LENSAR Inc Fundamental Analysis (NASDAQ: LNSR)
LENSAR Inc (NASDAQ: LNSR) shows strong financial fundamentals with a PE ratio of 6.77, profit margin of 57.57%, and ROE of 103.80%. The company generates $0.1B in annual revenue with moderate year-over-year growth of 9.24%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 71.7/100 based on profitability, valuation, growth, and balance sheet metrics. The B grade reflects solid fundamentals with room for improvement in valuation or growth.
Fundamental Health Score
We analyze LNSR's fundamental strength across five key dimensions:
Efficiency Score
ExcellentLNSR demonstrates superior asset utilization.
Valuation Score
ExcellentLNSR trades at attractive valuation levels.
Growth Score
ModerateLNSR shows steady but slowing expansion.
Financial Health Score
ExcellentLNSR maintains a strong and stable balance sheet.
Profitability Score
ModerateLNSR maintains healthy but balanced margins.
Key Financial Metrics
Is LNSR Expensive or Cheap?
P/E Ratio
LNSR trades at 6.77 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, LNSR's PEG of 0.02 indicates potential undervaluation.
Price to Book
The market values LENSAR Inc at 7.10 times its book value. This suggests the stock is fully valued or overvalued on an asset basis.
EV/EBITDA
Enterprise value stands at 3.28 times EBITDA. This is generally considered low.
How Well Does LNSR Make Money?
Net Profit Margin
For every $100 in sales, LENSAR Inc keeps $57.57 as profit after all expenses.
Operating Margin
Core operations generate -13.48 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $103.80 in profit for every $100 of shareholder equity.
ROA
LENSAR Inc generates $49.88 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
LENSAR Inc generates limited operating cash flow of $-7.28M, signaling weaker underlying cash strength.
Free Cash Flow
LENSAR Inc generates weak or negative free cash flow of $-7.32M, restricting financial flexibility.
FCF Per Share
Each share generates $-0.60 in free cash annually.
FCF Yield
LNSR converts -6.89% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
6.77
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
0.02
vs 25 benchmark
P/B Ratio
Price to book value ratio
7.10
vs 25 benchmark
P/S Ratio
Price to sales ratio
1.75
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.16
vs 25 benchmark
Current Ratio
Current assets to current liabilities
2.39
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
103.80
vs 25 benchmark
ROA
Return on assets percentage
0.50
vs 25 benchmark
ROCE
Return on capital employed
-0.16
vs 25 benchmark
How LNSR Stacks Against Its Sector Peers
| Metric | LNSR Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 6.77 | 30.97 | Better (Cheaper) |
| ROE | 10380.25% | 515.00% | Excellent |
| Net Margin | 57.57% | 30203.00% | Weak |
| Debt/Equity | 0.16 | 0.53 | Strong (Low Leverage) |
| Current Ratio | 2.39 | 5.71 | Strong Liquidity |
| ROA | 49.88% | -15.00% (disorted) | Strong |
LNSR outperforms its industry in 5 out of 6 key metrics, particularly excelling in ROE, but lagging in Net Margin.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews LENSAR Inc's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
102.51%
Industry Style: Defensive, Growth, Innovation
High GrowthEPS CAGR
-58.50%
Industry Style: Defensive, Growth, Innovation
DecliningFCF CAGR
1.68%
Industry Style: Defensive, Growth, Innovation
Growing