LT Group (PSE:LTG) - Share price, News & Analysis

LTG fundamental analysis
Snowflake Score
Valuation	6/6
Future Growth	1/6
Past Performance	2/6
Financial Health	4/6
Dividends	5/6

LTG Stock Overview

LT Group, Inc. engages in banking, distilled spirits, beverages, tobacco, property development, and other businesses in the Philippines and internationally.

Rewards

Trading at 40.2% below our estimate of its fair value

Earnings are forecast to grow 17.54% per year

Risk Analysis

Unstable dividend track record

LT Group Competitors

Price History & Performance

Summary of all time highs, changes and price drops for LT Group
Historical stock prices
Current Share Price	₱8.61
52 Week High	₱14.10
52 Week Low	₱8.02
Beta	0.63
1 Month Change	-2.60%
3 Month Change	-5.39%
1 Year Change	-34.48%
3 Year Change	-42.98%
5 Year Change	-46.26%
Change since IPO	6,665.04%

Shareholder Returns

	LTG	PH Industrials	PH Market
7D	3.7%	3.0%	2.5%
1Y	-34.5%	-0.6%	7.9%

Return vs Industry: LTG underperformed the PH Industrials industry which returned -0.3% over the past year.

Return vs Market: LTG underperformed the PH Market which returned 7.9% over the past year.

Price Volatility

Is LTG's price volatile compared to industry and market?
LTG volatility
LTG Average Weekly Movement	3.6%
Industrials Industry Average Movement	4.9%
Market Average Movement	5.6%
10% most volatile stocks in PH Market	10.1%
10% least volatile stocks in PH Market	3.1%

Stable Share Price: LTG is less volatile than 75% of PH stocks over the past 3 months, typically moving +/- 4% a week.

Volatility Over Time: LTG's weekly volatility (4%) has been stable over the past year.

About the Company

Founded	Employees	CEO	Website
1854	14,157	Lucio Tan	https://ltg.com.ph

LT Group, Inc. engages in banking, distilled spirits, beverages, tobacco, property development, and other businesses in the Philippines and internationally. Its Banking segment provides various banking and financial services to corporate, middle-market, and retail customers; and to national government, local government units, government-owned and controlled corporations, and various government agencies. This segment offers deposit-taking, lending, bills discounting, foreign exchange dealing, investment banking, fund transfers or remittance servicing, retail banking and trust, and other insurance services.

LT Group Fundamentals Summary

How do LT Group's earnings and revenue compare to its market cap?
LTG fundamental statistics
Market Cap	₱93.13b
Earnings (TTM)	₱20.29b
Revenue (TTM)	₱91.19b

4.6x

P/E Ratio

1.0x

P/S Ratio

Is LTG overvalued?

See Fair Value and valuation analysis

Earnings & Revenue

Key profitability statistics from the latest earnings report
LTG income statement (TTM)
Revenue	₱91.19b
Cost of Revenue	₱35.76b
Gross Profit	₱47.84b
Other Expenses	₱27.55b
Earnings	₱20.29b

Last Reported Earnings

Mar 31, 2022

Next Earnings Date

n/a

Earnings per share (EPS)	1.88
Gross Margin	52.46%
Net Profit Margin	22.25%
Debt/Equity Ratio	31.2%

How did LTG perform over the long term?

See historical performance and comparison

Dividends

13.2%

Current Dividend Yield

8%

Payout Ratio

Does LTG pay a reliable dividends?

See LTG dividend history and benchmarks

When do you need to buy LTG by to receive an upcoming dividend?
LT Group dividend dates
Ex Dividend Date	May 26 2022
Dividend Pay Date	Jun 15 2022
Days until Ex dividend	2 days
Days until Dividend pay date	22 days

Does LTG pay a reliable dividends?

See LTG dividend history and benchmarks

Valuation

Is LT Group undervalued compared to its fair value and its price relative to the market?

Valuation Score

6/6

Valuation Score 6/6

Below Fair Value
Significantly Below Fair Value
PE vs Industry
PE vs Market
PEG Ratio
PB vs Industry

40.2%

Undervalued compared to fair value

Share Price vs. Fair Value

Below Fair Value: LTG (₱8.61) is trading below our estimate of fair value (₱14.4)

Significantly Below Fair Value: LTG is trading below fair value by more than 20%.

Price To Earnings Ratio

PE vs Industry: LTG is good value based on its PE Ratio (4.6x) compared to the PH Industrials industry average (11.3x).

PE vs Market: LTG is good value based on its PE Ratio (4.6x) compared to the PH market (11.6x).

Price to Earnings Growth Ratio

PEG Ratio: LTG is good value based on its PEG Ratio (0.3x)

Price to Book Ratio

PB vs Industry: LTG is good value based on its PB Ratio (0.5x) compared to the PH Industrials industry average (1.1x).

Future Growth

How is LT Group forecast to perform in the next 1 to 3 years based on estimates from 3 analysts?

Future Growth Score

1/6

Future Growth Score 1/6

Earnings vs Savings Rate
Earnings vs Market
High Growth Earnings
Revenue vs Market
High Growth Revenue
Future ROE

17.5%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts

Analyst Future Growth Forecasts

Earnings vs Savings Rate: LTG's forecast earnings growth (17.5% per year) is above the savings rate (4.9%).

Earnings vs Market: LTG's earnings (17.5% per year) are forecast to grow slower than the PH market (20.8% per year).

High Growth Earnings: LTG's earnings are forecast to grow, but not significantly.

Revenue vs Market: LTG's revenue (9% per year) is forecast to grow slower than the PH market (10.3% per year).

High Growth Revenue: LTG's revenue (9% per year) is forecast to grow slower than 20% per year.

Earnings per Share Growth Forecasts

Future Return on Equity

Future ROE: LTG's Return on Equity is forecast to be low in 3 years time (13.7%).

Past Performance

How has LT Group performed over the past 5 years?

Past Performance Score

2/6

Past Performance Score 2/6

Quality Earnings
Growing Profit Margin
Earnings Trend
Accelerating Growth
Earnings vs Industry
High ROE

14.1%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: LTG has high quality earnings.

Growing Profit Margin: LTG's current net profit margins (22.2%) are lower than last year (23.2%).

Past Earnings Growth Analysis

Earnings Trend: LTG's earnings have grown by 14.1% per year over the past 5 years.

Accelerating Growth: LTG's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: LTG had negative earnings growth (-4.4%) over the past year, making it difficult to compare to the Industrials industry average (57.4%).

Return on Equity

High ROE: LTG's Return on Equity (8%) is considered low.

Financial Health

How is LT Group's financial position?

Financial Health Score

4/6

Financial Health Score 4/6

Short Term Liabilities
Long Term Liabilities
Debt Level
Reducing Debt
Debt Coverage
Interest Coverage

Financial Position Analysis

Short Term Liabilities: LTG's short term assets (₱596.5B) do not cover its short term liabilities (₱871.3B).

Long Term Liabilities: LTG's short term assets (₱596.5B) exceed its long term liabilities (₱119.9B).

Debt to Equity History and Analysis

Debt Level: LTG has more cash than its total debt.

Reducing Debt: LTG's debt to equity ratio has increased from 26.8% to 31.2% over the past 5 years.

Debt Coverage: LTG's debt is well covered by operating cash flow (110.5%).

Interest Coverage: LTG's interest payments on its debt are well covered by EBIT (189.4x coverage).

Balance Sheet

Dividend

What is LT Group current dividend yield, its reliability and sustainability?

Dividend Score

5/6

Dividend Score 5/6

Notable Dividend
High Dividend
Stable Dividend
Growing Dividend
Earnings Coverage
Future Dividend Coverage

13.24%

Current Dividend Yield

Upcoming Dividend Payment

Dividend Yield vs Market

Notable Dividend: LTG's dividend (13.24%) is higher than the bottom 25% of dividend payers in the PH market (1.36%).

High Dividend: LTG's dividend (13.24%) is in the top 25% of dividend payers in the PH market (4.63%)

Stability and Growth of Payments

Stable Dividend: LTG's dividend payments have been volatile in the past 10 years.

Growing Dividend: LTG's dividend payments have increased over the past 10 years.

Earnings Payout to Shareholders

Earnings Coverage: With its low payout ratio (8%), LTG's dividend payments are thoroughly covered by earnings.

Cash Payout to Shareholders

Cash Flow Coverage: With its low cash payout ratio (14.7%), LTG's dividend payments are thoroughly covered by cash flows.

Discover strong dividend paying companies

Management

How experienced are the management team and are they aligned to shareholders interests?

11.5yrs

Average management tenure

CEO

Lucio Tan (87 yo)

no data

Tenure

₱2,745,000

Compensation

Dr. Lucio Chua Tan, Sr. serves as the President at PAL Holdings, Inc. and has been its Chief Executive Officer since February 18, 2020. He serves as Chief Operating Officer of PAL Holdings, Inc since July...

Leadership Team

Experienced Management: LTG's management team is seasoned and experienced (11.5 years average tenure).

Board Members

Experienced Board: LTG's board of directors are considered experienced (6.9 years average tenure).

Ownership

Who are the major shareholders and have insiders been buying or selling?

Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.

Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.

Data	Last Updated (UTC time)
Company Analysis	2022/05/23 00:00
End of Day Share Price	2022/05/23 00:00
Earnings	2022/03/31
Annual Earnings	2021/12/31