Life360, Inc.
Life360, Inc. Fundamental Analysis
Life360, Inc. (360.AX) shows strong financial fundamentals with a PE ratio of 19.97, profit margin of 31.10%, and ROE of 36.36%. The company generates $0.5B in annual revenue with strong year-over-year growth of 21.99%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 80.0/100 based on profitability, valuation, growth, and balance sheet metrics. The B+ grade reflects solid fundamentals with room for improvement in valuation or growth.
Fundamental Health Score
We analyze 360.AX's fundamental strength across five key dimensions:
Efficiency Score
Excellent360.AX demonstrates superior asset utilization.
Valuation Score
Excellent360.AX trades at attractive valuation levels.
Growth Score
Excellent360.AX delivers strong and consistent growth momentum.
Financial Health Score
Excellent360.AX maintains a strong and stable balance sheet.
Profitability Score
Excellent360.AX achieves industry-leading margins.
Key Financial Metrics
Is 360.AX Expensive or Cheap?
P/E Ratio
360.AX trades at 19.97 times earnings. This indicates a fair valuation.
PEG Ratio
When adjusting for growth, 360.AX's PEG of 0.06 indicates potential undervaluation.
Price to Book
The market values Life360, Inc. at 5.57 times its book value. This suggests the stock is fully valued or overvalued on an asset basis.
EV/EBITDA
Enterprise value stands at 72.20 times EBITDA. This signals the market has high growth expectations.
How Well Does 360.AX Make Money?
Net Profit Margin
For every $100 in sales, Life360, Inc. keeps $31.10 as profit after all expenses.
Operating Margin
Core operations generate 3.86 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $36.36 in profit for every $100 of shareholder equity.
ROA
Life360, Inc. generates $15.93 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Life360, Inc. produces operating cash flow of $105.88M, showing steady but balanced cash generation.
Free Cash Flow
Life360, Inc. generates strong free cash flow of $100.05M, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $0.42 in free cash annually.
FCF Yield
360.AX converts 3.15% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
19.97
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
0.06
vs 25 benchmark
P/B Ratio
Price to book value ratio
5.57
vs 25 benchmark
P/S Ratio
Price to sales ratio
6.33
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.57
vs 25 benchmark
Current Ratio
Current assets to current liabilities
6.25
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.36
vs 25 benchmark
ROA
Return on assets percentage
0.16
vs 25 benchmark
ROCE
Return on capital employed
0.02
vs 25 benchmark
How 360.AX Stacks Against Its Sector Peers
| Metric | 360.AX Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 19.97 | 33.61 | Better (Cheaper) |
| ROE | 36.36% | 1020.00% | Weak |
| Net Margin | 31.10% | -56528.00% (disorted) | Strong |
| Debt/Equity | 0.57 | 0.45 | Weak (High Leverage) |
| Current Ratio | 6.25 | 5.65 | Strong Liquidity |
| ROA | 15.93% | -291484.00% (disorted) | Strong |
360.AX outperforms its industry in 4 out of 6 key metrics, particularly excelling in Net Margin, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Life360, Inc.'s 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
336.46%
Industry Style: Growth, Innovation, High Beta
High GrowthEPS CAGR
89.49%
Industry Style: Growth, Innovation, High Beta
High GrowthFCF CAGR
151.43%
Industry Style: Growth, Innovation, High Beta
High Growth