LSI Industries Inc. provides corporate visual image solutions in the United States, Canada, Australia, Latin America, Europe, and the Middle East. It operates through Lighting, Graphics, and Technology segments. The company was founded in 1976 and is based in Cincinnati, Ohio.
LYTS Price Forecast Based on DCF Valuation
DCF Fair Value Target:
We started the process of determining a valid price forecast for Lsi Industries Inc with a discounted cash flow analysis -- the results of which can be found in the table below. To summarize, we found that Lsi Industries Inc ranked in the 75th percentile in terms of potential gain offered. Specifically, our DCF analysis implies the stock is trading below its fair value by an estimated 313%. The most interesting components of our discounted cash flow analysis for Lsi Industries Inc ended up being:
The business' balance sheet suggests that 5% of the company's capital is sourced from debt; this is greater than merely 14.94% of the free cash flow producing stocks we're observing.
The company's cost of debt, derived from its interest coverage, tax rate, and market capitalization, is greater than only 0% of stocks in its sector (Technology).
Terminal Growth Rate in Free Cash Flow
Return Relative to Current Share Price
WEX, PLAB, ONTO, ACLS, and EVTN can be thought of as valuation peers to LYTS, in the sense that they are in the Technology sector and have a similar price forecast based on DCF valuation.
For FQ4, LSI Industries ([[LYTS]] +5.3%) reported net income of $1.5M or $0.06/share vs. $0.9M or $0.03/share in year ago period last year.During the quarter, the company recorded pre-tax restructuring and plant closure costs of $0.3M and severance costs of $0.3M.Adj. EBITDA of $4.47M, an increase of 37% Y/Y.Revenue of $63.5M (-22.1% Y/Y) missing...