Landec Corporation Fundamental Analysis (NASDAQ: LNDC)
Landec Corporation Fundamental Analysis (NASDAQ: LNDC)
Landec Corporation (NASDAQ: LNDC) shows weak financial fundamentals with a PE ratio of -8.19, profit margin of -29.17%, and ROE of 6.44%. The company generates $0.1B in annual revenue with N/A year-over-year growth of N/A.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 74.9/100 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 LNDC's fundamental strength across five key dimensions:
Efficiency Score
WeakLNDC struggles to generate sufficient returns from assets.
Valuation Score
ModerateLNDC shows balanced valuation metrics.
Growth Score
WeakLNDC faces weak or negative growth trends.
Financial Health Score
ExcellentLNDC maintains a strong and stable balance sheet.
Profitability Score
WeakLNDC struggles to sustain strong margins.
Key Financial Metrics
Is LNDC Expensive or Cheap?
P/E Ratio
LNDC trades at -8.19 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, LNDC's PEG of 3.52 indicates potential overvaluation.
Price to Book
The market values Landec Corporation at -9.65 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 27.64 times EBITDA. This signals the market has high growth expectations.
How Well Does LNDC Make Money?
Net Profit Margin
For every $100 in sales, Landec Corporation keeps $-29.17 as profit after all expenses.
Operating Margin
Core operations generate 1.02 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $6.44 in profit for every $100 of shareholder equity.
ROA
Landec Corporation generates $-15.79 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Landec Corporation generates limited operating cash flow of $-398.86K, signaling weaker underlying cash strength.
Free Cash Flow
Landec Corporation generates weak or negative free cash flow of $-2.95M, restricting financial flexibility.
FCF Per Share
Each share generates $-0.10 in free cash annually.
FCF Yield
LNDC converts -1.40% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
-8.19
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
3.52
vs 25 benchmark
P/B Ratio
Price to book value ratio
-9.65
vs 25 benchmark
P/S Ratio
Price to sales ratio
2.12
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
-4.55
vs 25 benchmark
Current Ratio
Current assets to current liabilities
3.87
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
6.44
vs 25 benchmark
ROA
Return on assets percentage
-0.16
vs 25 benchmark
ROCE
Return on capital employed
0.006
vs 25 benchmark
How LNDC Stacks Against Its Sector Peers
| Metric | LNDC Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | -8.19 | 31.56 | Better (Cheaper) |
| ROE | 643.67% | 441.00% | Excellent |
| Net Margin | -29.17% | 18300.00% | Weak |
| Debt/Equity | -4.55 | 0.73 | Strong (Low Leverage) |
| Current Ratio | 3.87 | 5.63 | Strong Liquidity |
| ROA | -15.79% | 1512.00% | Weak |
LNDC outperforms its industry in 4 out of 6 key metrics, particularly excelling in ROE, but lagging in Net Margin.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Landec Corporation's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
N/A
Industry Style: Defensive, Growth, Innovation
EPS CAGR
N/A
Industry Style: Defensive, Growth, Innovation
FCF CAGR
N/A
Industry Style: Defensive, Growth, Innovation