| Company name | LSB Industries, Inc. |
| Stock ticker | LXU |
| Live stock price | [stckqut]LXU[/stckqut] |
| P/E compared to competitors | Fair |
MANAGEMENT EXECUTION
| Employee productivity | Poor |
| Sales growth | Poor |
| EPS growth | Good |
| P/E growth | Good |
| EBIT growth | Good |
ANALYSIS
| Confident Investor Rating | Fair |
| Target stock price (TWCA growth scenario) | $57.04 |
| Target stock price (averages with growth) | $98.07 |
| Target stock price (averages with no growth) | $112.92 |
| Target stock price (manual assumptions) | $46.28 |
The following company description is from Google Finance: http://www.google.com/finance?q=lxu
LSB Industries, Inc. is a diversified holding company involved in manufacturing and marketing operations through its subsidiaries. The Company together with its wholly owned subsidiaries owns Chemical Business and Climate Control Business. Chemical Business manufactures and sells nitrogen-based chemical products produced from four facilities located in El Dorado, Arkansas; Cherokee, Alabama; Pryor, Oklahoma, and Baytown, Texas for the agricultural, industrial, and mining markets. Climate Control Business manufactures and sells a range of heating, ventilation and air conditioning (HVAC) products in the niche markets the Company serves consisting of geothermal and water source heat pumps, hydronic fan coils, large custom air handlers, modular geothermal and other chillers and other related products used to control the environment in commercial/institutional and residential new building construction, renovation of existing buildings and replacement of existing systems.
Confident Investor comments: At this time, I think that a Confident Investor can cautiously invest in LSB Industries, Inc. as long as the price is correct. Most of the fundamentals of this company are good but there are some concerns.
If you would like to understand how to evaluate companies like I do on this site, please read my book, The Confident Investor.
For owners of my book, “The Confident Investor” I offer the following analysis (you must be logged in to this site as a book owner in order to see the following analysis). If you have registered and cannot see the balance of this article, make sure you are logged in and refresh your browser.
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In order to assist you in using the techniques of this book, the values that I used when calculating the Manual pricing above were:
Stock price at the time of the calculation: $36.86
Growth: 0.15
Current EPS (TTM): $1.09
P/E: 34
Future EPS Calc: $2.19
Future Stock Price Calc: $74.54
Target stock price: $46.28
I hope that this makes you a better investor. [/s2If]