NewLake Capital Partners, Inc.
NewLake Capital Partners, Inc. Fundamental Analysis
NewLake Capital Partners, Inc. (NLCP) shows moderate financial fundamentals with a PE ratio of 11.23, profit margin of 51.54%, and ROE of 6.72%. The company generates $0.1B in annual revenue with moderate year-over-year growth of 5.98%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 60.6/100 based on profitability, valuation, growth, and balance sheet metrics. The C+ grade reflects average fundamentals, with notable risks in certain areas.
Fundamental Health Score
We analyze NLCP's fundamental strength across five key dimensions:
Efficiency Score
WeakNLCP struggles to generate sufficient returns from assets.
Valuation Score
ExcellentNLCP trades at attractive valuation levels.
Growth Score
ModerateNLCP shows steady but slowing expansion.
Financial Health Score
ExcellentNLCP maintains a strong and stable balance sheet.
Profitability Score
ModerateNLCP maintains healthy but balanced margins.
Key Financial Metrics
Is NLCP Expensive or Cheap?
P/E Ratio
NLCP trades at 11.23 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, NLCP's PEG of 0.11 indicates potential undervaluation.
Price to Book
The market values NewLake Capital Partners, Inc. at 0.76 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 7.25 times EBITDA. This is generally considered low.
How Well Does NLCP Make Money?
Net Profit Margin
For every $100 in sales, NewLake Capital Partners, Inc. keeps $51.54 as profit after all expenses.
Operating Margin
Core operations generate 53.36 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $6.72 in profit for every $100 of shareholder equity.
ROA
NewLake Capital Partners, Inc. generates $6.25 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
NewLake Capital Partners, Inc. generates strong operating cash flow of $42.38M, reflecting robust business health.
Free Cash Flow
NewLake Capital Partners, Inc. generates strong free cash flow of $42.38M, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $2.06 in free cash annually.
FCF Yield
NLCP converts 14.36% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
11.23
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
0.11
vs 25 benchmark
P/B Ratio
Price to book value ratio
0.76
vs 25 benchmark
P/S Ratio
Price to sales ratio
5.78
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.02
vs 25 benchmark
Current Ratio
Current assets to current liabilities
370.08
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.07
vs 25 benchmark
ROA
Return on assets percentage
0.06
vs 25 benchmark
ROCE
Return on capital employed
0.06
vs 25 benchmark
How NLCP Stacks Against Its Sector Peers
| Metric | NLCP Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 11.23 | 22.38 | Better (Cheaper) |
| ROE | 6.72% | 721.00% | Weak |
| Net Margin | 51.54% | -37468.00% (disorted) | Strong |
| Debt/Equity | 0.02 | -20.85 (disorted) | Distorted |
| Current Ratio | 370.08 | 1953.62 | Strong Liquidity |
| ROA | 6.25% | -1449.00% (disorted) | Weak |
NLCP 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 NewLake Capital Partners, Inc.'s 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
6158.73%
Industry Style: Income, Inflation Hedge, REIT
High GrowthEPS CAGR
1113.12%
Industry Style: Income, Inflation Hedge, REIT
High GrowthFCF CAGR
4011.33%
Industry Style: Income, Inflation Hedge, REIT
High Growth