NasdaqGS:LQDT

Stock Analysis Report

Executive Summary

Liquidity Services, Inc. provides e-commerce marketplace that enable buyers and sellers to transact in an automated environment offering approximately 500 product categories.

Snowflake

Fundamentals

Flawless balance sheet and overvalued.


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


Market Performance


7 Day Return

1.2%

LQDT

-1.2%

US Online Retail

0.07%

US Market


1 Year Return

13.9%

LQDT

8.4%

US Online Retail

8.9%

US Market

Return vs Industry: LQDT exceeded the US Online Retail industry which returned 8.4% over the past year.

Return vs Market: LQDT exceeded the US Market which returned 8.9% over the past year.


Shareholder returns

LQDTIndustryMarket
7 Day1.2%-1.2%0.07%
30 Day-14.0%-2.1%-0.3%
90 Day-0.5%-8.2%-1.6%
1 Year13.9%13.9%8.5%8.4%11.3%8.9%
3 Year-31.1%-31.1%76.2%76.0%46.3%36.8%
5 Year-48.7%-48.7%171.2%159.6%62.1%44.3%

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?

1.78x

Price to Book (PB) ratio


Share Price vs. Fair Value

Below Fair Value: Insufficient data to calculate LQDT's fair value to establish if it is undervalued.

Significantly Below Fair Value: Insufficient data to calculate LQDT's fair value to establish if it is undervalued.


Price To Earnings Ratio

PE vs Industry: LQDT is unprofitable, so we can't compare its PE Ratio to the Online Retail industry average.

PE vs Market: LQDT is unprofitable, so we can't compare its PE Ratio to the US market.


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 good value based on its PB Ratio (1.8x) compared to the US Online Retail industry average (2.6x).


Next Steps

Future Growth

How is Liquidity Services forecast to perform in the next 1 to 3 years based on estimates from 2 analysts?

6.6%

Forecasted annual revenue growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: Insufficient data to determine if LQDT's forecast earnings growth is above the savings rate (2.7%).

Earnings vs Market: Insufficient data to determine if LQDT's earnings are forecast to grow faster than the US market

High Growth Earnings: Insufficient data to determine if earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: LQDT's revenue (6.6% per year) is forecast to grow slower than the US market (7.2% per year).

High Growth Revenue: LQDT's revenue (6.6% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: Insufficient data to determine if LQDT's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has Liquidity Services performed over the past 5 years?

1.0%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: LQDT is unprofitable, but has reduced losses over the past 5 years at a rate of 1% per year.

Accelerating Growth: Unable to compare LQDT's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: LQDT is unprofitable, making it difficult to compare its past year earnings growth to the Online Retail industry (-15.4%).


Return on Equity

High ROE: LQDT has a negative Return on Equity (-12.45%), as it is currently unprofitable.


Return on Assets

ROA vs Industry: LQDT is currently unprofitable, so its Return on Assets is negative.


Return on Capital Employed

ROCE Improving: LQDT is currently unprofitable, so its Return on Capital Employed is negative.


Next Steps

Financial Health

How is Liquidity Services's financial position?


Financial Position Analysis

Short Term Liabilities: LQDT's short term assets ($90.8M) exceeds its short term liabilities ($67.5M)

Long Term Liabilities: LQDT's short term assets (90.8M) exceeds its long term liabilities (2.0M)


Debt to Equity History and Analysis

Debt Level: LQDT is debt free.

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


Balance Sheet

Inventory Level: LQDT has a low level of unsold assets or inventory.

Debt Coverage by Assets: Insufficient data to determine if LQDT's debt is covered by short term assets.


Cash Runway Analysis

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

Stable Cash Runway: LQDT has sufficient cash runway for more than 3 years based on its current free cash flow.

Forecast Cash Runway: LQDT has sufficient cash runway for more than 3 years if free cash flow continues to reduce at historical rates of -81.6% each year


Next Steps

Dividend

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


Dividend Yield vs Market

companyn/amarketbottom25%1.4%markettop25%3.7%industryaverage1.0%forecastin3Yearsn/a

Current dividend yield vs market & industry


Stability and Growth of Payments

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

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

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

What is the CEO of Liquidity Services's salary, the management and board of directors tenure and is there insider trading?

2.3yrs

Average management tenure


CEO

Bill Angrick (51yo)

19.8yrs

Tenure

US$1,222,159

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 ($USD1.22M) is about average for companies of similar size in the US market ($USD1.22M).

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


Management Age and Tenure

2.3yrs

Average Tenure

52yo

Average Age

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


Board Age and Tenure

9.4yrs

Average Tenure

58yo

Average Age

Experienced Board: LQDT's board of directors are considered experienced (9.4 years average tenure).


Insider Trading

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


Recent Insider Transactions

SellUS$59,14526 Aug 19
Samuel Guzman
EntityIndividual
Role
Chief Accounting Officer
VP & Chief Accounting Officer
Shares8,226
Max PriceUS$7.19
SellUS$34,02512 Apr 19
James Rallo
EntityIndividual
Shares4,908
Max PriceUS$6.99
SellUS$70,45514 Feb 19
George Ellis
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares10,500
Max PriceUS$6.71
SellUS$75,09211 Jan 19
James Rallo
EntityIndividual
Shares9,816
Max PriceUS$7.65
SellUS$25,03104 Jan 19
James Rallo
EntityIndividual
Shares4,090
Max PriceUS$6.12
SellUS$33,44710 Dec 18
James Rallo
EntityIndividual
Shares4,785
Max PriceUS$6.99

Ownership Breakdown


Management Team

  • Bill Angrick (51yo)

    Co-founder

    • Tenure: 19.8yrs
    • Compensation: US$1.22m
  • Jorge Celaya (53yo)

    Executive VP & CFO

    • Tenure: 4.2yrs
    • Compensation: US$694.76k
  • Mike Lutz

    Vice President of Human Resources

    • Tenure: 7.8yrs
  • Julie Davis

    Senior Director of Investor Relations

    • Tenure: 0yrs
  • Steve Weiskircher

    Chief Technology Officer - Bethesda

    • Tenure: 0.2yrs
  • Roger Gravley (61yo)

    Senior Advisor

    • Tenure: 0.4yrs
    • Compensation: US$722.10k
  • Mark Shaffer (45yo)

    VP, General Counsel & Corporate Secretary

    • Tenure: 3.3yrs
    • Compensation: US$469.37k
  • Sam Guzman (44yo)

    VP & Chief Accounting Officer

    • Tenure: 1.3yrs
  • JD Daunt (53yo)

    Executive VP & Chief Commercial Officer

    • Tenure: 0.5yrs
  • Nicholas Rozdilsky

    Vice President of Marketing

    • Tenure: 0yrs

Board Members

  • Pat Gross (74yo)

    Lead Director

    • Tenure: 6.2yrs
    • Compensation: US$147.50k
  • Beatriz Infante (65yo)

    Independent Director

    • Tenure: 5.4yrs
    • Compensation: US$153.50k
  • Phil Clough (57yo)

    Independent Director

    • Tenure: 15.1yrs
    • Compensation: US$147.50k
  • George Ellis (70yo)

    Independent Director

    • Tenure: 9.4yrs
    • Compensation: US$155.00k
  • Bill Angrick (51yo)

    Co-founder

    • Tenure: 19.8yrs
    • Compensation: US$1.22m
  • Jaime Mateus-Tique (52yo)

    Director

    • Tenure: 19.5yrs
    • Compensation: US$140.00k
  • Ed Kolodzieski (58yo)

    Director

    • Tenure: 3.9yrs
    • Compensation: US$146.00k

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$216.881m
  • Shares outstanding: 33.65m
  • Website: https://www.liquidityservices.com

Number of Employees


Location

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

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
LQDTNasdaqGS (Nasdaq Global Select)YesCommon StockUSUSDFeb 2006
L1SDB (Deutsche Boerse AG)YesCommon StockDEEURFeb 2006

Biography

Liquidity Services, Inc. provides e-commerce marketplace that enable buyers and sellers to transact in an automated environment offering approximately 500 product categories. The company’s marketplaces inc ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/22 23:53
End of Day Share Price2019/10/22 00:00
Earnings2019/06/30
Annual Earnings2018/09/30


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.