LOVESAC CO/THE (LOVE) Stock Fundamental Analysis
USA - NASDAQ:LOVE - US54738L1098 - Common Stock
13.86 USD
-0.38 (-2.67%)
13.86 USD
0 (0%)
We assign a fundamental rating of 4 out of 10 to LOVE. LOVE was compared to 61 industry peers in the Household Durables industry. LOVE has only an average score on both its financial health and profitability. LOVE is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
LOVE had positive earnings in the past year.
LOVE had a positive operating cash flow in the past year.
In the past 5 years LOVE has always been profitable.
LOVE had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
Looking at the Return On Assets, with a value of 2.61%, LOVE is in line with its industry, outperforming 45.90% of the companies in the same industry.
LOVE has a Return On Equity (6.53%) which is in line with its industry peers.
Looking at the Return On Invested Capital, with a value of 3.47%, LOVE is doing worse than 63.93% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for LOVE is below the industry average of 10.34%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.61% | ||
| ROE | 6.53% | ||
| ROIC | 3.47% |
ROA(3y)4.54%
ROA(5y)7.01%
ROE(3y)10.01%
ROE(5y)14.75%
ROIC(3y)5.56%
ROIC(5y)7.56%
1.3 Margins
With a Profit Margin value of 1.87%, LOVE is not doing good in the industry: 60.66% of the companies in the same industry are doing better.
LOVE's Profit Margin has declined in the last couple of years.
LOVE has a Operating Margin of 2.55%. This is in the lower half of the industry: LOVE underperforms 68.85% of its industry peers.
In the last couple of years the Operating Margin of LOVE has declined.
LOVE has a better Gross Margin (57.71%) than 95.08% of its industry peers.
LOVE's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 2.55% | ||
| PM (TTM) | 1.87% | ||
| GM | 57.71% |
OM growth 3Y-37.34%
OM growth 5YN/A
PM growth 3Y-43.74%
PM growth 5YN/A
GM growth 3Y2.19%
GM growth 5Y3.17%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so LOVE is destroying value.
LOVE has less shares outstanding than it did 1 year ago.
LOVE has more shares outstanding than it did 5 years ago.
LOVE has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
2.2 Solvency
An Altman-Z score of 2.10 indicates that LOVE is not a great score, but indicates only limited risk for bankruptcy at the moment.
The Altman-Z score of LOVE (2.10) is worse than 70.49% of its industry peers.
There is no outstanding debt for LOVE. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 2.1 |
ROIC/WACC0.39
WACC8.98%
2.3 Liquidity
LOVE has a Current Ratio of 1.52. This is a normal value and indicates that LOVE is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Current ratio, with a value of 1.52, LOVE is doing worse than 78.69% of the companies in the same industry.
A Quick Ratio of 0.53 indicates that LOVE may have some problems paying its short term obligations.
LOVE has a Quick ratio of 0.53. This is in the lower half of the industry: LOVE underperforms 72.13% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.52 | ||
| Quick Ratio | 0.53 |
3. Growth
3.1 Past
LOVE shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 23.53%, which is quite impressive.
LOVE shows a very negative growth in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -40.79% yearly.
The Revenue has decreased by -0.50% in the past year.
LOVE shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 23.87% yearly.
EPS 1Y (TTM)23.53%
EPS 3Y-40.79%
EPS 5YN/A
EPS Q2Q%-18.42%
Revenue 1Y (TTM)-0.5%
Revenue growth 3Y10.96%
Revenue growth 5Y23.87%
Sales Q2Q%2.52%
3.2 Future
The Earnings Per Share is expected to grow by 37.49% on average over the next years. This is a very strong growth
The Revenue is expected to grow by 8.89% on average over the next years. This is quite good.
EPS Next Y22.74%
EPS Next 2Y42.53%
EPS Next 3Y42.16%
EPS Next 5Y37.49%
Revenue Next Year5.12%
Revenue Next 2Y6.31%
Revenue Next 3Y9.57%
Revenue Next 5Y8.89%
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 decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 22.00, LOVE is valued on the expensive side.
Based on the Price/Earnings ratio, LOVE is valued a bit more expensive than the industry average as 65.57% of the companies are valued more cheaply.
When comparing the Price/Earnings ratio of LOVE to the average of the S&P500 Index (26.19), we can say LOVE is valued inline with the index average.
The Price/Forward Earnings ratio is 11.37, which indicates a very decent valuation of LOVE.
LOVE's Price/Forward Earnings is on the same level as the industry average.
When comparing the Price/Forward Earnings ratio of LOVE to the average of the S&P500 Index (22.50), we can say LOVE is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22 | ||
| Fwd PE | 11.37 |
4.2 Price Multiples
86.89% of the companies in the same industry are more expensive than LOVE, based on the Enterprise Value to EBITDA ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 5.35 |
4.3 Compensation for Growth
LOVE's 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 LOVE's earnings are expected to grow with 42.16% in the coming years.
PEG (NY)0.97
PEG (5Y)N/A
EPS Next 2Y42.53%
EPS Next 3Y42.16%
5. Dividend
5.1 Amount
LOVE does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
13.86
-0.38 (-2.67%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Durables & Apparel
GICS IndustryHousehold Durables
Earnings (Last)
Earnings (Next)
Inst Owners97.39%
Inst Owner Change0.33%
Ins Owners4.46%
Ins Owner Change2.55%
Market Cap202.49M
Revenue(TTM)690.30M
Net Income(TTM)12.89M
Analysts83.33
Price Target29.92 (115.87%)
Short Float %23.89%
Short Ratio6.51
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)2
Avg EPS beat(2)23.65%
Min EPS beat(2)9.79%
Max EPS beat(2)37.51%
EPS beat(4)4
Avg EPS beat(4)17.18%
Min EPS beat(4)9.79%
Max EPS beat(4)37.51%
EPS beat(8)7
Avg EPS beat(8)18.15%
EPS beat(12)10
Avg EPS beat(12)23.25%
EPS beat(16)14
Avg EPS beat(16)53.28%
Revenue beat(2)0
Avg Revenue beat(2)-1.49%
Min Revenue beat(2)-1.77%
Max Revenue beat(2)-1.2%
Revenue beat(4)1
Avg Revenue beat(4)-1.78%
Min Revenue beat(4)-5.35%
Max Revenue beat(4)1.2%
Revenue beat(8)2
Avg Revenue beat(8)-1.98%
Revenue beat(12)5
Avg Revenue beat(12)-0.53%
Revenue beat(16)9
Avg Revenue beat(16)2.02%
PT rev (1m)0%
PT rev (3m)2.56%
EPS NQ rev (1m)-171%
EPS NQ rev (3m)-278.2%
EPS NY rev (1m)-16.44%
EPS NY rev (3m)-30.44%
Revenue NQ rev (1m)-0.63%
Revenue NQ rev (3m)-1.07%
Revenue NY rev (1m)0.2%
Revenue NY rev (3m)0.27%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22 | ||
| Fwd PE | 11.37 | ||
| P/S | 0.29 | ||
| P/FCF | N/A | ||
| P/OCF | 19.11 | ||
| P/B | 1.03 | ||
| P/tB | 1.04 | ||
| EV/EBITDA | 5.35 |
EPS(TTM)0.63
EY4.55%
EPS(NY)1.22
Fwd EY8.79%
FCF(TTM)-0.73
FCFYN/A
OCF(TTM)0.73
OCFY5.23%
SpS47.25
BVpS13.52
TBVpS13.38
PEG (NY)0.97
PEG (5Y)N/A
Graham Number13.84
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.61% | ||
| ROE | 6.53% | ||
| ROCE | 4.77% | ||
| ROIC | 3.47% | ||
| ROICexc | 3.82% | ||
| ROICexgc | 3.84% | ||
| OM | 2.55% | ||
| PM (TTM) | 1.87% | ||
| GM | 57.71% | ||
| FCFM | N/A |
ROA(3y)4.54%
ROA(5y)7.01%
ROE(3y)10.01%
ROE(5y)14.75%
ROIC(3y)5.56%
ROIC(5y)7.56%
ROICexc(3y)6.82%
ROICexc(5y)13.93%
ROICexgc(3y)6.86%
ROICexgc(5y)14.28%
ROCE(3y)7.65%
ROCE(5y)10.41%
ROICexgc growth 3Y-43.02%
ROICexgc growth 5YN/A
ROICexc growth 3Y-42.96%
ROICexc growth 5YN/A
OM growth 3Y-37.34%
OM growth 5YN/A
PM growth 3Y-43.74%
PM growth 5YN/A
GM growth 3Y2.19%
GM growth 5Y3.17%
F-Score4
Asset Turnover1.4
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 142.35% | ||
| Cap/Sales | 3.07% | ||
| Interest Coverage | 144.25 | ||
| Cash Conversion | 32.6% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.52 | ||
| Quick Ratio | 0.53 | ||
| Altman-Z | 2.1 |
F-Score4
WACC8.98%
ROIC/WACC0.39
Cap/Depr(3y)204.59%
Cap/Depr(5y)188.61%
Cap/Sales(3y)3.75%
Cap/Sales(5y)3.42%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)23.53%
EPS 3Y-40.79%
EPS 5YN/A
EPS Q2Q%-18.42%
EPS Next Y22.74%
EPS Next 2Y42.53%
EPS Next 3Y42.16%
EPS Next 5Y37.49%
Revenue 1Y (TTM)-0.5%
Revenue growth 3Y10.96%
Revenue growth 5Y23.87%
Sales Q2Q%2.52%
Revenue Next Year5.12%
Revenue Next 2Y6.31%
Revenue Next 3Y9.57%
Revenue Next 5Y8.89%
EBIT growth 1Y66.84%
EBIT growth 3Y-30.47%
EBIT growth 5YN/A
EBIT Next Year496.6%
EBIT Next 3Y105.96%
EBIT Next 5Y61.44%
FCF growth 1Y-125.95%
FCF growth 3Y-0.13%
FCF growth 5YN/A
OCF growth 1Y-84.61%
OCF growth 3Y6.08%
OCF growth 5YN/A
LOVESAC CO/THE / LOVE FAQ
What is the fundamental rating for LOVE stock?
ChartMill assigns a fundamental rating of 4 / 10 to LOVE.
What is the valuation status for LOVE stock?
ChartMill assigns a valuation rating of 4 / 10 to LOVESAC CO/THE (LOVE). This can be considered as Fairly Valued.
What is the profitability of LOVE stock?
LOVESAC CO/THE (LOVE) has a profitability rating of 4 / 10.
What is the financial health of LOVESAC CO/THE (LOVE) stock?
The financial health rating of LOVESAC CO/THE (LOVE) is 5 / 10.
What is the earnings growth outlook for LOVESAC CO/THE?
The Earnings per Share (EPS) of LOVESAC CO/THE (LOVE) is expected to grow by 22.74% in the next year.