NasdaqGS:LQDT

Stock Analysis Report

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Market Cap

US$703.2m

Last Updated

2021/08/04 22:59 UTC

Data Sources

Company Financials +

Executive Summary

Liquidity Services, Inc. provides e-commerce marketplace that enable buyers and sellers to transact in an automated environment. More Details


Snowflake Analysis

Flawless balance sheet with acceptable track record.


Similar Companies

Share Price & News

How has Liquidity Services's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: LQDT is more volatile than 75% of US stocks over the past 3 months, typically moving +/- 14% a week.

Volatility Over Time: LQDT's weekly volatility (14%) has been stable over the past year, but is still higher than 75% of US stocks.


Market Performance


7 Day Return

1.0%

LQDT

-2.9%

US Online Retail

0.9%

US Market


1 Year Return

264.7%

LQDT

-0.8%

US Online Retail

34.7%

US Market

Return vs Industry: LQDT exceeded the US Online Retail industry which returned -0.8% over the past year.

Return vs Market: LQDT exceeded the US Market which returned 34.7% over the past year.


Shareholder returns

LQDTIndustryMarket
7 Day1.0%-2.9%0.9%
30 Day-14.2%-6.3%0.2%
90 Day-22.5%-2.7%4.7%
1 Year264.7%264.7%-0.7%-0.8%36.8%34.7%
3 Year186.0%186.0%62.9%62.3%62.5%52.4%
5 Year111.0%111.0%250.0%249.5%123.1%98.4%

Long-Term Price Volatility Vs. Market

How volatile is Liquidity Services's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Liquidity Services undervalued compared to its fair value and its price relative to the market?

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: LQDT ($20.02) is trading below our estimate of fair value ($284.12)

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


Price To Earnings Ratio

PE vs Industry: LQDT is poor value based on its PE Ratio (43.4x) compared to the US Online Retail industry average (24.9x).

PE vs Market: LQDT is poor value based on its PE Ratio (43.4x) compared to the US market (18x).


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate LQDT's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: LQDT is overvalued based on its PB Ratio (6.3x) compared to the US Online Retail industry average (5.2x).


Future Growth

How is Liquidity Services forecast to perform in the next 1 to 3 years based on estimates from 1 analyst?

28.5%

Forecasted Retail industry annual growth in earnings


In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as Liquidity Services has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.

This is quite a rare situation as 97% of companies covered by SimplyWall St do have past financial data.


Past Performance

How has Liquidity Services performed over the past 5 years?

45.4%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: LQDT has high quality earnings.

Growing Profit Margin: LQDT became profitable in the past.


Past Earnings Growth Analysis

Earnings Trend: LQDT has become profitable over the past 5 years, growing earnings by 45.4% per year.

Accelerating Growth: LQDT has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.

Earnings vs Industry: LQDT has become profitable in the last year, making it difficult to compare its past year earnings growth to the Online Retail industry (87.3%).


Return on Equity

High ROE: LQDT's Return on Equity (14.4%) is considered low.


Financial Health

How is Liquidity Services's financial position?


Financial Position Analysis

Short Term Liabilities: LQDT's short term assets ($114.9M) exceed its short term liabilities ($98.4M).

Long Term Liabilities: LQDT's short term assets ($114.9M) exceed its long term liabilities ($12.2M).


Debt to Equity History and Analysis

Debt Level: LQDT is debt free.

Reducing Debt: LQDT has not had any debt for past 5 years.

Debt Coverage: LQDT has no debt, therefore it does not need to be covered by operating cash flow.

Interest Coverage: LQDT has no debt, therefore coverage of interest payments is not a concern.


Balance Sheet


Dividend

What is Liquidity Services's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

Notable Dividend: Unable to evaluate LQDT's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate LQDT's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if LQDT's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if LQDT'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 LQDT'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?

2.3yrs

Average management tenure


CEO

Bill Angrick (53 yo)

21.58yrs

Tenure

US$2,492,510

Compensation

Mr. William P. Angrick, III, also known as Bill, is a co-founder of Liquidity Services Inc. (“Liquidity Services”). Mr. Angrick the Chairman of the Board of Directors and Chief Executive Officer of Liquidi...


CEO Compensation Analysis

Compensation vs Market: Bill's total compensation ($USD2.49M) is about average for companies of similar size in the US market ($USD2.42M).

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


Leadership Team

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


Board Members

Experienced Board: LQDT's board of directors are considered experienced (9.6 years average tenure).


Ownership

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


Insider Trading Volume

Insider Buying: LQDT insiders have only sold shares in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 3.3%.


Top Shareholders

Company Information

Liquidity Services, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Liquidity Services, Inc.
  • Ticker: LQDT
  • Exchange: NasdaqGS
  • Founded: 1999
  • Industry: Internet and Direct Marketing Retail
  • Sector: Retail
  • Market Cap: US$703.228m
  • Shares outstanding: 35.13m
  • Website: https://www.liquidityservices.com

Number of Employees


Location

  • Liquidity Services, Inc.
  • 6931 Arlington Road
  • Suite 200
  • Bethesda
  • Maryland
  • 20814
  • United States

Listings


Biography

Liquidity Services, Inc. provides e-commerce marketplace that enable buyers and sellers to transact in an automated environment. The company’s marketplaces include liquidation.com that enable corporations ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/08/04 22:59
End of Day Share Price2021/08/04 00:00
Earnings2021/03/31
Annual Earnings2020/09/30


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.