Analyzing LCI Industries (LCII) & The Competition

LCI Industries (NYSE:LCII – Get Free Report) is one of 148 publicly-traded companies in the “Automobile Components” industry, but how does it compare to its rivals? We will compare LCI Industries to similar businesses based on the strength of its profitability, institutional ownership, earnings, dividends, valuation, risk and analyst recommendations.

Institutional and Insider Ownership

99.7% of LCI Industries shares are held by institutional investors. Comparatively, 48.4% of shares of all “Automobile Components” companies are held by institutional investors. 3.3% of LCI Industries shares are held by company insiders. Comparatively, 19.6% of shares of all “Automobile Components” companies are held by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock is poised for long-term growth.

Analyst Ratings

This is a summary of recent ratings and price targets for LCI Industries and its rivals, as reported by MarketBeat.

LCI Industries currently has a consensus target price of $113.50, suggesting a potential upside of 16.07%. As a group, “Automobile Components” companies have a potential upside of 75.56%. Given LCI Industries’ rivals stronger consensus rating and higher probable upside, analysts clearly believe LCI Industries has less favorable growth aspects than its rivals.

Dividends

LCI Industries pays an annual dividend of $4.60 per share and has a dividend yield of 4.7%. LCI Industries pays out 53.5% of its earnings in the form of a dividend. As a group, “Automobile Components” companies pay a dividend yield of 10.8% and pay out 24.2% of their earnings in the form of a dividend. LCI Industries has increased its dividend for 8 consecutive years. LCI Industries lags its rivals as a dividend stock, given its lower dividend yield and higher payout ratio.

Risk & Volatility

LCI Industries has a beta of 1.19, meaning that its share price is 19% more volatile than the S&P 500. Comparatively, LCI Industries’ rivals have a beta of 3.88, meaning that their average share price is 288% more volatile than the S&P 500.

Earnings and Valuation

This table compares LCI Industries and its rivals gross revenue, earnings per share (EPS) and valuation.

LCI Industries’ rivals have higher revenue, but lower earnings than LCI Industries. LCI Industries is trading at a higher price-to-earnings ratio than its rivals, indicating that it is currently more expensive than other companies in its industry.

Profitability

This table compares LCI Industries and its rivals’ net margins, return on equity and return on assets.

Summary

LCI Industries rivals beat LCI Industries on 9 of the 15 factors compared.

LCI Industries Company Profile

(Get Free Report)

LCI Industries, together with its subsidiaries, manufactures and supplies engineered components for the manufacturers of recreational vehicles (RVs) and adjacent industries in the United States and internationally. It operates through two segments: Original Equipment Manufacturers (OEM) and Aftermarket. The OEM segment manufactures and distributes a range of engineered components, such as steel chassis and related components; axles, ABS, and suspension solutions; slide-out mechanisms and solutions; thermoformed bath, kitchen, and other products; vinyl, aluminum, and frameless windows; manual, electric, and hydraulic stabilizer and leveling systems; entry, luggage, patio, and ramp doors; furniture and mattresses; electric and manual entry steps; awnings and awning accessories; electronic components; appliances; air conditioners; televisions and sound systems; tankless water heaters; towing products; truck accessories; and other accessories. This segment serves OEMs of RVs and adjacent industries, including buses; trailers used to haul boats, livestock, equipment, and other cargo; trucks; boats; trains; manufactured homes; and modular housing. The Aftermarket segment supplies engineered components to aftermarket channels of the recreation and transportation markets for retail dealers, wholesale distributors, and service centers, as well as direct to retail customers through the Internet. This segment also sells replacement glass and awnings to fulfill insurance claims; and biminis, covers, buoys, fenders to the marine industry, towing products, truck accessories, appliances, air conditioners, televisions, sound systems, and tankless water heaters. The company was formerly known as Drew Industries Incorporated and changed its name to LCI Industries in December 2016. LCI Industries was founded in 1956 and is based in Elkhart, Indiana.