LSB Industries, Inc.
LSB Industries, Inc. Fundamental Analysis
LSB Industries, Inc. (LXU) shows weak financial fundamentals with a PE ratio of -1080.78, profit margin of -0.11%, and ROE of -0.13%. The company generates $0.6B in annual revenue with weak year-over-year growth of -12.01%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 8.1/100 based on profitability, valuation, growth, and balance sheet metrics. The F grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze LXU's fundamental strength across five key dimensions:
Efficiency Score
WeakLXU struggles to generate sufficient returns from assets.
Valuation Score
ExcellentLXU trades at attractive valuation levels.
Growth Score
WeakLXU faces weak or negative growth trends.
Financial Health Score
ExcellentLXU maintains a strong and stable balance sheet.
Profitability Score
WeakLXU struggles to sustain strong margins.
Key Financial Metrics
Is LXU Expensive or Cheap?
P/E Ratio
LXU trades at -1080.78 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, LXU's PEG of -11.10 indicates potential undervaluation.
Price to Book
The market values LSB Industries, Inc. at 1.43 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 2.36 times EBITDA. This is generally considered low.
How Well Does LXU Make Money?
Net Profit Margin
For every $100 in sales, LSB Industries, Inc. keeps $-0.11 as profit after all expenses.
Operating Margin
Core operations generate 4.08 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $-0.13 in profit for every $100 of shareholder equity.
ROA
LSB Industries, Inc. generates $-0.06 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
LSB Industries, Inc. produces operating cash flow of $81.67M, showing steady but balanced cash generation.
Free Cash Flow
LSB Industries, Inc. generates weak or negative free cash flow of $-2.99M, restricting financial flexibility.
FCF Per Share
Each share generates $-0.04 in free cash annually.
FCF Yield
LXU converts -0.41% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
-1080.78
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
-11.10
vs 25 benchmark
P/B Ratio
Price to book value ratio
1.43
vs 25 benchmark
P/S Ratio
Price to sales ratio
1.24
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.96
vs 25 benchmark
Current Ratio
Current assets to current liabilities
2.84
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
-0.00
vs 25 benchmark
ROA
Return on assets percentage
-0.00
vs 25 benchmark
ROCE
Return on capital employed
0.02
vs 25 benchmark
How LXU Stacks Against Its Sector Peers
| Metric | LXU Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | -1080.78 | 27.01 | Better (Cheaper) |
| ROE | -0.13% | 949.00% | Weak |
| Net Margin | -0.11% | -16159.00% (disorted) | Weak |
| Debt/Equity | 0.96 | 0.48 | Weak (High Leverage) |
| Current Ratio | 2.84 | 4.42 | Strong Liquidity |
| ROA | -0.06% | -6411.00% (disorted) | Weak |
LXU outperforms its industry in 2 out of 6 key metrics, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews LSB Industries, Inc.'s 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
-27.53%
Industry Style: Cyclical, Commodity, Value
DecliningEPS CAGR
84.54%
Industry Style: Cyclical, Commodity, Value
High GrowthFCF CAGR
1989.02%
Industry Style: Cyclical, Commodity, Value
High Growth