LANTRONIX INC (LTRX) Stock Fundamental Analysis
USA - NASDAQ:LTRX - US5165482036 - Common Stock
5 USD
+0.01 (+0.2%)
4.9532 USD
-0.05 (-0.94%)
Overall LTRX gets a fundamental rating of 4 out of 10. We evaluated LTRX against 48 industry peers in the Communications Equipment industry. While LTRX seems to be doing ok healthwise, there are quite some concerns on its profitability. LTRX has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
LTRX had positive earnings in the past year.
In the past year LTRX had a positive cash flow from operations.
In the past 5 years LTRX always reported negative net income.
Of the past 5 years LTRX 4 years had a positive operating cash flow.
1.2 Ratios
The Return On Assets of LTRX (-9.19%) is worse than 72.92% of its industry peers.
LTRX has a worse Return On Equity (-15.29%) than 68.75% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -9.19% | ||
| ROE | -15.29% | ||
| ROIC | N/A |
ROA(3y)-6.15%
ROA(5y)-5.58%
ROE(3y)-10.81%
ROE(5y)-9.57%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
LTRX has a Gross Margin of 42.06%. This is comparable to the rest of the industry: LTRX outperforms 56.25% of its industry peers.
LTRX's Gross Margin has been stable in the last couple of years.
LTRX does not have Profit Margin and Operating Margin available, so we won't be analyzing them here.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 42.06% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-0.63%
GM growth 5Y-1.3%
2. Health
2.1 Basic Checks
LTRX does not have a ROIC to compare to the WACC, probably because it is not profitable.
The number of shares outstanding for LTRX has been increased compared to 1 year ago.
LTRX has more shares outstanding than it did 5 years ago.
LTRX has a better debt/assets ratio than last year.
2.2 Solvency
LTRX has an Altman-Z score of 0.99. This is a bad value and indicates that LTRX is not financially healthy and even has some risk of bankruptcy.
LTRX has a Altman-Z score of 0.99. This is comparable to the rest of the industry: LTRX outperforms 45.83% of its industry peers.
The Debt to FCF ratio of LTRX is 1.73, which is an excellent value as it means it would take LTRX, only 1.73 years of fcf income to pay off all of its debts.
Looking at the Debt to FCF ratio, with a value of 1.73, LTRX is in the better half of the industry, outperforming 64.58% of the companies in the same industry.
A Debt/Equity ratio of 0.12 indicates that LTRX is not too dependend on debt financing.
The Debt to Equity ratio of LTRX (0.12) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.12 | ||
| Debt/FCF | 1.73 | ||
| Altman-Z | 0.99 |
ROIC/WACCN/A
WACC9.77%
2.3 Liquidity
LTRX has a Current Ratio of 2.54. This indicates that LTRX is financially healthy and has no problem in meeting its short term obligations.
The Current ratio of LTRX (2.54) is better than 68.75% of its industry peers.
LTRX has a Quick Ratio of 1.68. This is a normal value and indicates that LTRX is financially healthy and should not expect problems in meeting its short term obligations.
LTRX has a Quick ratio of 1.68. This is comparable to the rest of the industry: LTRX outperforms 58.33% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.54 | ||
| Quick Ratio | 1.68 |
3. Growth
3.1 Past
LTRX shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -65.85%.
LTRX shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 9.24% yearly.
LTRX shows a very negative growth in Revenue. In the last year, the Revenue has decreased by -23.33%.
Measured over the past years, LTRX shows a quite strong growth in Revenue. The Revenue has been growing by 15.46% on average per year.
EPS 1Y (TTM)-65.85%
EPS 3Y-25.6%
EPS 5Y9.24%
EPS Q2Q%-93.33%
Revenue 1Y (TTM)-23.33%
Revenue growth 3Y-1.77%
Revenue growth 5Y15.46%
Sales Q2Q%-41.23%
3.2 Future
Based on estimates for the next years, LTRX will show a very strong growth in Earnings Per Share. The EPS will grow by 45.79% on average per year.
LTRX is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 11.65% yearly.
EPS Next Y43.89%
EPS Next 2Y49.72%
EPS Next 3Y58.83%
EPS Next 5Y45.79%
Revenue Next Year3.04%
Revenue Next 2Y7.38%
Revenue Next 3Y13.05%
Revenue Next 5Y11.65%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
Although the future Revenue growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
4. Valuation
4.1 Price/Earnings Ratio
LTRX is valuated quite expensively with a Price/Earnings ratio of 35.71.
LTRX's Price/Earnings ratio is in line with the industry average.
LTRX's Price/Earnings ratio indicates a valuation a bit more expensive than the S&P500 average which is at 27.91.
The Price/Forward Earnings ratio is 24.82, which indicates a rather expensive current valuation of LTRX.
Based on the Price/Forward Earnings ratio, LTRX is valued a bit cheaper than 60.42% of the companies in the same industry.
LTRX's Price/Forward Earnings ratio indicates a similar valuation than the S&P500 average which is at 23.30.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 35.71 | ||
| Fwd PE | 24.82 |
4.2 Price Multiples
Compared to the rest of the industry, the Price/Free Cash Flow ratio of LTRX indicates a somewhat cheap valuation: LTRX is cheaper than 64.58% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 28.96 | ||
| EV/EBITDA | N/A |
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.
LTRX's earnings are expected to grow with 58.83% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.81
PEG (5Y)3.87
EPS Next 2Y49.72%
EPS Next 3Y58.83%
5. Dividend
5.1 Amount
LTRX does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
5
+0.01 (+0.2%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupTechnology Hardware & Equipment
GICS IndustryCommunications Equipment
Earnings (Last)
Earnings (Next)
Inst Owners29.56%
Inst Owner Change0%
Ins Owners7.14%
Ins Owner Change2.93%
Market Cap196.35M
Analysts82
Price Target5.74 (14.8%)
Short Float %0.93%
Short Ratio0.6
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)-11.76%
Min EPS beat(2)-21.57%
Max EPS beat(2)-1.96%
EPS beat(4)1
Avg EPS beat(4)-8.53%
Min EPS beat(4)-33.16%
Max EPS beat(4)22.55%
EPS beat(8)3
Avg EPS beat(8)16.38%
EPS beat(12)5
Avg EPS beat(12)17.42%
EPS beat(16)8
Avg EPS beat(16)15.34%
Revenue beat(2)0
Avg Revenue beat(2)-2.37%
Min Revenue beat(2)-4.03%
Max Revenue beat(2)-0.71%
Revenue beat(4)0
Avg Revenue beat(4)-3.34%
Min Revenue beat(4)-7.07%
Max Revenue beat(4)-0.71%
Revenue beat(8)2
Avg Revenue beat(8)-1.99%
Revenue beat(12)2
Avg Revenue beat(12)-2.58%
Revenue beat(16)6
Avg Revenue beat(16)0.04%
PT rev (1m)0%
PT rev (3m)9.76%
EPS NQ rev (1m)0%
EPS NQ rev (3m)9.09%
EPS NY rev (1m)1.28%
EPS NY rev (3m)1.28%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-0.23%
Revenue NY rev (1m)-0.59%
Revenue NY rev (3m)-0.59%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 35.71 | ||
| Fwd PE | 24.82 | ||
| P/S | 1.6 | ||
| P/FCF | 28.96 | ||
| P/OCF | 26.95 | ||
| P/B | 2.64 | ||
| P/tB | 4.96 | ||
| EV/EBITDA | N/A |
EPS(TTM)0.14
EY2.8%
EPS(NY)0.2
Fwd EY4.03%
FCF(TTM)0.17
FCFY3.45%
OCF(TTM)0.19
OCFY3.71%
SpS3.13
BVpS1.89
TBVpS1.01
PEG (NY)0.81
PEG (5Y)3.87
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -9.19% | ||
| ROE | -15.29% | ||
| ROCE | N/A | ||
| ROIC | N/A | ||
| ROICexc | N/A | ||
| ROICexgc | N/A | ||
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 42.06% | ||
| FCFM | 5.52% |
ROA(3y)-6.15%
ROA(5y)-5.58%
ROE(3y)-10.81%
ROE(5y)-9.57%
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 3YN/A
PM growth 5YN/A
GM growth 3Y-0.63%
GM growth 5Y-1.3%
F-Score4
Asset Turnover0.99
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.12 | ||
| Debt/FCF | 1.73 | ||
| Debt/EBITDA | N/A | ||
| Cap/Depr | 8.37% | ||
| Cap/Sales | 0.41% | ||
| Interest Coverage | N/A | ||
| Cash Conversion | N/A | ||
| Profit Quality | N/A | ||
| Current Ratio | 2.54 | ||
| Quick Ratio | 1.68 | ||
| Altman-Z | 0.99 |
F-Score4
WACC9.77%
ROIC/WACCN/A
Cap/Depr(3y)21.19%
Cap/Depr(5y)23.11%
Cap/Sales(3y)1.12%
Cap/Sales(5y)1.22%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-65.85%
EPS 3Y-25.6%
EPS 5Y9.24%
EPS Q2Q%-93.33%
EPS Next Y43.89%
EPS Next 2Y49.72%
EPS Next 3Y58.83%
EPS Next 5Y45.79%
Revenue 1Y (TTM)-23.33%
Revenue growth 3Y-1.77%
Revenue growth 5Y15.46%
Sales Q2Q%-41.23%
Revenue Next Year3.04%
Revenue Next 2Y7.38%
Revenue Next 3Y13.05%
Revenue Next 5Y11.65%
EBIT growth 1Y-396.45%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year65.64%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-60.45%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-60.88%
OCF growth 3YN/A
OCF growth 5YN/A