFM | 125.17% |
ROA(3y)1.01%
ROA(5y)1.17%
ROE(3y)12.56%
ROE(5y)14.3%
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-24.86%
PM growth 5Y11.89%
GM growth 3YN/A
GM growth 5YN/A
F-Score4
Asset Turnover0.04
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.1 | ||
| Debt/FCF | 0.16 | ||
| Debt/EBITDA | N/A | ||
| Cap/Depr | 52.94% | ||
| Cap/Sales | 2.68% | ||
| Interest Coverage | N/A | ||
| Cash Conversion | N/A | ||
| Profit Quality | 1178.35% | ||
| Current Ratio | N/A | ||
| Quick Ratio | N/A | ||
| Altman-Z | N/A |
F-Score4
WACC31.79%
ROIC/WACCN/A
Cap/Depr(3y)214.19%
Cap/Depr(5y)150.76%
Cap/Sales(3y)9.29%
Cap/Sales(5y)7.2%
Profit Quality(3y)483.44%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-44.29%
EPS 3Y-26.89%
EPS 5Y26.65%
EPS Q2Q%-13.56%
EPS Next Y50.46%
EPS Next 2Y52.43%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)8.02%
Revenue growth 3Y3.02%
Revenue growth 5Y19.67%
Sales Q2Q%14.56%
Revenue Next Year22.24%
Revenue Next 2Y15.89%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1YN/A
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next YearN/A
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y113.75%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y97.5%
OCF growth 3YN/A
OCF growth 5YN/A