LM Funding America Inc.Find Ratings Reports
LM FUNDING AMERICA INC's gross profit margin for the first quarter of its fiscal year 2020 has significantly decreased when compared to the same period a year ago. Sales and net income fell significantly, but still managed to outperform when compared to the average company in its subsector. LM FUNDING AMERICA INC is extremely liquid. Currently, the Quick Ratio is 2.37 which clearly shows the ability to cover any short-term cash needs.
At the same time, stockholders' equity ("net worth") has significantly decreased by 55.12% from the same quarter last year. Overall, the key liquidity measurements indicate that the company is very unlikely to face financial difficulties in the near future.
STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12-months. To learn more visit www.TheStreetRatings.com.
|Income Statement||Q1 FY20||Q1 FY19|
|Net Sales ($mil)||0.34||0.66|
|Net Income ($mil)||-0.55||-0.46|
|Balance Sheet||Q1 FY20||Q1 FY19|
|Cash & Equiv. ($mil)||0.77||3.38|
|Total Assets ($mil)||3.04||10.14|
|Total Debt ($mil)||0.28||4.31|
|Profitability||Q1 FY20||Q1 FY19|
|Gross Profit Margin||-162.76||-45.63|
|Return on Assets||-101.84||-9.07|
|Return on Equity||-129.13||-14.59|
|Debt||Q1 FY20||Q1 FY19|
|Share Data||Q1 FY20||Q1 FY19|
|Shares outstanding (mil)||3.32||3.13|
|Div / share||0.0||0.0|
|Book value / share||0.73||1.72|
|Institutional Own %||n/a||n/a|
|Avg Daily Volume||1581906.0||61895.0|
SELL. The current P/E ratio is negative, which has no meaningful value in the assessment of premium or discount valuation, it simply displays that the company has negative earnings. To use another comparison, its price-to-book ratio of 2.11 indicates a discount versus the S&P 500 average of 3.29 and a significant discount versus the subsector average of 834.86. The price-to-sales ratio is below the S&P 500 average and is well below the subsector average, indicating a discount. After reviewing these and other key valuation criteria, LM FUNDING AMERICA INC proves to trade at a discount to investment alternatives.
|LMFA NM||Peers 32044.79||LMFA NM||Peers 8362.00|
Neutral. The absence of a valid P/E ratio happens when a stock can not be valued on the basis of a negative stream of earnings.
LMFA's P/E is negative making this valuation measure meaningless.
Neutral. The P/CF ratio, a stock’s price divided by the company's cash flow from operations, is useful for comparing companies with different capital requirements or financing structures.
LMFA's P/CF is negative making the measure meaningless.
|LMFA NA||Peers 9.35||LMFA NA||Peers 0.78|
Neutral. A lower price-to-projected earnings ratio than its peers can signify a less expensive stock or lower future growth potential.
Ratio not available.
Neutral. The PEG ratio is the stock’s P/E divided by the consensus estimate of long-term earnings growth. Faster growth can justify higher price multiples.
Ratio not available.
|LMFA 2.11||Peers 834.86||LMFA -115.21||Peers -25.34|
Discount. A lower price-to-book ratio makes a stock more attractive to investors seeking stocks with lower market values per dollar of equity on the balance sheet.
LMFA is trading at a significant discount to its peers.
Lower. Elevated earnings growth rates can lead to capital appreciation and justify higher price-to-earnings ratios.
However, LMFA is expected to significantly trail its peers on the basis of its earnings growth rate.
|LMFA 1.95||Peers 1307.71||LMFA -15.77||Peers -4.39|
Discount. In the absence of P/E and P/B multiples, the price-to-sales ratio can display the value investors are placing on each dollar of sales.
LMFA is trading at a significant discount to its subsector on this measurement.
Lower. A sales growth rate that trails the subsector implies that a company is losing market share.
LMFA significantly trails its peers on the basis of sales growth.