Liquidity Services Stock Analysis, Valuation (NASDAQ:LQDT)

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$6.2 $0.15 (2.48%) LQDT stock closing price Sep 20, 2018 (Closing)

Watch the robo advisor video of Liquidity Services stock analysis on Amigobulls. This is our analyst opinion covering the buy and sell arguments for LQDT 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.

Liquidity Services, Inc. Stock Rating 1.1/5

We at Amigobulls use various financial measures including profit margins, revenue growth and dividends for LQDT stock analysis. We compare Liquidity Services valuation with its sector peers to gauge relative attractiveness of LQDT stock. Liquidity Services stock rating encapsulates our opinion about the company based on the fundamentals.

Should you buy LQDT stock?

  • The lower PS ratio 1.1 for LQDT stock versus Business Services sector average of 1.6 is a positive for the company.

Should you sell LQDT stock?

  • Liquidity Services sales shrank by -40.4% year-over-year in 2018-03.
  • The company saw an average annual sales decline of -13.5 in sales over the last 5 years.
  • Over the last twelve months, Liquidity Services posted an average operating loss margin of -15.3.
  • Liquidity Services registered an average TTM Net loss of -12.7%.
  • The lack of profits renders the PE ratio useless for LQDT stock.
  • -91.3's negative ROIC of -91.3 indicates operational inefficiency.
  • Liquidity Services has a negative return on equity of -21.4. This indicates that the firm is inefficient at generating profits.

Comments on this video and Liquidity Services stock

Amigobulls Liquidity Services stock analysis helps in evaluating the financial statements of a company to arrive at a conclusion about the fair value of LQDT stock. Fundamental analysis of a company is the most often used approach to find the intrinsic value of a stock.

Liquidity Services revenue growth and profit or net income are the main underlying forces which could detremine the direction of the share price. Technical analysis comes in handy to check whether the market sentiment is in line with the fundamental picture of the company.