LECTRA (LSS.PA) Stock Fundamental Analysis
EPA:LSS - Euronext Paris - Matif - FR0000065484 - Common Stock - Currency: EUR
Taking everything into account, LSS scores 5 out of 10 in our fundamental rating. LSS was compared to 96 industry peers in the Software industry. LSS has an average financial health and profitability rating. LSS is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year LSS was profitable.
In the past year LSS had a positive cash flow from operations.
In the past 5 years LSS has always been profitable.
In the past 5 years LSS always reported a positive cash flow from operatings.
1.2 Ratios
With a Return On Assets value of 3.55%, LSS perfoms like the industry average, outperforming 58.33% of the companies in the same industry.
LSS has a Return On Equity of 9.97%. This is in the better half of the industry: LSS outperforms 65.63% of its industry peers.
Looking at the Return On Invested Capital, with a value of 6.08%, LSS is in the better half of the industry, outperforming 63.54% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for LSS is below the industry average of 11.83%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.55% | ||
| ROE | 9.97% | ||
| ROIC | 6.08% |
ROA(3y)4.35%
ROA(5y)5.35%
ROE(3y)8.42%
ROE(5y)10.08%
ROIC(3y)6.88%
ROIC(5y)8.75%
1.3 Margins
With a Profit Margin value of 6.00%, LSS perfoms like the industry average, outperforming 56.25% of the companies in the same industry.
LSS's Profit Margin has declined in the last couple of years.
LSS's Operating Margin of 9.67% is fine compared to the rest of the industry. LSS outperforms 62.50% of its industry peers.
In the last couple of years the Operating Margin of LSS has declined.
LSS has a Gross Margin (71.11%) which is comparable to the rest of the industry.
LSS's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 9.67% | ||
| PM (TTM) | 6% | ||
| GM | 71.11% |
OM growth 3Y-1.83%
OM growth 5Y-6.33%
PM growth 3Y-1.47%
PM growth 5Y-6.94%
GM growth 3Y-2.26%
GM growth 5Y-0.64%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so LSS is destroying value.
The number of shares outstanding for LSS remains at a similar level compared to 1 year ago.
The number of shares outstanding for LSS has been increased compared to 5 years ago.
Compared to 1 year ago, LSS has an improved debt to assets ratio.
2.2 Solvency
An Altman-Z score of 2.07 indicates that LSS is not a great score, but indicates only limited risk for bankruptcy at the moment.
The Altman-Z score of LSS (2.07) is comparable to the rest of the industry.
The Debt to FCF ratio of LSS is 1.82, which is an excellent value as it means it would take LSS, only 1.82 years of fcf income to pay off all of its debts.
With a decent Debt to FCF ratio value of 1.82, LSS is doing good in the industry, outperforming 71.88% of the companies in the same industry.
A Debt/Equity ratio of 0.37 indicates that LSS is not too dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.37, LSS is in line with its industry, outperforming 42.71% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.37 | ||
| Debt/FCF | 1.82 | ||
| Altman-Z | 2.07 |
ROIC/WACC0.78
WACC7.83%
2.3 Liquidity
LSS has a Current Ratio of 0.98. This is a bad value and indicates that LSS is not financially healthy enough and could expect problems in meeting its short term obligations.
With a Current ratio value of 0.98, LSS is not doing good in the industry: 69.79% of the companies in the same industry are doing better.
LSS has a Quick Ratio of 0.98. This is a bad value and indicates that LSS is not financially healthy enough and could expect problems in meeting its short term obligations.
Looking at the Quick ratio, with a value of 0.72, LSS is doing worse than 76.04% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.98 | ||
| Quick Ratio | 0.72 |
3. Growth
3.1 Past
LSS shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -11.37%.
The Revenue has been growing slightly by 5.21% in the past year.
The Revenue has been growing by 11.07% on average over the past years. This is quite good.
EPS 1Y (TTM)-11.37%
EPS 3Y18.12%
EPS 5Y0%
EPS Q2Q%-10.37%
Revenue 1Y (TTM)5.21%
Revenue growth 3Y26.45%
Revenue growth 5Y11.07%
Sales Q2Q%11.15%
3.2 Future
LSS is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 13.65% yearly.
LSS is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 6.37% yearly.
EPS Next Y24.49%
EPS Next 2Y23.5%
EPS Next 3Y21.33%
EPS Next 5Y13.65%
Revenue Next Year10.96%
Revenue Next 2Y8.49%
Revenue Next 3Y7.8%
Revenue Next 5Y6.37%
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 decreasing.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 33.27, the valuation of LSS can be described as expensive.
LSS's Price/Earnings ratio is a bit cheaper when compared to the industry. LSS is cheaper than 65.63% of the companies in the same industry.
LSS is valuated at similar levels of the S&P average when we compare the Price/Earnings ratio to 28.80, which is the current average of the S&P500 Index.
With a Price/Forward Earnings ratio of 18.71, LSS is valued on the expensive side.
Based on the Price/Forward Earnings ratio, LSS is valued a bit cheaper than the industry average as 77.08% of the companies are valued more expensively.
LSS is valuated at similar levels of the S&P average when we compare the Price/Forward Earnings ratio to 21.91, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 33.27 | ||
| Fwd PE | 18.71 |
4.2 Price Multiples
LSS's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. LSS is cheaper than 73.96% of the companies in the same industry.
86.46% of the companies in the same industry are more expensive than LSS, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 13.54 | ||
| EV/EBITDA | 12.56 |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
A more expensive valuation may be justified as LSS's earnings are expected to grow with 21.33% in the coming years.
PEG (NY)1.36
PEG (5Y)N/A
EPS Next 2Y23.5%
EPS Next 3Y21.33%
5. Dividend
5.1 Amount
LSS has a Yearly Dividend Yield of 1.54%.
LSS's Dividend Yield is rather good when compared to the industry average which is at 2.98. LSS pays more dividend than 90.63% of the companies in the same industry.
Compared to the average S&P500 Dividend Yield of 2.39, LSS is paying slightly less dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.54% |
5.2 History
The dividend of LSS has a limited annual growth rate of 4.81%.
Dividend Growth(5Y)4.81%
Div Incr Years2
Div Non Decr Years2
5.3 Sustainability
LSS pays out 44.24% of its income as dividend. This is a bit on the high side, but may be sustainable.
The dividend of LSS is growing, but earnings are growing more, so the dividend growth is sustainable.
DP44.24%
EPS Next 2Y23.5%
EPS Next 3Y21.33%
EPA:LSS (3/28/2025, 1:19:20 PM)
26.95
-0.5 (-1.82%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustrySoftware
Earnings (Last)
Earnings (Next)
Inst Owners51.73%
Inst Owner ChangeN/A
Ins Owners12.71%
Ins Owner ChangeN/A
Market Cap1.02B
Analysts86
Price Target35.96 (33.43%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.54% |
Yearly Dividend0.48
Dividend Growth(5Y)4.81%
DP44.24%
Div Incr Years2
Div Non Decr Years2
Ex-DateN/A
Surprises & Revisions
EPS beat(2)N/A
Avg EPS beat(2)N/A
Min EPS beat(2)N/A
Max EPS beat(2)N/A
EPS beat(4)N/A
Avg EPS beat(4)N/A
Min EPS beat(4)N/A
Max EPS beat(4)N/A
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)N/A
Avg Revenue beat(2)N/A
Min Revenue beat(2)N/A
Max Revenue beat(2)N/A
Revenue beat(4)N/A
Avg Revenue beat(4)N/A
Min Revenue beat(4)N/A
Max Revenue beat(4)N/A
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)0%
PT rev (3m)4.44%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)0%
EPS NY rev (3m)-8.35%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0%
Revenue NY rev (3m)-3.17%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 33.27 | ||
| Fwd PE | 18.71 | ||
| P/S | 1.99 | ||
| P/FCF | 13.54 | ||
| P/OCF | 13.2 | ||
| P/B | 3.3 | ||
| P/tB | N/A | ||
| EV/EBITDA | 12.56 |
EPS(TTM)0.81
EY3.01%
EPS(NY)1.44
Fwd EY5.34%
FCF(TTM)1.99
FCFY7.39%
OCF(TTM)2.04
OCFY7.58%
SpS13.57
BVpS8.17
TBVpS-6.12
PEG (NY)1.36
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.55% | ||
| ROE | 9.97% | ||
| ROCE | 8.19% | ||
| ROIC | 6.08% | ||
| ROICexc | 6.84% | ||
| ROICexgc | N/A | ||
| OM | 9.67% | ||
| PM (TTM) | 6% | ||
| GM | 71.11% | ||
| FCFM | 14.66% |
ROA(3y)4.35%
ROA(5y)5.35%
ROE(3y)8.42%
ROE(5y)10.08%
ROIC(3y)6.88%
ROIC(5y)8.75%
ROICexc(3y)8.78%
ROICexc(5y)16.55%
ROICexgc(3y)129.07%
ROICexgc(5y)104.96%
ROCE(3y)9.26%
ROCE(5y)11.78%
ROICexcg growth 3Y15.82%
ROICexcg growth 5Y2.17%
ROICexc growth 3Y-30.32%
ROICexc growth 5Y-27.19%
OM growth 3Y-1.83%
OM growth 5Y-6.33%
PM growth 3Y-1.47%
PM growth 5Y-6.94%
GM growth 3Y-2.26%
GM growth 5Y-0.64%
F-Score4
Asset Turnover0.59
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.37 | ||
| Debt/FCF | 1.82 | ||
| Debt/EBITDA | 1.29 | ||
| Cap/Depr | 5.06% | ||
| Cap/Sales | 0.38% | ||
| Interest Coverage | 7.37 | ||
| Cash Conversion | 87.51% | ||
| Profit Quality | 244.48% | ||
| Current Ratio | 0.98 | ||
| Quick Ratio | 0.72 | ||
| Altman-Z | 2.07 |
F-Score4
WACC7.83%
ROIC/WACC0.78
Cap/Depr(3y)13.72%
Cap/Depr(5y)19.25%
Cap/Sales(3y)0.79%
Cap/Sales(5y)0.99%
Profit Quality(3y)155.97%
Profit Quality(5y)162.43%
High Growth Momentum
Growth
EPS 1Y (TTM)-11.37%
EPS 3Y18.12%
EPS 5Y0%
EPS Q2Q%-10.37%
EPS Next Y24.49%
EPS Next 2Y23.5%
EPS Next 3Y21.33%
EPS Next 5Y13.65%
Revenue 1Y (TTM)5.21%
Revenue growth 3Y26.45%
Revenue growth 5Y11.07%
Sales Q2Q%11.15%
Revenue Next Year10.96%
Revenue Next 2Y8.49%
Revenue Next 3Y7.8%
Revenue Next 5Y6.37%
EBIT growth 1Y-5.3%
EBIT growth 3Y24.14%
EBIT growth 5Y4.04%
EBIT Next Year81.16%
EBIT Next 3Y32.62%
EBIT Next 5Y22.42%
FCF growth 1Y36.86%
FCF growth 3Y18.53%
FCF growth 5Y19.65%
OCF growth 1Y28.93%
OCF growth 3Y18.25%
OCF growth 5Y15.66%