LSI INDUSTRIES INC (LYTS) Stock Fundamental Analysis
NASDAQ:LYTS - Nasdaq - US50216C1080 - Common Stock - Currency: USD
We assign a fundamental rating of 6 out of 10 to LYTS. LYTS was compared to 94 industry peers in the Electrical Equipment industry. LYTS has an excellent profitability rating, but there are some minor concerns on its financial health. LYTS is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year LYTS was profitable.
In the past year LYTS had a positive cash flow from operations.
In the past 5 years LYTS has always been profitable.
Of the past 5 years LYTS 4 years had a positive operating cash flow.
1.2 Ratios
LYTS has a better Return On Assets (5.69%) than 80.85% of its industry peers.
Looking at the Return On Equity, with a value of 9.87%, LYTS belongs to the top of the industry, outperforming 80.85% of the companies in the same industry.
LYTS has a Return On Invested Capital of 8.50%. This is amongst the best in the industry. LYTS outperforms 80.85% of its industry peers.
The Average Return On Invested Capital over the past 3 years for LYTS is in line with the industry average of 9.87%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.69% | ||
| ROE | 9.87% | ||
| ROIC | 8.5% |
ROA(3y)6.9%
ROA(5y)5.66%
ROE(3y)12.3%
ROE(5y)9.81%
ROIC(3y)10.1%
ROIC(5y)7.28%
1.3 Margins
LYTS's Profit Margin of 4.00% is fine compared to the rest of the industry. LYTS outperforms 77.66% of its industry peers.
In the last couple of years the Profit Margin of LYTS has grown nicely.
Looking at the Operating Margin, with a value of 6.01%, LYTS is in the better half of the industry, outperforming 76.60% of the companies in the same industry.
LYTS's Operating Margin has improved in the last couple of years.
LYTS has a Gross Margin (24.70%) which is in line with its industry peers.
In the last couple of years the Gross Margin of LYTS has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 6.01% | ||
| PM (TTM) | 4% | ||
| GM | 24.7% |
OM growth 3Y44.69%
OM growth 5Y55.25%
PM growth 3Y41.69%
PM growth 5YN/A
GM growth 3Y4.38%
GM growth 5Y4.48%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so LYTS is still creating some value.
LYTS has more shares outstanding than it did 1 year ago.
Compared to 5 years ago, LYTS has more shares outstanding
The debt/assets ratio for LYTS is higher compared to a year ago.
2.2 Solvency
An Altman-Z score of 4.00 indicates that LYTS is not in any danger for bankruptcy at the moment.
LYTS's Altman-Z score of 4.00 is fine compared to the rest of the industry. LYTS outperforms 76.60% of its industry peers.
LYTS has a debt to FCF ratio of 1.54. This is a very positive value and a sign of high solvency as it would only need 1.54 years to pay back of all of its debts.
LYTS's Debt to FCF ratio of 1.54 is amongst the best of the industry. LYTS outperforms 91.49% of its industry peers.
A Debt/Equity ratio of 0.24 indicates that LYTS is not too dependend on debt financing.
LYTS has a Debt to Equity ratio of 0.24. This is in the better half of the industry: LYTS outperforms 60.64% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.24 | ||
| Debt/FCF | 1.54 | ||
| Altman-Z | 4 |
ROIC/WACC0.86
WACC9.92%
2.3 Liquidity
A Current Ratio of 2.08 indicates that LYTS has no problem at all paying its short term obligations.
LYTS's Current ratio of 2.08 is in line compared to the rest of the industry. LYTS outperforms 58.51% of its industry peers.
LYTS has a Quick Ratio of 1.25. This is a normal value and indicates that LYTS is financially healthy and should not expect problems in meeting its short term obligations.
LYTS has a Quick ratio of 1.25. This is comparable to the rest of the industry: LYTS outperforms 52.13% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.08 | ||
| Quick Ratio | 1.25 |
3. Growth
3.1 Past
The earnings per share for LYTS have decreased by -4.95% in the last year.
LYTS shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 99.58% yearly.
The Revenue has grown by 17.91% in the past year. This is quite good.
The Revenue has been growing slightly by 7.38% on average over the past years.
EPS 1Y (TTM)-4.95%
EPS 3Y38.19%
EPS 5Y99.58%
EPS Q2Q%-4.76%
Revenue 1Y (TTM)17.91%
Revenue growth 3Y14.17%
Revenue growth 5Y7.38%
Sales Q2Q%22.46%
3.2 Future
Based on estimates for the next years, LYTS will show a quite strong growth in Earnings Per Share. The EPS will grow by 8.49% on average per year.
LYTS is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 9.81% yearly.
EPS Next Y7.37%
EPS Next 2Y12.8%
EPS Next 3Y10.31%
EPS Next 5Y8.49%
Revenue Next Year19.15%
Revenue Next 2Y13.08%
Revenue Next 3Y11.17%
Revenue Next 5Y9.81%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 16.78 indicates a correct valuation of LYTS.
Based on the Price/Earnings ratio, LYTS is valued cheaper than 81.91% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 26.31. LYTS is valued slightly cheaper when compared to this.
A Price/Forward Earnings ratio of 13.33 indicates a correct valuation of LYTS.
LYTS's Price/Forward Earnings ratio is rather cheap when compared to the industry. LYTS is cheaper than 85.11% of the companies in the same industry.
LYTS's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 22.13.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.78 | ||
| Fwd PE | 13.33 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of LYTS indicates a rather cheap valuation: LYTS is cheaper than 82.98% of the companies listed in the same industry.
LYTS's Price/Free Cash Flow ratio is rather cheap when compared to the industry. LYTS is cheaper than 91.49% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 13.26 | ||
| EV/EBITDA | 11.95 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
The decent profitability rating of LYTS may justify a higher PE ratio.
PEG (NY)2.28
PEG (5Y)0.17
EPS Next 2Y12.8%
EPS Next 3Y10.31%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 1.21%, LYTS has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 4.30, LYTS pays a better dividend. On top of this LYTS pays more dividend than 88.30% of the companies listed in the same industry.
With a Dividend Yield of 1.21, LYTS pays less dividend than the S&P500 average, which is at 2.40.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.21% |
5.2 History
The dividend of LYTS decreases each year by -0.17%.
LYTS has been paying a dividend for at least 10 years, so it has a reliable track record.
LYTS has decreased its dividend recently.
Dividend Growth(5Y)-0.17%
Div Incr Years0
Div Non Decr Years1
5.3 Sustainability
LYTS pays out 27.08% of its income as dividend. This is a sustainable payout ratio.
DP27.08%
EPS Next 2Y12.8%
EPS Next 3Y10.31%
16.11
-0.48 (-2.89%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryElectrical Equipment
Earnings (Last)
Earnings (Next)
Inst Owners76.39%
Inst Owner Change2.02%
Ins Owners6.08%
Ins Owner Change0.48%
Market Cap483.30M
Analysts82.22
Price Target26.52 (64.62%)
Short Float %1.45%
Short Ratio2.49
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.21% |
Yearly Dividend0.2
Dividend Growth(5Y)-0.17%
DP27.08%
Div Incr Years0
Div Non Decr Years1
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)10.41%
Min EPS beat(2)-6.63%
Max EPS beat(2)27.45%
EPS beat(4)3
Avg EPS beat(4)9.67%
Min EPS beat(4)-6.63%
Max EPS beat(4)27.45%
EPS beat(8)7
Avg EPS beat(8)20.8%
EPS beat(12)11
Avg EPS beat(12)28.53%
EPS beat(16)14
Avg EPS beat(16)46.69%
Revenue beat(2)2
Avg Revenue beat(2)6.12%
Min Revenue beat(2)0.13%
Max Revenue beat(2)12.11%
Revenue beat(4)3
Avg Revenue beat(4)3.06%
Min Revenue beat(4)-0.4%
Max Revenue beat(4)12.11%
Revenue beat(8)5
Avg Revenue beat(8)0.87%
Revenue beat(12)9
Avg Revenue beat(12)3.2%
Revenue beat(16)13
Avg Revenue beat(16)5.46%
PT rev (1m)0%
PT rev (3m)-9.3%
EPS NQ rev (1m)-12.73%
EPS NQ rev (3m)-17.24%
EPS NY rev (1m)0%
EPS NY rev (3m)-1.96%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0.62%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.65%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.78 | ||
| Fwd PE | 13.33 | ||
| P/S | 0.88 | ||
| P/FCF | 13.26 | ||
| P/OCF | 12.17 | ||
| P/B | 2.18 | ||
| P/tB | 6.13 | ||
| EV/EBITDA | 11.95 |
EPS(TTM)0.96
EY5.96%
EPS(NY)1.21
Fwd EY7.5%
FCF(TTM)1.21
FCFY7.54%
OCF(TTM)1.32
OCFY8.22%
SpS18.24
BVpS7.39
TBVpS2.63
PEG (NY)2.28
PEG (5Y)0.17
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.69% | ||
| ROE | 9.87% | ||
| ROCE | 11.13% | ||
| ROIC | 8.5% | ||
| ROICexc | 8.62% | ||
| ROICexgc | 16.93% | ||
| OM | 6.01% | ||
| PM (TTM) | 4% | ||
| GM | 24.7% | ||
| FCFM | 6.66% |
ROA(3y)6.9%
ROA(5y)5.66%
ROE(3y)12.3%
ROE(5y)9.81%
ROIC(3y)10.1%
ROIC(5y)7.28%
ROICexc(3y)10.21%
ROICexc(5y)7.37%
ROICexgc(3y)20.19%
ROICexgc(5y)14.33%
ROCE(3y)13.23%
ROCE(5y)9.54%
ROICexcg growth 3Y48.25%
ROICexcg growth 5Y62.26%
ROICexc growth 3Y53.63%
ROICexc growth 5Y50.69%
OM growth 3Y44.69%
OM growth 5Y55.25%
PM growth 3Y41.69%
PM growth 5YN/A
GM growth 3Y4.38%
GM growth 5Y4.48%
F-Score3
Asset Turnover1.42
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.24 | ||
| Debt/FCF | 1.54 | ||
| Debt/EBITDA | 1.17 | ||
| Cap/Depr | 27.59% | ||
| Cap/Sales | 0.6% | ||
| Interest Coverage | 11.66 | ||
| Cash Conversion | 88.72% | ||
| Profit Quality | 166.53% | ||
| Current Ratio | 2.08 | ||
| Quick Ratio | 1.25 | ||
| Altman-Z | 4 |
F-Score3
WACC9.92%
ROIC/WACC0.86
Cap/Depr(3y)36.02%
Cap/Depr(5y)33.45%
Cap/Sales(3y)0.75%
Cap/Sales(5y)0.77%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-4.95%
EPS 3Y38.19%
EPS 5Y99.58%
EPS Q2Q%-4.76%
EPS Next Y7.37%
EPS Next 2Y12.8%
EPS Next 3Y10.31%
EPS Next 5Y8.49%
Revenue 1Y (TTM)17.91%
Revenue growth 3Y14.17%
Revenue growth 5Y7.38%
Sales Q2Q%22.46%
Revenue Next Year19.15%
Revenue Next 2Y13.08%
Revenue Next 3Y11.17%
Revenue Next 5Y9.81%
EBIT growth 1Y-11.72%
EBIT growth 3Y65.18%
EBIT growth 5Y66.71%
EBIT Next Year30.41%
EBIT Next 3Y23.69%
EBIT Next 5Y21.74%
FCF growth 1Y-6.02%
FCF growth 3Y13.81%
FCF growth 5Y33.78%
OCF growth 1Y-3.98%
OCF growth 3Y15.71%
OCF growth 5Y30.44%