LATTICE SEMICONDUCTOR CORP (LSCC) Stock Fundamental Analysis
NASDAQ:LSCC - Nasdaq - US5184151042 - Common Stock - Currency: USD
Taking everything into account, LSCC scores 6 out of 10 in our fundamental rating. LSCC was compared to 110 industry peers in the Semiconductors & Semiconductor Equipment industry. Both the health and profitability get an excellent rating, making LSCC a very profitable company, without any liquidiy or solvency issues. LSCC is valied quite expensively at the moment, while it does show a decent growth rate. These ratings could make LSCC a good candidate for quality investing.
1. Profitability
1.1 Basic Checks
In the past year LSCC was profitable.
In the past year LSCC had a positive cash flow from operations.
In the past 5 years LSCC has always been profitable.
In the past 5 years LSCC always reported a positive cash flow from operatings.
1.2 Ratios
LSCC has a better Return On Assets (6.24%) than 70.91% of its industry peers.
LSCC's Return On Equity of 7.25% is fine compared to the rest of the industry. LSCC outperforms 60.91% of its industry peers.
With a decent Return On Invested Capital value of 5.26%, LSCC is doing good in the industry, outperforming 64.55% of the companies in the same industry.
LSCC had an Average Return On Invested Capital over the past 3 years of 17.21%. This is significantly above the industry average of 11.17%.
The last Return On Invested Capital (5.26%) for LSCC is well below the 3 year average (17.21%), which needs to be investigated, but indicates that LSCC had better years and this may not be a problem.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.24% | ||
| ROE | 7.25% | ||
| ROIC | 5.26% |
ROA(3y)20.15%
ROA(5y)16.12%
ROE(3y)27.58%
ROE(5y)23.68%
ROIC(3y)17.21%
ROIC(5y)14.43%
1.3 Margins
LSCC has a better Profit Margin (10.51%) than 69.09% of its industry peers.
In the last couple of years the Profit Margin of LSCC has grown nicely.
LSCC has a Operating Margin of 10.15%. This is in the better half of the industry: LSCC outperforms 60.91% of its industry peers.
In the last couple of years the Operating Margin of LSCC has declined.
LSCC's Gross Margin of 66.69% is amongst the best of the industry. LSCC outperforms 91.82% of its industry peers.
LSCC's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 10.15% | ||
| PM (TTM) | 10.51% | ||
| GM | 66.69% |
OM growth 3Y-15.82%
OM growth 5Y-5.45%
PM growth 3Y-13.61%
PM growth 5Y2.2%
GM growth 3Y2.29%
GM growth 5Y2.52%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so LSCC is still creating some value.
LSCC has more shares outstanding than it did 1 year ago.
The number of shares outstanding for LSCC has been increased compared to 5 years ago.
LSCC 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
LSCC has an Altman-Z score of 34.74. This indicates that LSCC is financially healthy and has little risk of bankruptcy at the moment.
LSCC has a better Altman-Z score (34.74) than 94.55% of its industry peers.
There is no outstanding debt for LSCC. 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 | 0 | ||
| Altman-Z | 34.74 |
ROIC/WACC0.46
WACC11.53%
2.3 Liquidity
LSCC has a Current Ratio of 4.31. This indicates that LSCC is financially healthy and has no problem in meeting its short term obligations.
LSCC has a Current ratio of 4.31. This is in the better half of the industry: LSCC outperforms 61.82% of its industry peers.
A Quick Ratio of 3.10 indicates that LSCC has no problem at all paying its short term obligations.
LSCC has a better Quick ratio (3.10) than 62.73% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 4.31 | ||
| Quick Ratio | 3.1 |
3. Growth
3.1 Past
LSCC shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -50.84%.
Measured over the past years, LSCC shows a quite strong growth in Earnings Per Share. The EPS has been growing by 9.63% on average per year.
LSCC shows a very negative growth in Revenue. In the last year, the Revenue has decreased by -29.55%.
LSCC shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 4.74% yearly.
EPS 1Y (TTM)-50.84%
EPS 3Y-3.89%
EPS 5Y9.63%
EPS Q2Q%-24.14%
Revenue 1Y (TTM)-29.55%
Revenue growth 3Y-0.38%
Revenue growth 5Y4.74%
Sales Q2Q%-14.68%
3.2 Future
Based on estimates for the next years, LSCC will show a very strong growth in Earnings Per Share. The EPS will grow by 24.01% on average per year.
The Revenue is expected to grow by 10.08% on average over the next years. This is quite good.
EPS Next Y12.75%
EPS Next 2Y24.76%
EPS Next 3Y24.01%
EPS Next 5YN/A
Revenue Next Year1.42%
Revenue Next 2Y9.65%
Revenue Next 3Y10.08%
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.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 53.90, LSCC can be considered very expensive at the moment.
LSCC's Price/Earnings is on the same level as the industry average.
LSCC is valuated expensively when we compare the Price/Earnings ratio to 25.91, which is the current average of the S&P500 Index.
LSCC is valuated quite expensively with a Price/Forward Earnings ratio of 32.08.
Compared to the rest of the industry, the Price/Forward Earnings ratio of LSCC is on the same level as its industry peers.
When comparing the Price/Forward Earnings ratio of LSCC to the average of the S&P500 Index (21.85), we can say LSCC is valued slightly more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 53.9 | ||
| Fwd PE | 32.08 |
4.2 Price Multiples
LSCC's Enterprise Value to EBITDA ratio is in line with the industry average.
LSCC's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 55.75 | ||
| EV/EBITDA | 65.6 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates LSCC does not grow enough to justify the current Price/Earnings ratio.
LSCC has an outstanding profitability rating, which may justify a higher PE ratio.
A more expensive valuation may be justified as LSCC's earnings are expected to grow with 24.01% in the coming years.
PEG (NY)4.23
PEG (5Y)5.6
EPS Next 2Y24.76%
EPS Next 3Y24.01%
5. Dividend
5.1 Amount
LSCC does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
47.43
+0.89 (+1.91%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSemiconductors & Semiconductor Equipment
GICS IndustrySemiconductors & Semiconductor Equipment
Earnings (Last)
Earnings (Next)
Inst Owners114.81%
Inst Owner Change-0.61%
Ins Owners0.78%
Ins Owner Change10.18%
Market Cap6.53B
Analysts80
Price Target65.45 (37.99%)
Short Float %7.17%
Short Ratio3.01
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)-1.87%
Min EPS beat(2)-2.2%
Max EPS beat(2)-1.53%
EPS beat(4)0
Avg EPS beat(4)-2.57%
Min EPS beat(4)-6.37%
Max EPS beat(4)-0.19%
EPS beat(8)2
Avg EPS beat(8)-1.24%
EPS beat(12)5
Avg EPS beat(12)0.11%
EPS beat(16)9
Avg EPS beat(16)2.88%
Revenue beat(2)0
Avg Revenue beat(2)-1.81%
Min Revenue beat(2)-1.94%
Max Revenue beat(2)-1.68%
Revenue beat(4)0
Avg Revenue beat(4)-3.04%
Min Revenue beat(4)-6.56%
Max Revenue beat(4)-1.68%
Revenue beat(8)0
Avg Revenue beat(8)-2.7%
Revenue beat(12)3
Avg Revenue beat(12)-1.74%
Revenue beat(16)7
Avg Revenue beat(16)-0.8%
PT rev (1m)-6.83%
PT rev (3m)-1.44%
EPS NQ rev (1m)0.61%
EPS NQ rev (3m)0.33%
EPS NY rev (1m)-2.72%
EPS NY rev (3m)-3.08%
Revenue NQ rev (1m)-0.05%
Revenue NQ rev (3m)-0.05%
Revenue NY rev (1m)-1.02%
Revenue NY rev (3m)-1.67%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 53.9 | ||
| Fwd PE | 32.08 | ||
| P/S | 13.35 | ||
| P/FCF | 55.75 | ||
| P/OCF | 45.56 | ||
| P/B | 9.22 | ||
| P/tB | 16.85 | ||
| EV/EBITDA | 65.6 |
EPS(TTM)0.88
EY1.86%
EPS(NY)1.48
Fwd EY3.12%
FCF(TTM)0.85
FCFY1.79%
OCF(TTM)1.04
OCFY2.19%
SpS3.55
BVpS5.14
TBVpS2.82
PEG (NY)4.23
PEG (5Y)5.6
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.24% | ||
| ROE | 7.25% | ||
| ROCE | 6.66% | ||
| ROIC | 5.26% | ||
| ROICexc | 6.35% | ||
| ROICexgc | 13.19% | ||
| OM | 10.15% | ||
| PM (TTM) | 10.51% | ||
| GM | 66.69% | ||
| FCFM | 23.96% |
ROA(3y)20.15%
ROA(5y)16.12%
ROE(3y)27.58%
ROE(5y)23.68%
ROIC(3y)17.21%
ROIC(5y)14.43%
ROICexc(3y)21.34%
ROICexc(5y)18.26%
ROICexgc(3y)52.88%
ROICexgc(5y)49.22%
ROCE(3y)21.78%
ROCE(5y)18.26%
ROICexcg growth 3Y-33.52%
ROICexcg growth 5Y-16.93%
ROICexc growth 3Y-22.03%
ROICexc growth 5Y-9.19%
OM growth 3Y-15.82%
OM growth 5Y-5.45%
PM growth 3Y-13.61%
PM growth 5Y2.2%
GM growth 3Y2.29%
GM growth 5Y2.52%
F-Score6
Asset Turnover0.59
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 56.83% | ||
| Cap/Sales | 5.36% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 149.73% | ||
| Profit Quality | 227.98% | ||
| Current Ratio | 4.31 | ||
| Quick Ratio | 3.1 | ||
| Altman-Z | 34.74 |
F-Score6
WACC11.53%
ROIC/WACC0.46
Cap/Depr(3y)57.89%
Cap/Depr(5y)52.41%
Cap/Sales(3y)3.46%
Cap/Sales(5y)3.05%
Profit Quality(3y)137.63%
Profit Quality(5y)149.09%
High Growth Momentum
Growth
EPS 1Y (TTM)-50.84%
EPS 3Y-3.89%
EPS 5Y9.63%
EPS Q2Q%-24.14%
EPS Next Y12.75%
EPS Next 2Y24.76%
EPS Next 3Y24.01%
EPS Next 5YN/A
Revenue 1Y (TTM)-29.55%
Revenue growth 3Y-0.38%
Revenue growth 5Y4.74%
Sales Q2Q%-14.68%
Revenue Next Year1.42%
Revenue Next 2Y9.65%
Revenue Next 3Y10.08%
Revenue Next 5YN/A
EBIT growth 1Y-71.37%
EBIT growth 3Y-16.14%
EBIT growth 5Y-0.97%
EBIT Next Year41.58%
EBIT Next 3Y33.22%
EBIT Next 5YN/A
FCF growth 1Y-45.08%
FCF growth 3Y-8.77%
FCF growth 5Y2.02%
OCF growth 1Y-40.43%
OCF growth 3Y-5.64%
OCF growth 5Y2.57%