LHC Stock Analysis, Valuation (NASDAQ:LHCG)
LHC Stock Analysis
View LHC stock analysis video. This is our analyst opinion covering the buy and sell arguments for LHCG stock.
LHC Group, Inc. Stock Rating 3.6/5
Our LHC stock opinion is based on fundamentals of the company. This LHC stock analysis is based on latest 2017 Q2 earnings. The stock price analysis takes into account the company's valuation metrics.
Should you buy LHCG stock?
- The TTM operating margin was good at 8.2% for LHC.
- Net margins came in at average 4.1% for LHC over the last twelve months.
- LHC has a lower debt burden than its peers in the Medical sector, with a debt/equity ratio of 0.19.
- LHCG stock is trading at a favorable price to sales multiple of 1.2 as against the Medical-Outpatient-Home care industry average multiple of 5.3.
- LHC has an attractive ROIC (Return on Invested Capital) of 10.5%
- LHC has a good Return On Equity (ROE) of 9.9%.
Should you sell LHCG stock?
- Cash flow from operations is 0.7 times net income which is a negative signal.