Lions Gate Entertainment Stock Analysis, Valuation (NYSE:LGF.A)

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$24.98 $1.11 (4.65%) LGF.A stock closing price Jul 19, 2018 (Closing)

Watch the robo advisor video of Lions Gate Entertainment stock analysis on Amigobulls. This is our analyst opinion covering the buy and sell arguments for LGF.A stock.

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.

Lions Gate Entertainment Corp. (USA) Stock Rating 2.6/5

Amigobulls LGF.A stock analysis uses latest quarter 2018 Q4 financial data like Lions Gate Entertainment revenue growth, profit margins and cash flows. We also use relative valuation metrics like PE ratio and price to sales ratio for Lions Gate Entertainment valuation analysis. Based on a company's historical fundamentals we arrive at Lions Gate Entertainment stock rating which is indicative of the company's financial performance.

Should you buy LGF.A stock?

  • When compared with the Consumer Discretionary sector average PS ratio of 1.6, the price-to-sales ratio of 1.3 for LGF.A stock is attractive.
  • The LTM ROE of 16.5 for Lions Gate Entertainment is attractive.

Should you sell LGF.A stock?

  • Lions Gate Entertainment's TTM operating margin of 6.02 was rather poor.
  • With a debt/equity ratio of 0.97, Lions Gate Entertainment is highly leveraged in comparison to Consumer Discretionary peers.
  • The company has an operating cash flow which is 0.1873 times the net income. This is not a healthy sign.
  • Lions Gate Entertainment has a poor return on invested capital of 2.3.

Comments on this video and Lions Gate Entertainment stock

Investors can use Amigobulls Lions Gate Entertainment stock analysis as a tool to arrive at accurate conclusions regarding financial health of the company and its valuation. Company's fundamentals remain one of the key driver of LGF.A stock and helps investors in making good buy and sell decision.

Among the financials of the company, Lions Gate Entertainment revenue growth along with the profit or net income give a clear picture of the financial health. Investors could make use of LGF.A technical analysis to check whether the fundamental story is reflected in the market sentiment.