Market Cap
US$1.7b
Last Updated
2020/02/17 01:41 UTC
Data Sources
Company Financials +
Executive Summary
Livent Corporation manufactures and sells performance lithium compounds for energy storage, specialty polymer, and chemical synthesis applications in North America, Latin America, Europe, the Middle East, Africa, and the Asia Pacific.
Snowflake Analysis
Excellent balance sheet with limited growth.
Similar Companies
Share Price & News
How has Livent's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: LTHM's share price has been volatile over the past 3 months.
Market Performance
7 Day Return
16.7%
LTHM
1.6%
US Chemicals
1.5%
US Market
1 Year Return
-10.6%
LTHM
-3.7%
US Chemicals
20.1%
US Market
Return vs Industry: LTHM underperformed the US Chemicals industry which returned -3.7% over the past year.
Return vs Market: LTHM underperformed the US Market which returned 20.1% over the past year.
Shareholder returns
| LTHM | Industry | Market | |
|---|---|---|---|
| 7 Day | 16.7% | 1.6% | 1.5% |
| 30 Day | 29.2% | -1.2% | 1.4% |
| 90 Day | 50.8% | 0.2% | 8.7% |
| 1 Year | -10.6%-10.6% | 10.1%-3.7% | 22.7%20.1% |
| 3 Year | n/a | 29.9%5.2% | 50.1%40.5% |
| 5 Year | n/a | 38.3%8.3% | 73.1%54.1% |
Price Volatility Vs. Market
How volatile is Livent's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 week ago | Simply Wall St
A Rising Share Price Has Us Looking Closely At Livent Corporation's (NYSE:LTHM) P/E Ratio3 weeks ago | Simply Wall St
If You Had Bought Livent (NYSE:LTHM) Stock A Year Ago, You'd Be Sitting On A 31% Loss, Today1 month ago | Simply Wall St
Are Livent's (NYSE:LTHM) Statutory Earnings A Good Guide To Its Underlying Profitability?Valuation
Is Livent undervalued compared to its fair value and its price relative to the market?
21.98x
Price to Earnings (PE) ratio
Share Price vs. Fair Value
Below Fair Value: Insufficient data to calculate LTHM's fair value to establish if it is undervalued.
Significantly Below Fair Value: Insufficient data to calculate LTHM's fair value to establish if it is undervalued.
Price To Earnings Ratio
PE vs Industry: LTHM is good value based on its PE Ratio (22x) compared to the Chemicals industry average (22.2x).
PE vs Market: LTHM is poor value based on its PE Ratio (22x) compared to the US market (18.4x).
Price to Earnings Growth Ratio
PEG Ratio: LTHM is poor value based on its PEG Ratio (1.8x)
Price to Book Ratio
PB vs Industry: LTHM is overvalued based on its PB Ratio (3.1x) compared to the US Chemicals industry average (2.2x).
Next Steps
Future Growth
How is Livent forecast to perform in the next 1 to 3 years based on estimates from 11 analysts?
12.1%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: LTHM's forecast earnings growth (12.1% per year) is above the savings rate (1.7%).
Earnings vs Market: LTHM's earnings (12.1% per year) are forecast to grow slower than the US market (14.5% per year).
High Growth Earnings: LTHM's earnings are forecast to grow, but not significantly.
Revenue vs Market: LTHM's revenue (11.3% per year) is forecast to grow faster than the US market (7.6% per year).
High Growth Revenue: LTHM's revenue (11.3% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: LTHM's Return on Equity is forecast to be low in 3 years time (11.6%).
Next Steps
Past Performance
How has Livent performed over the past 5 years?
-14.6%
Last years earnings growth
Earnings and Revenue History
Quality Earnings: LTHM has a high level of non-cash earnings.
Growing Profit Margin: LTHM's current net profit margins (17.8%) are lower than last year (20.5%).
Past Earnings Growth Analysis
Earnings Trend: Insufficient data to determine if LTHM's year-on-year earnings growth rate was positive over the past 5 years.
Accelerating Growth: LTHM's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: LTHM had negative earnings growth (-14.6%) over the past year, making it difficult to compare to the Chemicals industry average (-14.6%).
Return on Equity
High ROE: LTHM's Return on Equity (14.1%) is considered low.
Return on Assets
Return on Capital Employed
Next Steps
Financial Health
How is Livent's financial position?
Financial Position Analysis
Short Term Liabilities: LTHM's short term assets ($253.6M) exceed its short term liabilities ($90.0M).
Long Term Liabilities: LTHM's short term assets ($253.6M) exceed its long term liabilities ($124.9M).
Debt to Equity History and Analysis
Debt Level: LTHM's debt to equity ratio (16.6%) is considered satisfactory.
Reducing Debt: Insufficient data to determine if LTHM's debt to equity ratio has reduced over the past 5 years.
Debt Coverage: LTHM's debt is well covered by operating cash flow (104.8%).
Interest Coverage: LTHM's interest payments on its debt are well covered by EBIT (346x coverage).
Balance Sheet
Inventory Level: LTHM has a high level of physical assets or inventory.
Debt Coverage by Assets: LTHM's debt is covered by short term assets (assets are 2.8x debt).
Next Steps
Dividend
What is Livent's current dividend yield, its reliability and sustainability?
Dividend Yield vs Market
Current dividend yield vs market & industry
Notable Dividend: Unable to evaluate LTHM's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.
High Dividend: Unable to evaluate LTHM's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.
Stability and Growth of Payments
Stable Dividend: Insufficient data to determine if LTHM's dividends per share have been stable in the past.
Growing Dividend: Insufficient data to determine if LTHM's dividend payments have been increasing.
Current Payout to Shareholders
Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: No need to calculate the sustainability of LTHM's dividend in 3 years as they are not forecast to pay a notable one for the US market.
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
1.8yrs
Average management tenure
CEO
Paul Graves (47yo)
1.8yrs
Tenure
US$5,608,948
Compensation
Mr. Paul W. Graves has been President, Chief Executive Officer & Director of Livent Corporation since May 2018. Mr. Graves was Chief Executive Officer of Planned FMC Lithium Company since May 2018 until 20 ...
CEO Compensation Analysis
Compensation vs Market: Paul's total compensation ($USD5.61M) is above average for companies of similar size in the US market ($USD3.76M).
Compensation vs Earnings: Paul's compensation has increased by more than 20% whilst company earnings have fallen more than 20% in the past year.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| President | 1.8yrs | US$5.61m | 0.11% $1.9m | |
| VP & CFO | 1.8yrs | US$1.49m | 0.0048% $81.0k | |
| Global Head of Manufacturing & Operations | 1.1yrs | no data | no data | |
| Corporate Controller & Chief Accounting Officer | 0.9yrs | no data | no data | |
| Investor Relations Manager | 0yrs | no data | no data | |
| VP, General Counsel & Secretary | 1.8yrs | no data | no data | |
| Chief Communications Officer & Global Head of Public Affairs | 0yrs | no data | no data | |
| Chief Human Resources Officer | 0yrs | no data | no data | |
| Chief Commercial Officer | 0yrs | no data | no data |
1.8yrs
Average Tenure
48yo
Average Age
Experienced Management: LTHM's management team is not considered experienced ( 1.8 years average tenure), which suggests a new team.
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| President | 1.8yrs | US$5.61m | 0.11% $1.9m | |
| Independent Director | 2.1yrs | US$69.70k | 0.097% $1.6m | |
| Independent Director | 2.1yrs | US$73.89k | 0.026% $430.1k | |
| Chairman | 1.3yrs | no data | 0.19% $3.2m | |
| Director | 1.3yrs | no data | 0.072% $1.2m | |
| Independent Director | 2.1yrs | US$71.10k | 0.034% $575.2k | |
| Director | 0yrs | no data | 0.0064% $107.9k | |
| Director | 0yrs | no data | 0.0016% $27.5k | |
| Independent Director | 2.1yrs | US$69.70k | 0.0082% $137.2k |
2.1yrs
Average Tenure
61yo
Average Age
Experienced Board: LTHM's board of directors are not considered experienced ( 2.1 years average tenure), which suggests a new board.
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.
Ownership Breakdown
Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 2.1%.
Top Shareholders
Company Information
Livent Corporation's company bio, employee growth, exchange listings and data sources
Key Information
- Name: Livent Corporation
- Ticker: LTHM
- Exchange: NYSE
- Founded: 2018
- Industry: Specialty Chemicals
- Sector: Materials
- Market Cap: US$1.677b
- Shares outstanding: 145.98m
- Website: https://www.livent.com
Number of Employees
Location
- Livent Corporation
- 2929 Walnut Street
- Philadelphia
- Pennsylvania
- 19104
- United States
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| LTHM | NYSE (New York Stock Exchange) | Yes | Common Stock | US | USD | Oct 2018 |
| 8LV | DB (Deutsche Boerse AG) | Yes | Common Stock | DE | EUR | Oct 2018 |
Biography
Livent Corporation manufactures and sells performance lithium compounds for energy storage, specialty polymer, and chemical synthesis applications in North America, Latin America, Europe, the Middle East, Africa, and the Asia Pacific. The company offers lithium compounds for use in applications that have specific performance requirements, including battery-grade lithium hydroxide for use in high performance lithium-ion batteries; and butyllithium, which is used as a synthesizer in the production of polymers and pharmaceutical products, as well as a range of specialty lithium compounds, including high purity lithium metal, which is used in the production of lightweight materials for aerospace applications and non-rechargeable batteries. It also provides lithium phosphate, pharmaceutical-grade lithium carbonate, high purity lithium chloride, and specialty organics, as well as lithium carbonate and lithium chloride for use as feedstock in the process of producing performance lithium compounds. The company was incorporated in 2018 and is headquartered in Philadelphia, Pennsylvania. Livent Corporation operates independently of FMC Corporation as of March 1, 2019.
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2020/02/17 01:41 |
| End of Day Share Price | 2020/02/14 00:00 |
| Earnings | 2019/09/30 |
| Annual Earnings | 2018/12/31 |
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.