NasdaqGS:LPSN

Stock Analysis Report

Executive Summary

LivePerson, Inc. provides conversational commerce solutions.

Snowflake

Fundamentals

Adequate balance sheet with concerning outlook.

Risks

  • LivePerson has significant price volatility in the past 3 months.

Similar Companies

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

3.6%

NasdaqGS:LPSN

-2.6%

US Software

-0.7%

US Market


1 Year Return

55.2%

NasdaqGS:LPSN

18.3%

US Software

-0.5%

US Market

LPSN outperformed the Software industry which returned 18.3% over the past year.

LPSN outperformed the Market in United States of America which returned -0.5% over the past year.


Share holder returns

LPSNIndustryMarket
7 Day3.6%-2.6%-0.7%
30 Day20.4%-3.6%-3.0%
90 Day34.2%2.0%0.9%
1 Year55.2%55.2%20.0%18.3%1.7%-0.5%
3 Year417.0%417.0%115.5%107.0%39.5%30.4%
5 Year207.3%207.3%161.0%142.1%54.1%37.0%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

13.69x

Price to Book (PB) ratio


Intrinsic Value Based on Future Cash Flows

LivePerson's share price is above the future cash flow value, it's not available at a moderate discount (< 20%).

LivePerson's share price is above the future cash flow value, it's not available at a substantial discount (< 40%).


Price Based on Earnings

LivePerson is loss making, we can't compare its value to the US Software industry average.

LivePerson 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 LivePerson, we can't assess if its growth is good value.


Price Based on Value of Assets

LivePerson is overvalued based on assets compared to the US Software industry average.


Next Steps

Future Growth

How is LivePerson expected to perform in the next 1 to 3 years based on estimates from 13 analysts?

24.8%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

LivePerson's revenue is expected to grow by 18.3% yearly, however this is not considered high growth (20% yearly).

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

LivePerson's revenue growth is expected to exceed the United States of America market average.

Unable to compare LivePerson'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 LivePerson'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 LivePerson will efficiently use shareholders’ funds in the future without estimates of Return on Equity.


Next Steps

Past Performance

How has LivePerson performed over the past 5 years?

-25.6%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

LivePerson does not make a profit and their year on year earnings growth rate was negative over the past 5 years.

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

Unable to compare LivePerson's 1-year growth to the US Software industry average as it is not currently profitable.


Return on Equity

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


Return on Capital Employed

It is difficult to establish if LivePerson 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 LivePerson's financial position?


Financial Position Analysis

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

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


Debt to Equity History and Analysis

LivePerson's level of debt (98%) compared to net worth is high (greater than 40%).

Unable to establish if LivePerson's debt level has increased without past 5-year debt data.


Balance Sheet

Low level of unsold assets.

Debt is covered by short term assets, assets are 1.8x 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.

LivePerson has sufficient cash runway for more than 3 years based on current free cash flow.

LivePerson has sufficient cash runway for 2.2 years if free cash flow continues to grow at historical rates of 125.2% each year.


Next Steps

Dividend

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


Dividend Yield and Payments Analysis

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

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

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

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


Current Payout to Shareholders

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


Future Payout to Shareholders

No need to calculate the sustainability of LivePerson's dividends in 3 years as they are not expected to pay a notable one for United States of America.


Next Steps

Management

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

1.5yrs

Average management tenure


CEO

Rob LoCascio (50yo)

23.8yrs

Tenure

US$2,951,204

Compensation

Mr. Robert P. LoCascio, also known as Rob, has been the Chairman and Chief Executive Officer of LivePerson, Inc. since its inception in November 1995. Mr. LoCascio Founded LivePerson, Inc. in 1995 and serv ...


CEO Compensation Analysis

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

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


Management Age and Tenure

1.5yrs

Average Tenure

48yo

Average Age

The average tenure for the LivePerson management team is less than 2 years, this suggests a new team.


Board Age and Tenure

11.9yrs

Average Tenure

57yo

Average Age

The average tenure for the LivePerson board of directors is over 10 years, this suggests they are a seasoned and experienced board.


Insider Trading

LivePerson individual insiders have only sold shares in the past 3 months.


Recent Insider Transactions

SellUS$65,88931 Jul 19
Robert LoCascio
EntityIndividual
Role
Chief Executive Officer
Founder
Shares2,389
Max PriceUS$27.58
SellUS$3,48130 Jul 19
Daryl Carlough
EntityIndividual
Role
Senior Key Executive
Senior VP of Global & Corporate Controller
Shares106
Max PriceUS$32.84
SellUS$11,47330 Jul 19
Daryl Carlough
EntityIndividual
Role
Senior Key Executive
Senior VP of Global & Corporate Controller
Shares416
Max PriceUS$27.58
SellUS$113,93007 Jun 19
Daryl Carlough
EntityIndividual
Role
Senior Key Executive
Senior VP of Global & Corporate Controller
Shares4,113
Max PriceUS$27.70
SellUS$12,30630 Apr 19
Daryl Carlough
EntityIndividual
Role
Senior Key Executive
Senior VP of Global & Corporate Controller
Shares418
Max PriceUS$29.44
SellUS$41,04018 Apr 19
Monica Greenberg
EntityIndividual
Role
Chief Legal Officer
Executive VP of Corporate Development & Strategic Alliances
Shares1,424
Max PriceUS$28.82
SellUS$411,68418 Apr 19
Alexander Spinelli
EntityIndividual
Role
Chief Technology Officer
Chief Technology Officer
Shares15,080
Max PriceUS$27.30
SellUS$68,39018 Apr 19
Robert LoCascio
EntityIndividual
Role
Chief Executive Officer
Founder
Shares2,373
Max PriceUS$28.82
SellUS$12,19118 Apr 19
Daryl Carlough
EntityIndividual
Role
Senior Key Executive
Senior VP of Global & Corporate Controller
Shares423
Max PriceUS$28.82
SellUS$149,27918 Apr 19
Christopher Greiner
EntityIndividual
Role
Chief Financial Officer
Chief Financial Officer
Shares5,033
Max PriceUS$29.66
SellUS$827,63304 Jan 19
Robert LoCascio
EntityIndividual
Role
Chief Executive Officer
Founder
Shares45,837
Max PriceUS$18.06
SellUS$64,08221 Dec 18
Robert LoCascio
EntityIndividual
Role
Chief Executive Officer
Founder
Shares3,405
Max PriceUS$18.82
SellUS$38,46821 Dec 18
Monica Greenberg
EntityIndividual
Role
Chief Legal Officer
Executive VP of Corporate Development & Strategic Alliances
Shares2,044
Max PriceUS$18.82
SellUS$8,20621 Dec 18
Daryl Carlough
EntityIndividual
Role
Senior Key Executive
Senior VP of Global & Corporate Controller
Shares436
Max PriceUS$18.82
SellUS$156,75005 Nov 18
Eran Vanounou
EntityIndividual
Shares6,875
Max PriceUS$22.80
SellUS$38,92221 Sep 18
Monica Greenberg
EntityIndividual
Role
Chief Legal Officer
Executive VP of Corporate Development & Strategic Alliances
Shares1,466
Max PriceUS$26.55
SellUS$68,15421 Sep 18
Robert LoCascio
EntityIndividual
Role
Chief Executive Officer
Founder
Shares2,567
Max PriceUS$26.55

Ownership Breakdown


Management Team

  • Eswar Priyadarshan

    Senior Vice President of Enterprise Bot Solutions

    • Tenure: 1.5yrs
  • Rob LoCascio (50yo)

    Founder

    • Tenure: 23.8yrs
    • Compensation: US$2.95m
  • Monica Greenberg (50yo)

    Executive VP of Corporate Development & Strategic Alliances

    • Tenure: 12.8yrs
    • Compensation: US$1.53m
  • Alex Spinelli (46yo)

    Chief Technology Officer

    • Tenure: 1.4yrs
    • Compensation: US$4.49m
  • Matthew Kempler

    Vice President of Investor Relations

    • Tenure: 0.0yrs
  • Daryl Carlough (48yo)

    Senior VP of Global & Corporate Controller

    • Tenure: 5.9yrs
    • Compensation: US$923.43k
  • Chris Greiner (43yo)

    Chief Financial Officer

    • Tenure: 1.4yrs
    • Compensation: US$2.15m
  • Michael Montour

    Senior Vice President of North American Sales

    • Tenure: 3.9yrs
  • Jon Borgese

    Senior Vice President - Commercial Strategy & Marketing

    • Tenure: 0.6yrs
  • Loren Bunche

    Senior Vice President of People Group

    • Tenure: 0.6yrs

Board Members

  • Rob LoCascio (50yo)

    Founder

    • Tenure: 23.8yrs
    • Compensation: US$2.95m
  • Kevin Lavan (66yo)

    Independent Director

    • Tenure: 19.6yrs
    • Compensation: US$334.85k
  • Bill Wesemann (62yo)

    Independent Director

    • Tenure: 14.8yrs
    • Compensation: US$327.60k
  • Fred Mossler (52yo)

    Independent Director

    • Tenure: 2.3yrs
    • Compensation: US$314.85k
  • Jill Layfield (44yo)

    Independent Director

    • Tenure: 2.8yrs
    • Compensation: US$331.35k
  • Peter Block (79yo)

    Independent Director

    • Tenure: 9.1yrs
    • Compensation: US$314.85k

Company Information

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


Key Information

  • Name: LivePerson, Inc.
  • Ticker: LPSN
  • Exchange: NasdaqGS
  • Founded: 1995
  • Industry: Application Software
  • Sector: Software
  • Market Cap: US$2.433b
  • Shares outstanding: 62.82m
  • Website: https:// www.liveperson.com

Number of Employees


Location

  • LivePerson, Inc.
  • 475 Tenth Avenue
  • 5th Floor
  • New York
  • New York
  • 10018
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
LPSNNasdaqGS (Nasdaq Global Select)YesCommon StockUSUSDApr 2000
LVODB (Deutsche Boerse AG)YesCommon StockDEEURApr 2000
LPSNTASE (The Tel-Aviv Stock Exchange)YesCommon StockILILSApr 2000

Biography

LivePerson, Inc. provides conversational commerce solutions. The company operates in two segments, Business and Consumer. The Business segment enables brands to leverage LiveEngage’s intelligence engine to ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/08/19 23:38
End of Day Share Price2019/08/19 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.