Lancaster Colony
Lancaster Colony Corporation manufactures and markets specialty food products for the retail and foodservice markets in the United States. The last earnings update was 41 days ago. More info.
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LANC Share Price and Events
7 Day Returns
1 Year Returns
LANC Shareholder Return
| 7 Day | 30 Day | 90 Day | 1 Year | 3 Year | 5 Year | |
|---|---|---|---|---|---|---|
| Lancaster Colony (LANC) | 2.7% | -2.9% | -16.1% | 27.8% | 48.1% | 57.7% |
| US Food | 1% | -3.6% | 1.5% | -9.4% | -13.7% | 16.6% |
| US Market | 1.6% | 2.1% | 12.8% | 3.2% | 38.6% | 43.6% |
1 Year Return vs Industry and Market
- LANC outperformed the Food industry which returned -9.4% over the past year.
- LANC outperformed the Market in United States of America which returned 3.2% over the past year.
LANC Value
Value is all about what a company is worth versus what price it is
available for. If you went into a grocery store and all the bananas were on sale
at half price, they could be considered
undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current
share
price of
Lancaster Colony
to its discounted cash flow analysis.value.The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Below are the data sources, inputs and calculation used to determine the intrinsic value for Lancaster Colony.
| Data Point | Source | Value |
|---|---|---|
| Valuation Model | 2 Stage Free Cash Flow to Equity | |
| Levered Free Cash Flow | Average of 3 Analyst Estimates (S&P Global) | See below |
| Discount Rate (Cost of Equity) | See below | 7.5% |
| Perpetual Growth Rate | 10-Year US Government Bond Rate | 2.7% |
An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.
| Data Point | Calculation/ Source | Result |
|---|---|---|
| Risk-Free Rate | 10-Year US Govt Bond Rate | 2.7% |
| Equity Risk Premium | S&P Global | 6% |
| Food Unlevered Beta | Simply Wall St/ S&P Global | 0.55 |
| Re-levered Beta | = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.551 (1 + (1- 21%) (0%)) |
0.699 |
| Levered Beta | Levered Beta limited to 0.8 to 2.0 (practical range for a stable firm) |
0.8 |
| Discount Rate/ Cost of Equity |
= Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 2.73% + (0.8 * 5.96%) |
7.5% |
Discounted Cash Flow Calculation for NasdaqGS:LANC using 2 Stage Free Cash Flow to Equity Model
The calculations below outline how an intrinsic value for Lancaster Colony is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.
| Levered FCF (USD, Millions) | Source |
Present Value Discounted (@ 7.5%) |
|
|---|---|---|---|
| 2019 | 105.60 | Analyst x1 | 98.23 |
| 2020 | 160.05 | Analyst x1 | 138.50 |
| 2021 | 169.05 | Est @ 5.63% | 136.09 |
| 2022 | 177.10 | Est @ 4.76% | 132.62 |
| 2023 | 184.44 | Est @ 4.15% | 128.49 |
| 2024 | 191.31 | Est @ 3.72% | 123.98 |
| 2025 | 197.86 | Est @ 3.43% | 119.28 |
| 2026 | 204.23 | Est @ 3.22% | 114.53 |
| 2027 | 210.50 | Est @ 3.07% | 109.81 |
| 2028 | 216.75 | Est @ 2.97% | 105.18 |
| Present value of next 10 years cash flows | $1,206.71 | ||
| Calculation | Result | |
|---|---|---|
| Terminal Value |
= FCF2028
× (1 + g) ÷ (Discount Rate – g)
= $216.75 × (1 + 2.73%) ÷ (7.5% – 2.73%) |
$4,669.98 |
| Present Value of Terminal Value |
= Terminal Value ÷ (1 + r)10
= $4,669.98 ÷ (1 + 7.5%)10 |
$2,266.27 |
| Calculation | Result | |
|---|---|---|
| Total Equity Value |
= Present value of next 10 years cash flows +
Terminal Value
= $1,206.71 + $2,266.27 |
$3,472.98 |
| Equity Value per Share (USD) |
= Total value / Shares Outstanding
= $3,472.98 / 27.51 |
$126.25 |
| Calculation | Result | |
|---|---|---|
| Value per share (USD) | From above. | $126.25 |
| Current discount | Discount to share price of
$154.97
= -1 x ($154.97 - $126.25) / $126.25 |
-22.7% |
Learn more about our DCF calculations in Simply Wall St’s analysis model .
- The current share price of Lancaster Colony is above its future cash flow value.
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for
it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing
when they are out of season, or how much your home is worth.The amount the stock market is willing to pay for Lancaster Colony's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are
Lancaster Colony's earnings available for a low price, and how does
this compare to other companies in the same industry?
| Data Point | Source | Value |
|---|---|---|
| Earnings Per Share * | Company Filings (2018-12-31) in USD | $5.35 |
| NasdaqGS:LANC Share Price ** | NasdaqGS (2019-03-19) in USD | $154.97 |
| United States of America Food Industry PE Ratio | Median Figure of 41 Publicly-Listed Food Companies | 19.51x |
| United States of America Market PE Ratio | Median Figure of 3,056 Publicly-Listed Companies | 17.77x |
* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.
** Primary Listing of Lancaster Colony.
| Calculation | Outcome | |
|---|---|---|
| PE Ratio | = NasdaqGS:LANC Share Price ÷ EPS (both in USD) = 154.97 ÷ 5.35 |
28.98x |
Learn more about our ratios and growth rates in Simply Wall St’s analysis model >
- Lancaster Colony is overvalued based on earnings compared to the US Food industry average.
- Lancaster Colony is overvalued based on earnings compared to the United States of America market.
Price based on expected Growth
Does
Lancaster Colony's expected growth come at a high price?
| Data Point | Source | Value |
|---|---|---|
| PE Ratio | See PE Ratio Section | 28.98x |
| Net Income Annual Growth Rate | See Future Growth Section. Line of Best Fit* through Consensus Estimate Earnings of 3 Analysts |
6.4%per year |
| United States of America Food Industry PEG Ratio | Median Figure of 30 Publicly-Listed Food Companies | 1.75x |
| United States of America Market PEG Ratio | Median Figure of 2,107 Publicly-Listed Companies | 1.49x |
*Line of best fit is calculated by linear regression .
| Calculation | Outcome | |
|---|---|---|
| PEG Ratio | = PE Ratio ÷ Net Income Annual Growth Rate = 28.98x ÷ 6.4% |
4.5x |
Learn more about our ratios and growth rates in Simply Wall St’s analysis model >
- Lancaster Colony is poor value based on expected growth next year.
Price based on value of assets
What value do investors place on
Lancaster Colony's
assets?
| Data Point | Source | Value |
|---|---|---|
| Book Value per Share | Company Filings (2018-12-31) in USD | $25.62 |
| NasdaqGS:LANC Share Price * | NasdaqGS (2019-03-19) in USD | $154.97 |
| United States of America Food Industry PB Ratio | Median Figure of 70 Publicly-Listed Food Companies | 1.95x |
| United States of America Market PB Ratio | Median Figure of 5,154 Publicly-Listed Companies | 1.89x |
| Calculation | Outcome | |
|---|---|---|
| PB Ratio | = NasdaqGS:LANC Share Price ÷ Book Value per Share (both in USD) = 154.97 ÷ 25.62 |
6.05x |
* Primary Listing of Lancaster Colony.
Learn more about our ratios and growth rates in Simply Wall St’s analysis model >
- Lancaster Colony is overvalued based on assets compared to the US Food industry average.
Value checks
We assess Lancaster Colony's value by looking at:- Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
- Is the PE ratio less than the market average, and/ or less than the Food industry average (and greater than 0)? (2 checks)
- Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
- Is the PB ratio less than the Food industry average (and greater than 0)? (1 check) Lancaster Colony has a total score of 0/6, see the detailed checks below.
Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.
Full details on the Value part of the Simply Wall St company analysis model.
LANC Future Performance
The future performance of a company is measured in the same way as past
performance, by looking at estimated
growth
and how much profit it is expected to make.Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Earnings growth vs Low Risk Savings
- Lancaster Colony's earnings growth is expected to exceed the low risk savings rate of 2.7%.
Growth vs Market Checks
- Lancaster Colony's earnings growth is positive but not above the United States of America market average.
- Lancaster Colony's revenue growth is positive but not above the United States of America market average.
Annual Growth Rates Comparison
| Data Point | Source | Value (per year) |
|---|---|---|
| NasdaqGS:LANC Future Earnings Growth Rate | Line of Best Fit* through Consensus Estimate Earnings of 3 Analysts | 6.4% |
| NasdaqGS:LANC Future Revenue Growth Rate | Line of Best Fit* through Consensus Estimate Revenue of 3 Analysts | 5.1% |
| United States of America Food Industry Earnings Growth Rate | Market Cap Weighted Average | 16.7% |
| United States of America Food Industry Revenue Growth Rate | Market Cap Weighted Average | 2.3% |
| United States of America Market Earnings Growth Rate | Market Cap Weighted Average | 14.3% |
| United States of America Market Revenue Growth Rate | Market Cap Weighted Average | 7.1% |
*Line of best fit is calculated by linear regression .
Industry and Market average data is calculated daily.
Learn more about our growth rate calculations in Simply Wall St’s analysis model.
Analysts growth expectations
| Data Point | Source | Value |
|---|---|---|
| Past Financials | Company Filings (2 months ago) | See Below |
| Future Estimates | Average of up to 3 Analyst Estimates (S&P Global) | See Below |
| Date (Data in USD Millions) | Revenue | Cash Flow | Net Income * | Avg. No. Analysts |
|---|---|---|---|---|
| 2020-06-30 | 1,377 | 180 | 163 | 3 |
| 2019-06-30 | 1,314 | 175 | 157 | 3 |
| Date (Data in USD Millions) | Revenue | Cash Flow | Net Income * |
|---|---|---|---|
| 2018-12-31 | 1,271 | 190 | 147 |
| 2018-09-30 | 1,241 | 163 | 145 |
| 2018-06-30 | 1,223 | 161 | 135 |
| 2018-03-31 | 1,205 | 156 | 131 |
| 2017-12-31 | 1,202 | 154 | 118 |
| 2017-09-30 | 1,209 | 140 | 111 |
| 2017-06-30 | 1,202 | 146 | 115 |
| 2017-03-31 | 1,196 | 149 | 117 |
| 2016-12-31 | 1,190 | 144 | 132 |
| 2016-09-30 | 1,188 | 155 | 127 |
| 2016-06-30 | 1,191 | 146 | 122 |
| 2016-03-31 | 1,184 | 137 | 116 |
*GAAP earnings excluding extraordinary items.
Past and Future Earnings per Share
| Data Point | Source | Value |
|---|---|---|
| Past Financials | Company Filings (2 months ago) | See Below |
| Future Estimates | Average of up to 3 Analyst Estimates (S&P Global) | See Below |
All data from Lancaster Colony Company Filings, last reported 2 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.
| Date (Data in USD Millions) | EPS * | EPS High Estimate | EPS Low Estimate | Avg. No. Analysts |
|---|---|---|---|---|
| 2020-06-30 | 5.93 | 5.97 | 5.88 | 2.00 |
| 2019-06-30 | 5.70 | 5.70 | 5.70 | 1.00 |
| Date (Data in USD Millions) | EPS * |
|---|---|
| 2018-12-31 | 5.35 |
| 2018-09-30 | 5.28 |
| 2018-06-30 | 4.93 |
| 2018-03-31 | 4.79 |
| 2017-12-31 | 4.31 |
| 2017-09-30 | 4.06 |
| 2017-06-30 | 4.21 |
| 2017-03-31 | 4.29 |
| 2016-12-31 | 4.82 |
| 2016-09-30 | 4.65 |
| 2016-06-30 | 4.45 |
| 2016-03-31 | 4.26 |
*GAAP earnings excluding extraordinary items.
Performance in 3 years
In the same way as past performance we look at the future estimated return
(profit) compared to the available
funds. We do this looking forward 3 years.
- Unable to establish if Lancaster Colony will efficiently use shareholders’ funds in the future without estimates of Return on Equity.
Future performance checks
We assess Lancaster Colony's future performance by looking at:- Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
- Is the annual earnings growth rate expected to beat the average growth rate in earnings of the United States of America market? (1 check)
- Is the annual revenue growth rate expected to beat the average growth rate in revenue of the United States of America market? (1 check)
- Is the annual earnings growth rate expected to be above 20%? (1 check)
- Is the annual revenue growth rate expected to be above 20%? (1 check)
- Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Lancaster Colony has a total score of 1/6, see the detailed checks below.
Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.
Full details on the Future part of the Simply Wall St company analysis model.
LANC Past Performance
How has Lancaster Colony performed over the past 5 years?
The past performance of a company can be measured by how much
growth
it has experienced and how much profit it makes relative to the funds and assets
it has available.
Past earnings growth
Past Earnings growth analysis
- Lancaster Colony's year on year earnings growth rate has been positive over the past 5 years.
- Lancaster Colony's 1-year earnings growth exceeds its 5-year average (24.2% vs 7.1%)
- Lancaster Colony's earnings growth has exceeded the US Food industry average in the past year (24.2% vs 5.4%).
Earnings and Revenue History
All data from Lancaster Colony Company Filings, last reported 2 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.
| Date (Data in USD Millions) | Revenue | Net Income * | G+A Expenses | R&D Expenses |
|---|---|---|---|---|
| 2018-12-31 | 1,270.58 | 146.62 | 130.08 | |
| 2018-09-30 | 1,240.66 | 144.65 | 126.64 | |
| 2018-06-30 | 1,222.93 | 135.04 | 125.37 | |
| 2018-03-31 | 1,204.63 | 131.19 | 122.36 | |
| 2017-12-31 | 1,202.29 | 118.09 | 124.43 | |
| 2017-09-30 | 1,209.40 | 111.12 | 122.43 | |
| 2017-06-30 | 1,201.84 | 115.12 | 121.77 | |
| 2017-03-31 | 1,196.46 | 117.27 | 121.12 | |
| 2016-12-31 | 1,190.39 | 131.79 | 118.62 | |
| 2016-09-30 | 1,188.39 | 127.26 | 116.01 | |
| 2016-06-30 | 1,191.11 | 121.52 | 112.15 | |
| 2016-03-31 | 1,184.34 | 116.47 | 109.66 | |
| 2015-12-31 | 1,159.97 | 107.87 | 106.48 | |
| 2015-09-30 | 1,138.61 | 106.41 | 103.98 | |
| 2015-06-30 | 1,104.51 | 101.54 | 101.23 | |
| 2015-03-31 | 1,085.61 | 96.88 | 100.50 | |
| 2014-12-31 | 1,064.06 | 95.33 | 98.46 | |
| 2014-09-30 | 1,052.93 | 99.51 | 95.70 | |
| 2014-06-30 | 1,041.08 | 100.81 | 93.86 | |
| 2014-03-31 | 1,027.46 | 105.33 | 90.73 | |
| 2013-12-31 | 1,032.71 | 107.19 | 90.77 | |
| 2013-09-30 | 970.96 | 100.95 | 86.38 | |
| 2013-06-30 | 1,013.80 | 103.53 | 89.84 | |
| 2013-03-31 | 1,042.57 | 104.05 | 91.21 | |
| 2012-12-31 | 1,066.57 | 101.51 | 93.95 | |
| 2012-09-30 | 1,147.82 | 101.01 | 99.05 | |
| 2012-06-30 | 988.94 | 92.18 | 82.25 | |
| 2012-03-31 | 1,113.43 | 98.98 | 97.90 |
*GAAP earnings excluding extraordinary items.
Performance last year
We want to ensure a company is making the most of what it has available. This is
done by comparing the return (profit) to a company's available
funds,
assets
and
capital.
- Lancaster Colony has efficiently used shareholders’ funds last year (Return on Equity greater than 20%).
- Lancaster Colony used its assets more efficiently than the US Food industry average last year based on Return on Assets.
- Lancaster Colony's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).
Past performance checks
We assess Lancaster Colony's performance over the past 5 years by checking for:- Has earnings increased in past 5 years? (1 check)
- Has the earnings growth in the last year exceeded that of the Food industry? (1 check)
- Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
- Is the Return on Equity (ROE) higher than 20%? (1 check)
- Is the Return on Assets (ROA) above industry average? (1 check)
- Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
Lancaster Colony has a total score of 5/6, see the detailed checks below.
Note: We use GAAP Net Income excluding extraordinary items in all our calculations.
Full details on the Past part of the Simply Wall St company analysis model.
LANC Health
How is Lancaster Colony's financial health and their level of debt?
A company's financial position is much like your own financial position,
it includes everything you own
(assets)
and owe
(liabilities).The boxes below represent the relative size of what makes up Lancaster Colony's finances.
The net worth of a company is the difference between its assets and liabilities.
- Lancaster Colony is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
- Lancaster Colony's cash and other short term assets cover its long term commitments.
Balance sheet
Assets
Liabilities and shares
- High level of physical assets or inventory.
- Lancaster Colony has no debt, it does not need to be covered by short term assets.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t
bad,
however if the debt is too high, or the company can’t afford to pay the interest
on its debts this may have impacts in the future.The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.
If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
All data from Lancaster Colony Company Filings, last reported 2 months ago.
| Date (Data in USD Millions) | Total Equity | Total Debt | Cash & Short Term Investments |
|---|---|---|---|
| 2018-12-31 | 704.77 | 0.00 | 194.53 |
| 2018-09-30 | 674.02 | 0.00 | 217.94 |
| 2018-06-30 | 652.28 | 0.00 | 205.75 |
| 2018-03-31 | 632.86 | 0.00 | 187.33 |
| 2017-12-31 | 621.01 | 0.00 | 178.77 |
| 2017-09-30 | 590.55 | 0.00 | 157.18 |
| 2017-06-30 | 575.98 | 0.00 | 143.10 |
| 2017-03-31 | 559.18 | 0.00 | 124.75 |
| 2016-12-31 | 559.48 | 0.00 | 118.51 |
| 2016-09-30 | 534.51 | 0.00 | 145.75 |
| 2016-06-30 | 513.60 | 0.00 | 118.08 |
| 2016-03-31 | 498.49 | 0.00 | 94.43 |
| 2015-12-31 | 482.61 | 0.00 | 87.14 |
| 2015-09-30 | 596.72 | 0.00 | 199.41 |
| 2015-06-30 | 580.92 | 0.00 | 182.20 |
| 2015-03-31 | 569.37 | 0.00 | 161.42 |
| 2014-12-31 | 561.27 | 0.00 | 256.15 |
| 2014-09-30 | 540.13 | 0.00 | 227.56 |
| 2014-06-30 | 528.60 | 0.00 | 211.54 |
| 2014-03-31 | 518.51 | 0.00 | 201.33 |
| 2013-12-31 | 540.71 | 0.00 | 176.26 |
| 2013-09-30 | 512.87 | 0.00 | 133.08 |
| 2013-06-30 | 501.22 | 0.00 | 123.39 |
| 2013-03-31 | 482.70 | 0.00 | 100.61 |
| 2012-12-31 | 471.16 | 0.00 | 92.52 |
| 2012-09-30 | 581.96 | 0.00 | 192.68 |
| 2012-06-30 | 564.27 | 0.00 | 191.64 |
| 2012-03-31 | 552.53 | 0.00 | 167.96 |
- Lancaster Colony has no debt.
- Lancaster Colony has not taken on any debt in the past 5 years.
- Lancaster Colony has no debt, it does not need to be covered by operating cash flow.
- Lancaster Colony has no debt, therefore coverage of interest payments is not a concern.
Financial health checks
We assess Lancaster Colony's financial health by checking for:- Are short term assets greater than short term liabilities? (1 check)
- Are short term assets greater than long term liabilities? (1 check)
- Has the debt to equity ratio increased in the past 5 years? (1 check)
- Is the debt to equity ratio over 40%? (1 check)
- Is the debt covered by operating cash flow? (1 check)
- Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check) Lancaster Colony has a total score of 6/6, see the detailed checks below.
- Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
- Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
Full details on the Health part of the Simply Wall St company analysis model.
LANC Dividends
What is Lancaster Colony's current dividend yield, its reliability and sustainability?
Dividends are regular cash payments to you from the company, similar to a
bank paying you interest on a savings account.
Annual Dividend Income
If you bought
$2,000 of
Lancaster Colony
shares you are expected to receive
$34
in your first year as a dividend.
Dividend Amount
- Lancaster Colony's pays a higher dividend yield than the bottom 25% of dividend payers in United States of America (1.44%).
- Lancaster Colony's dividend is below the markets top 25% of dividend payers in United States of America (3.63%).
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not
wildly increasing/decreasing each year. This graph shows you the historical rate
to count toward your assessment of the stock.We also check to see if the dividend has increased in the past 10 years.
| Data Point | Source | Value |
|---|---|---|
| Past Annualized Dividend Yield | S&P Global Market Data | See Below |
| Past Dividends per Share | Company Filings/ Annualized Dividend Payments | See Below |
| Future Dividends per Share Estimates | Average of up to 3 Analyst Estimates (S&P Global) | See Below |
| United States of America Food Industry Average Dividend Yield | Market Cap Weighted Average of 32 Stocks | 3% |
| United States of America Market Average Dividend Yield | Market Cap Weighted Average of 2004 Stocks | 2.5% |
| United States of America Minimum Threshold Dividend Yield | 10th Percentile | 0.8% |
| United States of America Bottom 25% Dividend Yield | 25th Percentile | 1.4% |
| United States of America Top 25% Dividend Yield | 75th Percentile | 3.6% |
Industry and Market average data is calculated daily.
Note all dividend per share amounts are annualized and not quarterly or other period.
| Date (Data in $) | Dividend per Share (annual) | Avg. No. Analysts |
|---|---|---|
| 2020-06-30 | 2.60 | 1.00 |
| 2019-06-30 | 2.55 | 1.00 |
| Date (Data in $) | Dividend per share (annual) | Avg. Yield (%) |
|---|---|---|
| 2019-02-27 | 2.600 | 1.691 |
| 2018-11-14 | 2.600 | 1.520 |
| 2018-08-22 | 2.400 | 1.526 |
| 2018-05-24 | 2.400 | 1.722 |
| 2018-02-28 | 2.400 | 1.941 |
| 2017-11-15 | 2.400 | 1.893 |
| 2017-08-16 | 2.200 | 1.831 |
| 2017-02-22 | 2.200 | 1.745 |
| 2016-11-21 | 2.200 | 1.603 |
| 2016-08-17 | 2.000 | 1.507 |
| 2016-05-25 | 2.000 | 1.587 |
| 2016-02-24 | 2.000 | 1.797 |
| 2015-11-16 | 2.000 | 1.813 |
| 2015-08-19 | 1.840 | 1.817 |
| 2015-05-27 | 1.840 | 2.008 |
| 2015-02-25 | 1.840 | 1.996 |
| 2014-11-17 | 1.840 | 1.986 |
| 2014-08-19 | 1.760 | 2.005 |
| 2014-05-28 | 1.760 | 1.908 |
| 2014-02-26 | 1.760 | 1.887 |
| 2013-11-18 | 1.760 | 2.039 |
| 2013-08-21 | 1.600 | 2.017 |
| 2013-05-22 | 1.600 | 1.954 |
| 2013-02-27 | 1.520 | 1.965 |
| 2012-11-19 | 1.520 | 2.114 |
| 2012-08-22 | 1.440 | 1.974 |
| 2012-05-23 | 1.440 | 2.086 |
| 2012-02-22 | 1.440 | 2.210 |
| 2011-11-21 | 1.440 | 2.086 |
| 2011-08-17 | 1.320 | 2.130 |
| 2011-05-25 | 1.320 | 2.209 |
| 2011-02-22 | 1.320 | 2.216 |
| 2010-11-15 | 1.320 | 2.391 |
| 2010-08-18 | 1.200 | 2.499 |
| 2010-05-26 | 1.200 | 2.266 |
| 2010-02-24 | 1.200 | 2.079 |
| 2009-11-16 | 1.200 | 2.336 |
| 2009-08-19 | 1.140 | 2.264 |
| 2009-05-27 | 1.140 | 2.538 |
| 2009-03-20 | 1.140 | 2.610 |
Learn more about our ratios and growth rates in Simply Wall St’s analysis model >
- Dividends per share have been stable in the past 10 years.
- Dividends per share have increased over the past 10 years.
Current Payout to shareholders
What portion of
Lancaster Colony's earnings are
paid
to the shareholders as a dividend.
- Dividends paid are well covered by earnings (2.2x coverage).
- Insufficient estimate data to determine if a dividend will be paid in 3 years and that it will be sustainable.
Income/ dividend checks
We assess Lancaster Colony's dividend by checking for:- Firstly is the company paying a notable dividend (greater than 0.8%) - if not then the rest of the checks are ignored.
- Is current dividend yield above the bottom 25% of dividend payers? (1 check)
- Is current dividend yield above the top 25% of dividend payers? (1 check)
- Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
- If they have paid a dividend for 10 years has it increased in this time? (1 check)
- How sustainable is the dividend, can Lancaster Colony afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks) Lancaster Colony has a total score of 4/6, see the detailed checks below.
Full details on the Dividends part of the Simply Wall St company analysis model.
LANC Management
CEO
| COMPENSATION | $2,731,617 |
| AGE | 52 |
| TENURE AS CEO | 1.7 years |
CEO Bio
Mr. David A. Ciesinski, also known as Dave, has been Chief Executive Officer of Lancaster Colony Corporation since July 1, 2017. Mr. Ciesinski has been President of Lancaster Colony Corporation since April 18, 2016. He has been the President of T. Marzetti since April 18, 2016. He serves as the Chief Commercial Officer and Executive Vice President of Forever, Inc. Mr. Ciesinski served as Chief Operating Officer at Lancaster Colony Corporation from April 18, 2016 to July 1, 2017. He served as Vice President of Transition at The Kraft Heinz Foods Company until June 7, 2013. He served as the President of Meal Solutions Division at Kraft Foods Group, Inc., and served as its Executive Vice President and President of Meals & Desserts. He was responsible for leading Kraft’s Meals & Desserts business unit, which includes iconic brands like Kraft Macaroni & Cheese, Velveeta dinners, Cool Whip whipped topping and Jell-O dry packaged and ready-to-eat desserts. He joined Kraft in July 2014. He served as Group Vice President and Chief Marketing Officer of the U.S. Ketchup’s U.S. Consumer Products division. He served as Vice President of Office of the Chairman & Strategy at Kraft Heinz Intermediate Corporation II from February 2006 to June 20, 2013 and served as its Vice President of Strategic Planning. He served as Vice President of its U.S. Ketchup franchise from 2006 to 2011. He has been Director of Lancaster Colony Corporation since July 1, 2017. He served as Fire Support Officer in a front line mechanized infantry unit during the First Gulf War. He was awarded the Bronze Star for his leadership in combat. Mr. Ciesinski later earned his MBA from the Tepper School of Business at Carnegie Mellon University and a Graduate of the United States Military Academy at West Point. From 2012 to 2013, Mr. Ciesinski served as the Vice President of Global Business Development at H.J. Heinz Company, in which capacity he was responsible for leading the corporate business development activities of H.J. Heinz Company.
CEO Compensation
- Dave's compensation has been consistent with company performance over the past year.
- Dave's remuneration is lower than average for companies of similar size in United States of America.
Management Team Tenure
Average tenure and age of the Lancaster Colony management team in years:
- The tenure for the Lancaster Colony management team is about average.
Management Team
Jay Gerlach
Executive Chairman
$717K
63
2.2 yrs
Dave Ciesinski
President
$3M
52
1.7 yrs
Douglas Fell
CFO, VP
$997K
56
4.7 yrs
David Nagle
Senior Vice President of Supply Chain - T. Marzetti Company
$768K
53
2.2 yrs
Dale Ganobsik
VP of Investor Relations & Treasurer
Matthew Shurte
General Counsel
50
Timothy Tate
Senior Vice President of Foodservice Sales of T. Marzetti Company
63
David Segal
Senior Corporate Counsel and Assistant Secretary
Board of Directors Tenure
Average tenure and age of the Lancaster Colony board of directors in years:
- The tenure for the Lancaster Colony board of directors is about average.
Board of Directors
Dave Ciesinski
President
$3M
52
1.7 yrs
Robert Fox
Independent Director
$189K
69
28.2 yrs
Jay Gerlach
Executive Chairman
$717K
63
22.2 yrs
Zuheir Sofia
Independent Director
$199K
73
21.2 yrs
Ken Cooke
Director
$203K
69
9.2 yrs
Alan Harris
Lead Independent Director
$194K
64
0.3 yrs
Neeli Bendapudi
Independent Director
$190K
55
13.6 yrs
Bob Ostryniec
Independent Director
$183K
57
4.3 yrs
Bill Carter
Director
$190K
64
3.3 yrs
Mike Keown
Independent Director
56
0.3 yrs
Who owns this company?
Recent Insider Transactions
| Announced | Type | Name | Entity | Role | Start | End | Shares | Max Price ($) | Value ($) | |
|---|---|---|---|---|---|---|---|---|---|---|
| 09. Nov 18 | Sell | Timothy Tate | Individual | 07. Nov 18 | 07. Nov 18 | -747 | $176.01 | $-131,479 | ||
| 06. Sep 18 | Sell | Douglas Fell | Individual | 04. Sep 18 | 04. Sep 18 | -500 | $154.90 | $-77,452 | ||
Management checks
We assess Lancaster Colony's management by checking for:- Is the CEO's compensation unreasonable compared to market cap? (1 check)
- Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
- Is the average tenure of the management team less than 2 years? (1 check)
- Is the average tenure of the board of directors team less than 3 years? (1 check) Lancaster Colony has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.
Note: We use the top 6 management executives and board members in our calculations.
Note 2: Insider trading include any internal stakeholders and these transactions .
Full details on the Management part of the Simply Wall St company analysis model.
LANC News
Simply Wall St News
Lancaster Colony Corporation (NASDAQ:LANC) Delivered A Better ROE Than Its Industry
Our data shows Lancaster Colony has a return on equity of 21% for the last year. … One way to conceptualize this, is that for each $1 of shareholders' equity it has, the company made $0.21 in profit. … Return on Equity = Net Profit ÷ Shareholders' Equity
Simply Wall St - – Full articleOnly 2 Days Left Until Lancaster Colony Corporation (NASDAQ:LANC) Trades Ex-Dividend
On the 29 March 2019, Lancaster Colony Corporation (NASDAQ:LANC) will be paying shareholders an upcoming dividend amount of US$0.65 per share. … When assessing a stock as a potential addition to my dividend Portfolio, I look at these five areas:? … Will the company be able to keep paying dividend based on the future earnings growth
Simply Wall St - – Full articleLancaster Colony Corporation (NASDAQ:LANC) Earns A Nice Return On Capital Employed
Specifically, we're going to calculate its Return On Capital Employed (ROCE), in the hopes of getting some insight into the business. … Return On Capital Employed (ROCE): What is it? … How Do You Calculate Return On Capital Employed
Simply Wall St - – Full articleWhere Lancaster Colony Corporation (NASDAQ:LANC) Stands In Terms Of Earnings Growth Against Its Industry
Check out our latest analysis for Lancaster Colony? … Were LANC's earnings stronger than its past performances and the industry. … Furthermore, this one-year growth rate has exceeded its 5-year annual growth average of 7.1%, indicating the rate at which LANC is growing has accelerated
Simply Wall St - – Full articleWhy I Like Lancaster Colony Corporation (NASDAQ:LANC)
Lancaster Colony Corporation (NASDAQ:LANC) is a stock with outstanding fundamental characteristics. … When we build an investment case, we need to look at the stock with a holistic perspective. … In the case of LANC, it
Simply Wall St - – Full articleWhat You Must Know About Lancaster Colony Corporation's (NASDAQ:LANC) Financial Health
Mid-caps stocks, like Lancaster Colony Corporation (NASDAQ:LANC) with a market capitalization of US$4.7b, aren’t the focus of most investors who prefer to direct their investments towards either large-cap or small-cap stocks. … Don’t forget that this is a general and concentrated examination of Lancaster Colony's financial health, so you should conduct further analysis. … Check out our latest analysis for Lancaster Colony.
Simply Wall St - – Full articleShould Lancaster Colony Corporation (NASDAQ:LANC) Be Part Of Your Portfolio?
A sizeable part of portfolio returns can be produced by dividend stocks due to their contribution to compounding returns in the long run. … Historically, Lancaster Colony Corporation (NASDAQ:LANC) has been paying a dividend to shareholders. … Let's dig deeper into whether Lancaster Colony should have a place in your portfolio.
Simply Wall St - – Full articleWhat Does Lancaster Colony Corporation's (NASDAQ:LANC) P/E Ratio Tell You?
To keep it practical, we'll show how Lancaster Colony Corporation's (NASDAQ:LANC) P/E ratio could help you assess the value on offer. … Lancaster Colony has a P/E ratio of 34.99, based on the last twelve months. … Price to Earnings Ratio = Price per Share ÷ Earnings per Share (EPS)
Simply Wall St - – Full articleHow Much Are Lancaster Colony Corporation (NASDAQ:LANC) Insiders Taking Off The Table?
So we'll take a look at whether insiders have been buying or selling shares in Lancaster Colony Corporation (NASDAQ:LANC). … The Last 12 Months Of Insider Transactions At Lancaster Colony. … In total, Lancaster Colony insiders sold more than they bought over the last year
Simply Wall St - – Full articleCould Lancaster Colony Corporation's (NASDAQ:LANC) Investor Composition Influence The Stock Price?
If you want to know who really controls Lancaster Colony Corporation (NASDAQ:LANC), then you'll have to look at the makeup of its share registry. … So it's nice to see some insider ownership, because it may suggest that management is owner-oriented. … Taking a look at the our data on the ownership groups (below), it's seems that.
Simply Wall St - – Full articleLANC Company Info
Description
Lancaster Colony Corporation manufactures and markets specialty food products for the retail and foodservice markets in the United States. The company operates through two segments, Retail and Foodservice. It offers frozen garlic breads under the New York BRAND Bakery brand; frozen Parkerhouse style yeast and dinner rolls under the Sister Schubert’s brand name; salad dressings under the Marzetti, Simply Dressed, Simply 60, Cardini’s, and Girard’s brands; and vegetable dips and fruit dips under the Marzetti brand. The company also provides flatbread wraps and pizza crusts under the Flatout brand; sprouted grain bakery products under the Angelic Bakehouse brand name; croutons and salad toppings under the New York BRAND Bakery, Chatham Village, and Marzetti brands; and frozen pasta under the Marzetti Frozen Pasta brand name. In addition, it manufactures and sells other products to brand license agreements, including Olive Garden’s dressings and Buffalo Wild Wings sauces. The company sells its products through sales personnel, food brokers, and distributors to retailers and restaurants. Lancaster Colony Corporation was founded in 1961 and is based in Westerville, Ohio.
Details
| Name: | Lancaster Colony Corporation |
| LANC | |
| Exchange: | NasdaqGS |
| Founded: | 1961 |
| $4,262,913,985 | |
| 27,507,995 | |
| Website: | http://www.lancastercolony.com |
| Address: |
Lancaster Colony Corporation 380 Polaris Parkway, Suite 400, Westerville, Ohio, 43082, United States |
Listings
| Exchange Symbol | Ticker Symbol | Security | Exchange | Country | Currency | Listed on | |
|---|---|---|---|---|---|---|---|
| NasdaqGS | LANC | Common Stock | Nasdaq Global Select | US | USD | 02. Jan 1969 | |
| DB | LC1 | Common Stock | Deutsche Boerse AG | DE | EUR | 02. Jan 1969 |
Number of employees
Current staff
Industry
| Packaged Foods and Meats | |
| Food, Beverage & Tobacco |
Company Analysis and Financial Data Status
| Area | Date (UTC time) |
|---|---|
| Company Analysis updated: | 2019/03/19 23:38 |
| End of day share price update: | 2019/03/19 00:00 |
| Last estimates confirmation: | 2019/03/18 |
| Last earnings filing: | 2019/02/06 |
| Last earnings reported: | 2018/12/31 |
| Last annual earnings reported: | 2018/06/30 |
All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.
