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]

Company name Knight-Swift Transportation Holdings Inc
Stock ticker KNX
Live stock price [stckqut]KNX[/stckqut]
P/E compared to competitors Good

MANAGEMENT EXECUTION

Employee productivity Poor
Sales growth Good
EPS growth Good
P/E growth Good
EBIT growth Good

ANALYSIS

Confident Investor Rating Good
Target stock price (TWCA growth scenario) $59.19
Target stock price (averages with growth) $87.14
Target stock price (averages with no growth) $59.19
Target stock price (manual assumptions) $56.24

The following company description is from Reuters: https://www.reuters.com/finance/stocks/company-profile/knx

Knight-Swift Transportation Holdings Inc. is a publicly traded, American, truckload motor shipping carrier based in Phoenix, Arizona. Knight began transporting general commodities from Phoenix, Arizona, to Los Angeles, California. Starting with just a handful of trucks and one service center in Phoenix, Arizona, the company now runs a fleet of over 4,000 tractors and more than 8,700 trailers (dry, refrigerated, and brokerage). Revenues have grown from over 13 million in 1991 to over $866 million in 2011, with operating ratios at or near 80% year after year. They have grown from a few associates to more than 4,000, and from a family-owned business to a publicly held company trading on the New York Stock Exchange (KNX) in 1994.

Knight engages in the transportation of general commodities in the United States. It provides asset-based dry van truckload and temperature controlled truckload carrier services primarily to short to medium lengths of haul. The company also offers non-asset-based brokerage services. As of September 24, 2007, the company operates 27 regional dry van service centers, 6 regional temperature controlled service centers, 12 brokerage service centers, and 13 truck and trailer sales locations.

 

Confident Investor comments: At this price and at this time, I think that a Confident Investor can confidently invest in Knight-Swift Transportation Holdings Inc as long as the indicators that I describe in my book The Confident Investor are favorable. I am adding Knight Swift to my Watch List.

If you would like to understand how to evaluate companies like I do on this site, please read my book, The Confident Investor. You can review the best companies that I have found (and I probably invest my own money in most of these companies) in my Watch List.

How was this analysis of Knight-Swift Transportation Holdings Inc calculated?

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.
[s2If current_user_can(access_s2member_level1)]

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: $38.29
  • Growth: 0.2
  • Current EPS (TTM): $4.55
  • P/E: 8
  • Future EPS Calc: $11.32
  • Future Stock Price Calc: $90.57
  • Target stock price: $56.23

[/s2If]
I hope that this makes you a Confident Investor.

While you are enjoying the beginning of summer with a 3-day weekend. Please do not forget why you are not working today.

Remember those who served. All gave some and some gave all they had.