NYSE:LEAF

Stock Analysis Report

Executive Summary

Leaf Group Ltd., together with its subsidiaries, operates as a diversified consumer Internet company worldwide.

Snowflake

Fundamentals

Adequate balance sheet and fair value.

Risks

  • Leaf Group has significant price volatility in the past 3 months.

Similar Companies

Share Price & News

How has Leaf Group's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

-7.5%

NYSE:LEAF

0.9%

US Online Retail

2.1%

US Market


1 Year Return

-59.5%

NYSE:LEAF

-2.8%

US Online Retail

-0.04%

US Market

LEAF underperformed the Online Retail industry which returned -1.4% over the past year.

LEAF underperformed the Market in United States of America which returned 0.2% over the past year.


Share holder returns

LEAFIndustryMarket
7 Day-7.5%0.9%2.1%
30 Day-33.3%-6.8%-3.2%
90 Day-39.9%3.8%2.8%
1 Year-59.5%-59.5%-2.8%-2.8%2.2%-0.04%
3 Year-22.6%-22.6%92.6%92.4%41.5%32.3%
5 Year-50.6%-50.6%214.5%192.1%55.0%37.8%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Leaf Group undervalued based on future cash flows and its price relative to the stock market?

>50%

Discount to future cash flow value


Intrinsic Value Based on Future Cash Flows

Leaf Group's share price is below the future cash flow value, and at a moderate discount (> 20%).

Leaf Group's share price is below the future cash flow value, and at a substantial discount (> 40%).


Price Based on Earnings

Leaf Group is loss making, we can't compare its value to the US Online Retail industry average.

Leaf Group is loss making, we can't compare the value of its earnings to the United States of America market.


Price Based on Expected Growth

Unable to calculate PEG ratio for Leaf Group, we can't assess if its growth is good value.


Price Based on Value of Assets

Leaf Group is good value based on assets compared to the US Online Retail industry average.


Next Steps

Future Growth

How is Leaf Group expected to perform in the next 1 to 3 years based on estimates from 3 analysts?

29.2%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Leaf Group's revenue is expected to grow by 7.1% yearly, however this is not considered high growth (20% yearly).

Leaf Group is not considered high growth as it is expected to be loss making for the next 1-3 years.

Leaf Group's revenue growth is positive but not above the United States of America market average.

Unable to compare Leaf Group's earnings growth to the United States of America market average as it is expected to be loss making during the next 1-3 years.

Unable to compare Leaf Group's earnings growth to the low risk savings rate as it is expected to be loss making during the next 1-3 years.


Earnings per Share Growth Estimates


Future Return on Equity

Unable to establish if Leaf Group will efficiently use shareholders’ funds in the future without estimates of Return on Equity.


Next Steps

Past Performance

How has Leaf Group performed over the past 5 years?

52.9%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Leaf Group does not make a profit even though their year on year earnings growth rate was positive over the past 5 years.

Unable to compare Leaf Group's 1-year earnings growth to the 5-year average as it is not currently profitable.

Unable to compare Leaf Group's 1-year growth to the US Online Retail industry average as it is not currently profitable.


Return on Equity

It is difficult to establish if Leaf Group has efficiently used shareholders’ funds last year (Return on Equity greater than 20%) as it is loss-making.


Return on Assets

It is difficult to establish if Leaf Group has efficiently used its assets last year compared to the US Online Retail industry average (Return on Assets) as it is loss-making.


Return on Capital Employed

It is difficult to establish if Leaf Group improved its use of capital last year versus 3 years ago (Return on Capital Employed) as it is currently loss-making.


Next Steps

Financial Health

How is Leaf Group's financial position?


Financial Position Analysis

Leaf Group is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.

Leaf Group's cash and other short term assets cover its long term commitments.


Debt to Equity History and Analysis

Leaf Group's level of debt (0%) compared to net worth is satisfactory (less than 40%).

The level of debt compared to net worth has been reduced over the past 5 years (15.3% vs 0% today).


Balance Sheet

High level of physical assets or inventory.

Debt is covered by short term assets, assets are 1.4242070871605E+16x debt.


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.

Leaf Group has less than a year of cash runway based on current free cash flow.

Leaf Group has less than a year of cash runway if free cash flow continues to reduce at historical rates of -12.8% each year.


Next Steps

Dividend

What is Leaf Group's current dividend yield, its reliability and sustainability?


Dividend Yield and Payments Analysis

Unable to evaluate Leaf Group's dividend yield against the bottom 25% of dividend payers as the company has not reported any payouts.

Unable to evaluate Leaf Group's dividend against the top 25% market benchmark as the company has not reported any payouts.

Unable to perform a dividend volatility check as Leaf Group has not reported any payouts.

Unable to verify if Leaf Group's dividend has been increasing as the company has not reported any payouts.


Current Payout to Shareholders

Unable to calculate sustainability of dividends as Leaf Group has not reported any payouts.


Future Payout to Shareholders

Insufficient estimate data to determine if a dividend will be paid in 3 years and that it will be sustainable.


Next Steps

Management

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

2.8yrs

Average management tenure


CEO

Sean Moriarty (49yo)

5.0yrs

Tenure

US$2,268,486

Compensation

Mr. Sean P. Moriarty has been Chief Executive Officer of Leaf Group Ltd. (formerly, Demand Media, Inc.) since August 11, 2014. Mr. Moriarty serves as an Advisor of TreatFeed, Inc. Mr. Moriarty has experien ...


CEO Compensation Analysis

Sean's remuneration is higher than average for companies of similar size in United States of America.

Sean's compensation has been consistent with company performance over the past year, both up more than 20%.


Management Age and Tenure

2.8yrs

Average Tenure

51.5yo

Average Age

The tenure for the Leaf Group management team is about average.


Board Age and Tenure

3.1yrs

Average Tenure

52.5yo

Average Age

The tenure for the Leaf Group board of directors is about average.


Insider Trading

No 3 month open market individual insider trading information.


Recent Insider Transactions

BuyUS$79,44107 Mar 19
James Quandt
EntityIndividual
Role
Chairman of the Board
Non-Executive Chairman of the Board
Shares10,000
Max PriceUS$7.94
SellUS$488,21404 Feb 19
Osmium Partners, LLC
EntityCompany
Shares66,965
Max PriceUS$8.01

Ownership Breakdown


Management Team

  • Adam Wergeles (54yo)

    Executive VP & General Counsel

    • Tenure: 1.3yrs
    • Compensation: US$1.17m
  • Sean Moriarty (49yo)

    CEO & Director

    • Tenure: 5.0yrs
    • Compensation: US$2.27m
  • Shawn Milne

    IR Contact

    • Tenure: 0.0yrs
  • Brinlea Johnson

    Investor Relations Contact

    • Tenure: 5.6yrs
  • Brian Pike (55yo)

    COO & Chief Technology Officer

    • Tenure: 4.3yrs
    • Compensation: US$1.02m
  • Jantoon Reigersman (37yo)

    Chief Financial Officer

    • Tenure: 1.7yrs
    • Compensation: US$1.86m
  • Jill Angel

    Executive Vice President of People

    • Tenure: 3.4yrs
  • Jay Ku

    Senior Vice President of Advertising & Brand Solutions

    • Tenure: 2.3yrs
  • Sharna Daduk

    Vice President of Communications

    • Tenure: 0.0yrs
  • Brian Gephart

    Chief Accounting Officer

    • Tenure: 0.2yrs

Board Members

  • John Hawkins (58yo)

    Director

    • Tenure: 13.6yrs
    • Compensation: US$13.75k
  • John Pleasants (53yo)

    Director

    • Tenure: 2.8yrs
    • Compensation: US$132.47k
  • Mitch Stern (64yo)

    Director

    • Tenure: 3.5yrs
    • Compensation: US$156.53k
  • James Quandt (69yo)

    Non-Executive Chairman of the Board

    • Tenure: 5.8yrs
    • Compensation: US$287.47k
  • Beverly Carmichael (60yo)

    Director

    • Tenure: 1.1yrs
    • Compensation: US$171.75k
  • Lanny Baker (52yo)

    Director

    • Tenure: 0.3yrs
  • Sean Moriarty (49yo)

    CEO & Director

    • Tenure: 5.0yrs
    • Compensation: US$2.27m
  • Brian Regan (47yo)

    Director

    • Tenure: 4.5yrs
    • Compensation: US$18.75k
  • Jennifer Schulz (47yo)

    Director

    • Tenure: 2.8yrs
    • Compensation: US$140.91k
  • Deborah Benton (51yo)

    Director

    • Tenure: 0.6yrs

Company Information

Leaf Group Ltd.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Leaf Group Ltd.
  • Ticker: LEAF
  • Exchange: NYSE
  • Founded: 2006
  • Industry: Internet and Direct Marketing Retail
  • Sector: Retail
  • Market Cap: US$115.751m
  • Shares outstanding: 26.07m
  • Website: https://www.leafgroup.com

Number of Employees


Location

  • Leaf Group Ltd.
  • 1655 26th Street
  • Santa Monica
  • California
  • 90404
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
LEAFNYSE (New York Stock Exchange)YesCommon StockUSUSDJan 2011
DJM1DB (Deutsche Boerse AG)YesCommon StockDEEURJan 2011

Biography

Leaf Group Ltd., together with its subsidiaries, operates as a diversified consumer Internet company worldwide. It operates in two segments, Marketplaces and Media. The Marketplaces segment offers Society6 ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/08/23 00:15
End of Day Share Price2019/08/22 00:00
Earnings2019/06/30
Annual Earnings2018/12/31


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.