L Brands, Inc.
L Brands, Inc. Fundamental Analysis
L Brands, Inc. (LTD.DE) shows weak financial fundamentals with a PE ratio of 22.69, profit margin of 10.50%, and ROE of -40.22%. The company generates N/A 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 34.6/100 based on profitability, valuation, growth, and balance sheet metrics. The F grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze LTD.DE's fundamental strength across five key dimensions:
Efficiency Score
ExcellentLTD.DE demonstrates superior asset utilization.
Valuation Score
ExcellentLTD.DE trades at attractive valuation levels.
Growth Score
ModerateLTD.DE shows steady but slowing expansion.
Financial Health Score
ExcellentLTD.DE maintains a strong and stable balance sheet.
Profitability Score
WeakLTD.DE struggles to sustain strong margins.
Key Financial Metrics
Is LTD.DE Expensive or Cheap?
P/E Ratio
LTD.DE trades at 22.69 times earnings. This indicates a fair valuation.
PEG Ratio
When adjusting for growth, LTD.DE's PEG of 0.20 indicates potential undervaluation.
Price to Book
The market values L Brands, Inc. at -7.91 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at -3.02 times EBITDA. This is generally considered low.
How Well Does LTD.DE Make Money?
Net Profit Margin
For every $100 in sales, L Brands, Inc. keeps $10.50 as profit after all expenses.
Operating Margin
Core operations generate 18.20 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $-40.22 in profit for every $100 of shareholder equity.
ROA
L Brands, Inc. generates $14.45 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
FCF Per Share
Each share generates $3.50 in free cash annually.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
22.69
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
0.20
vs 25 benchmark
P/B Ratio
Price to book value ratio
-7.91
vs 25 benchmark
P/S Ratio
Price to sales ratio
0.00
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
-2.66
vs 25 benchmark
Current Ratio
Current assets to current liabilities
1.64
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
-0.40
vs 25 benchmark
ROA
Return on assets percentage
0.14
vs 25 benchmark
ROCE
Return on capital employed
0.33
vs 25 benchmark
How LTD.DE Stacks Against Its Sector Peers
| Metric | LTD.DE Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 22.69 | 23.78 | Neutral |
| ROE | -40.22% | 1098.00% | Weak |
| Net Margin | 10.50% | -626.00% (disorted) | Strong |
| Debt/Equity | -2.66 | 0.86 | Strong (Low Leverage) |
| Current Ratio | 1.64 | 2.64 | Neutral |
| ROA | 14.45% | -8081.00% (disorted) | Strong |
LTD.DE outperforms its industry in 3 out of 6 key metrics, particularly excelling in Net Margin, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews L Brands, Inc.'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: Cyclical, Growth, Discretionary
EPS CAGR
N/A
Industry Style: Cyclical, Growth, Discretionary
FCF CAGR
N/A
Industry Style: Cyclical, Growth, Discretionary