Life Healthcare Group Holdings Limited
Life Healthcare Group Holdings Limited Fundamental Analysis
Life Healthcare Group Holdings Limited (LTGHY) shows strong financial fundamentals with a PE ratio of 4.28, profit margin of 15.39%, and ROE of 38.41%. The company generates $25.6B in annual revenue with strong year-over-year growth of 13.91%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 78.7/100 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 LTGHY's fundamental strength across five key dimensions:
Efficiency Score
ExcellentLTGHY demonstrates superior asset utilization.
Valuation Score
ExcellentLTGHY trades at attractive valuation levels.
Growth Score
ModerateLTGHY shows steady but slowing expansion.
Financial Health Score
ExcellentLTGHY maintains a strong and stable balance sheet.
Profitability Score
ExcellentLTGHY achieves industry-leading margins.
Key Financial Metrics
Is LTGHY Expensive or Cheap?
P/E Ratio
LTGHY trades at 4.28 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, LTGHY's PEG of 0.00 indicates potential undervaluation.
Price to Book
The market values Life Healthcare Group Holdings Limited at 1.45 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 16.10 times EBITDA. This signals the market has high growth expectations.
How Well Does LTGHY Make Money?
Net Profit Margin
For every $100 in sales, Life Healthcare Group Holdings Limited keeps $15.39 as profit after all expenses.
Operating Margin
Core operations generate -2.02 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $38.41 in profit for every $100 of shareholder equity.
ROA
Life Healthcare Group Holdings Limited generates $15.04 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Life Healthcare Group Holdings Limited produces operating cash flow of $4.24B, showing steady but balanced cash generation.
Free Cash Flow
Life Healthcare Group Holdings Limited generates strong free cash flow of $2.60B, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $7.12 in free cash annually.
FCF Yield
LTGHY converts 15.30% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
4.28
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
0.00
vs 25 benchmark
P/B Ratio
Price to book value ratio
1.45
vs 25 benchmark
P/S Ratio
Price to sales ratio
0.67
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.35
vs 25 benchmark
Current Ratio
Current assets to current liabilities
1.20
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.38
vs 25 benchmark
ROA
Return on assets percentage
0.15
vs 25 benchmark
ROCE
Return on capital employed
-0.03
vs 25 benchmark
How LTGHY Stacks Against Its Sector Peers
| Metric | LTGHY Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 4.28 | 27.91 | Better (Cheaper) |
| ROE | 38.41% | 687.00% | Weak |
| Net Margin | 15.39% | -45285.00% (disorted) | Strong |
| Debt/Equity | 0.35 | 0.33 | Neutral |
| Current Ratio | 1.20 | 2795.76 | Neutral |
| ROA | 15.04% | -13557.00% (disorted) | Strong |
LTGHY 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 Life Healthcare Group Holdings Limited's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
0.67%
Industry Style: Defensive, Growth, Innovation
GrowingEPS CAGR
88.29%
Industry Style: Defensive, Growth, Innovation
High GrowthFCF CAGR
-19.85%
Industry Style: Defensive, Growth, Innovation
Declining