L Brands Stock Analysis, Valuation (NYSE:LB)

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$29.57 $1.13 (3.97%) LB stock closing price Sep 18, 2018 (Closing)

Watch the robo advisor video of L Brands stock analysis on Amigobulls. Our LB analysis video highlights revenue and profit trends along with other important metrics such as valuation to find what makes the stock attractive.

Note: Amigobulls stock rating is our opinion based on the historical performance of the company's fundamentals. It is not indicative of the future performance of the stock.

L Brands Inc Stock Rating 3.4/5

Amigobulls LB stock analysis relies on business fundamentals such as L Brands revenue growth, profits and return on equity measures from the latest quarter 2019 Q2 earnings. L Brands valuation analysis is based on relative valuation multiples like PE ratio and price to sales ratio. L Brands stock rating encapsulates our opinion about the company based on the fundamentals.

Should you buy LB stock?

  • L Brands sales grew by 7.8% year on year in 2018-04.
  • L Brands had a healthy average operating margin of 13.06 over the last 4 quarters.
  • Net margins came in at average 7.3% for L Brands over the last twelve months.
  • LB stock is trading at an earnings multiple of 10.5 which is better than the sector average of 21.1.
  • L Brands's dividend yield of 9.34 is attractive.
  • L Brands has an attractive ROIC (Return on Invested Capital) of 27.9

Should you sell LB stock?

  • The company has negative cash flow from operations.
  • L Brands has a negative FCF (Free Cash Flow) margin of -9.1.

Comments on this video and L Brands stock

Amigobulls L Brands stock analysis helps in evaluating the financial statements of a company to arrive at a conclusion about the fair value of LB stock. The fundamentals of a company are vital to identify long-term investment opportunities.

L Brands revenue growth and profit or net income are the main underlying forces which could detremine the direction of the share price. Investors could make use of LB technical analysis to check whether the fundamental story is reflected in the market sentiment.