LGI Homes Valuation
| LG1 Stock | 72.50 2.00 2.68% |
At this time, the firm appears to be overvalued. LGI Homes secures a last-minute Real Value of USD58.11 per share. The latest price of the firm is USD72.5. Our model forecasts the value of LGI Homes from evaluating the firm fundamentals such as current valuation of 3.36 B, and Price To Sales of 0.89 X as well as inspecting its technical indicators and probability of bankruptcy.
Overvalued
Today
Please note that LGI Homes' price fluctuation is very steady at this time. Calculation of the real value of LGI Homes is based on 3 months time horizon. Increasing LGI Homes' time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
LGI Homes' intrinsic value may or may not be the same as its current market price of 72.50, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value. | Historical | Market 72.5 | Real 58.11 | Hype 74.5 | Naive 76.06 |
The intrinsic value of LGI Homes' stock can be calculated using various methods such as discounted cash flow analysis, price-to-earnings ratio, or price-to-book ratio. That value may differ from its current market price, which is determined by supply and demand factors such as investor sentiment, market trends, news, and other external factors that may influence LGI Homes' stock price. It is important to note that the real value of any stock may change over time based on changes in the company's performance.
Estimating the potential upside or downside of LGI Homes helps investors to forecast how LGI stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of LGI Homes more accurately as focusing exclusively on LGI Homes' fundamentals will not take into account other important factors: LGI Homes Total Value Analysis
LGI Homes is now anticipated to have takeover price of 3.36 B with market capitalization of 3.43 B, debt of 1.12 B, and cash on hands of . Please note that takeover price may be misleading and is a subject to mistakes in financial statements. We encourage investors to thoroughly investigate all of the LGI Homes fundamentals before making investing decisions based on enterprise value of the company| Takeover Price | Market Cap | Debt Obligations | Cash |
3.36 B | 3.43 B | 1.12 B |
LGI Homes Asset Utilization
The concept of asset utilization usually refers to the revenue earned for every dollar of assets a company currently reports. The newest return on assets of LGI implies not a very effective usage of assets in February.LGI Homes Profitability Analysis
The company reported the revenue of 2.3 B. Net Income was 326.57 M with profit before overhead, payroll, taxes, and interest of 0.About LGI Homes Valuation
The stock valuation mechanism determines LGI Homes' current worth on a daily basis. In general, an absolute valuation approach attempts to find the value of LGI Homes based exclusively on its fundamental and basic technical indicators. As compared to an absolute model, our relative valuation model uses a comparative analysis of LGI Homes. We calculate exposure to LGI Homes's market risk, different technical and fundamental indicators, and relevant financial multiples and ratios and then compare them to those of LGI Homes's related companies.8 Steps to conduct LGI Homes' Valuation Analysis
Company's valuation is the process of determining the worth of any company in monetary terms. It estimates LGI Homes' potential worth based on factors such as financial performance, market conditions, growth prospects, and overall economic environment. The result of company valuation is a single number representing a Company's current market value. This value can be used as a benchmark for various financial transactions such as mergers and acquisitions, initial public offerings (IPOs), or private equity investments. To conduct LGI Homes' valuation analysis, follow these 8 steps:- Gather financial information: Obtain LGI Homes' financial statements, including balance sheets, income statements, and cash flow statements.
- Determine LGI Homes' revenue streams: Identify LGI Homes' primary sources of revenue, including products or services offered, target markets, and pricing strategies.
- Analyze market data: Research LGI Homes' industry and market trends, including the size of the market, growth rate, and competition.
- Establish LGI Homes' growth potential: Evaluate LGI Homes' management, business model, and growth potential.
- Determine LGI Homes' financial performance: Analyze its financial statements to assess its historical performance and future potential.
- Choose a valuation method: Consider the Company's specific circumstances and choose an appropriate valuation method, such as the discounted cash flow (DCF) or comparable analysis method.
- Calculate the value: Apply the chosen valuation method to the financial information and market data to calculate LGI Homes' estimated value.
- Review and adjust: Review the results and make necessary adjustments, considering any relevant factors that may have been missed or overlooked.
Additional Tools for LGI Stock Analysis
When running LGI Homes' price analysis, check to measure LGI Homes' market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy LGI Homes is operating at the current time. Most of LGI Homes' value examination focuses on studying past and present price action to predict the probability of LGI Homes' future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move LGI Homes' price. Additionally, you may evaluate how the addition of LGI Homes to your portfolios can decrease your overall portfolio volatility.