NasdaqGS:LAMR

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Lamar Advertising Company (REIT)

Executive Summary

Founded in 1902, Lamar Advertising (Nasdaq: LAMR) is one of the largest outdoor advertising companies in North America, with approximately 385,000 displays across the United States and Canada. More Details


Snowflake Analysis

Fair value with limited growth.


Similar Companies

Share Price & News

How has Lamar Advertising Company (REIT)'s share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: LAMR has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

8.8%

LAMR

1.8%

US REITs

1.0%

US Market


1 Year Return

-14.5%

LAMR

-11.7%

US REITs

13.6%

US Market

Return vs Industry: LAMR underperformed the US REITs industry which returned -11.7% over the past year.

Return vs Market: LAMR underperformed the US Market which returned 13.6% over the past year.


Shareholder returns

LAMRIndustryMarket
7 Day8.8%1.8%1.0%
30 Day1.6%2.0%-0.4%
90 Day-8.0%2.3%8.9%
1 Year-10.7%-14.5%-8.2%-11.7%16.2%13.6%
3 Year21.7%5.7%15.9%2.2%40.2%30.8%
5 Year63.6%29.1%49.8%19.9%89.6%68.2%

Price Volatility Vs. Market

How volatile is Lamar Advertising Company (REIT)'s share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Lamar Advertising Company (REIT) undervalued compared to its fair value and its price relative to the market?

35.2%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: LAMR ($68.44) is trading below our estimate of fair value ($105.68)

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


Price To Earnings Ratio

PE vs Industry: LAMR is good value based on its PE Ratio (25.1x) compared to the US REITs industry average (34.6x).

PE vs Market: LAMR is poor value based on its PE Ratio (25.1x) compared to the US market (18.4x).


Price to Earnings Growth Ratio

PEG Ratio: LAMR is poor value based on its PEG Ratio (1.5x)


Price to Book Ratio

PB vs Industry: LAMR is overvalued based on its PB Ratio (6.1x) compared to the US REITs industry average (1.5x).


Next Steps

Future Growth

How is Lamar Advertising Company (REIT) forecast to perform in the next 1 to 3 years based on estimates from 4 analysts?

17.2%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: LAMR's forecast earnings growth (17.2% per year) is above the savings rate (2.2%).

Earnings vs Market: LAMR's earnings (17.2% per year) are forecast to grow slower than the US market (23.2% per year).

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

Revenue vs Market: LAMR's revenue (3.8% per year) is forecast to grow slower than the US market (9.7% per year).

High Growth Revenue: LAMR's revenue (3.8% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: LAMR's Return on Equity is forecast to be high in 3 years time (27.4%)


Next Steps

Past Performance

How has Lamar Advertising Company (REIT) performed over the past 5 years?

1.9%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: LAMR has high quality earnings.

Growing Profit Margin: LAMR's current net profit margins (16.4%) are lower than last year (21.4%).


Past Earnings Growth Analysis

Earnings Trend: LAMR's earnings have grown by 1.9% per year over the past 5 years.

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

Earnings vs Industry: LAMR had negative earnings growth (-23.7%) over the past year, making it difficult to compare to the REITs industry average (3.3%).


Return on Equity

High ROE: Whilst LAMR's Return on Equity (24.43%) is high, this metric is skewed due to their high level of debt.


Next Steps

Financial Health

How is Lamar Advertising Company (REIT)'s financial position?


Financial Position Analysis

Short Term Liabilities: LAMR's short term assets ($444.2M) exceed its short term liabilities ($393.9M).

Long Term Liabilities: LAMR's short term assets ($444.2M) do not cover its long term liabilities ($4.5B).


Debt to Equity History and Analysis

Debt Level: LAMR's debt to equity ratio (280.9%) is considered high.

Reducing Debt: LAMR's debt to equity ratio has increased from 197.3% to 280.9% over the past 5 years.

Debt Coverage: LAMR's debt is not well covered by operating cash flow (19.2%).

Interest Coverage: LAMR's interest payments on its debt are well covered by EBIT (3x coverage).


Balance Sheet


Next Steps

Dividend

What is Lamar Advertising Company (REIT) current dividend yield, its reliability and sustainability?

2.92%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: LAMR's dividend (2.92%) is higher than the bottom 25% of dividend payers in the US market (1.66%).

High Dividend: LAMR's dividend (2.92%) is low compared to the top 25% of dividend payers in the US market (4.68%).


Stability and Growth of Payments

Stable Dividend: LAMR has been paying a dividend for less than 10 years and during this time payments have been volatile.

Growing Dividend: LAMR has only been paying a dividend for 6 years, and since then payments have fallen.


Current Payout to Shareholders

Dividend Coverage: With its reasonable payout ratio (67.5%), LAMR's dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: LAMR's dividends in 3 years are not forecast to be well covered by earnings (123.2% payout ratio).


Next Steps

Management

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

2.3yrs

Average management tenure


CEO

Sean Reilly (58 yo)

9.58yrs

Tenure

US$4,966,110

Compensation

Mr. Sean E. Reilly has been Chief Executive Officer of Lamar Advertising Company and Lamar Advertising Company (REIT) since February 2011. Mr. Reilly has been President of Lamar Advertising Company and Lam ...


CEO Compensation Analysis

Compensation vs Market: Sean's total compensation ($USD4.97M) is below average for companies of similar size in the US market ($USD7.33M).

Compensation vs Earnings: Sean's compensation has been consistent with company performance over the past year.


Leadership Team

NamePositionTenureCompensationOwnership
Kevin Reilly
Executive Chairmanno dataUS$3.92m2.65%
$ 182.9m
Sean Reilly
CEO & President9.58yrsUS$4.97m1.57%
$ 108.2m
Jay Johnson
Executive VP0.92yrUS$2.05m0.017%
$ 1.2m
Micky Vint
Vice President of Operations0.17yrno datano data
Buster Kantrow
Director of Investor Relationsno datano datano data
James McIlwain
Secretary & General Counselno datano datano data
John Miller
Senior Vice President of Sales & Sales Operations3.75yrsno datano data
Thomas Teepell
Chief Marketing Officerno datano datano data
Tammy Duncan
Vice President of Human Resourcesno datano datano data
Charles McCoy
Executive Vice Presidentno datano datano data
Floyd Williams
President of Interstate Logosno datano datano data
Danielle Dubreuil
VP & Controllerno datano datano data

2.3yrs

Average Tenure

58.5yo

Average Age

Experienced Management: LAMR's management team is considered experienced (2.3 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Kevin Reilly
Executive Chairmanno dataUS$3.92m2.65%
$ 182.9m
Stephen Mumblow
Independent Director21.67yrsUS$158.50k0.0066%
$ 456.7k
John Koerner
Independent Director12.75yrsUS$142.50k0.042%
$ 2.9m
Marshall Loeb
Independent Director2.33yrsUS$112.50k0.0023%
$ 158.0k
Thomas Reifenheiser
Independent Director20.67yrsUS$142.50k0.036%
$ 2.5m
Anna Reilly Cullinan
Director19.67yrsUS$145.00k1.14%
$ 78.3m
Wendell Reilly
Director15.67yrsUS$100.00k0.50%
$ 34.8m
Nancy Fletcher
Independent Director0.33yrno data0.0023%
$ 157.3k
Elizabeth Thompson
Independent Director1.33yrsUS$85.67k0.0015%
$ 102.1k

14.2yrs

Average Tenure

64yo

Average Age

Experienced Board: LAMR's board of directors are seasoned and experienced ( 14.2 years average tenure).


Ownership

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


Insider Trading Volume

Insider Buying: LAMR 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.


Top Shareholders

Company Information

Lamar Advertising Company (REIT)'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Lamar Advertising Company (REIT)
  • Ticker: LAMR
  • Exchange: NasdaqGS
  • Founded: 1902
  • Industry: Specialized REITs
  • Sector: Real Estate
  • Market Cap: US$6.899b
  • Shares outstanding: 100.81m
  • Website: https://www.lamar.com

Number of Employees


Location

  • Lamar Advertising Company (REIT)
  • 5321 Corporate Boulevard
  • Baton Rouge
  • Louisiana
  • 70808
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
LAMRNasdaqGS (Nasdaq Global Select)YesClass A Common StockUSUSDAug 1996
6LADB (Deutsche Boerse AG)YesClass A Common StockDEEURAug 1996

Biography

Founded in 1902, Lamar Advertising (Nasdaq: LAMR) is one of the largest outdoor advertising companies in North America, with approximately 385,000 displays across the United States and Canada. Lamar offers ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/09/19 06:26
End of Day Share Price2020/09/18 00:00
Earnings2020/06/30
Annual Earnings2019/12/31


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.