Lightspeed Commerce Return On Equity vs. Shares Owned By Insiders

LSPD Stock  USD 16.80  0.30  1.75%   
Based on the measurements of profitability obtained from Lightspeed Commerce's financial statements, Lightspeed Commerce may not be well positioned to generate adequate gross income at the present time. It has a very high chance of underperforming in January. Profitability indicators assess Lightspeed Commerce's ability to earn profits and add value for shareholders.
 
Return On Equity  
First Reported
2010-12-31
Previous Quarter
(0.07)
Current Value
(0.07)
Quarterly Volatility
0.37616436
 
Credit Downgrade
 
Yuan Drop
 
Covid
At present, Lightspeed Commerce's Sales General And Administrative To Revenue is projected to slightly decrease based on the last few years of reporting. The current year's Days Of Sales Outstanding is expected to grow to 28.93, whereas EV To Sales is forecasted to decline to 1.55. At present, Lightspeed Commerce's Income Tax Expense is projected to decrease significantly based on the last few years of reporting. The current year's Net Interest Income is expected to grow to about 44.7 M, whereas Operating Income is forecasted to decline to (213.2 M).
Current ValueLast YearChange From Last Year 10 Year Trend
Gross Profit Margin0.640.4237
Way Up
Slightly volatile
For Lightspeed Commerce profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Lightspeed Commerce to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Lightspeed Commerce utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Lightspeed Commerce's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Lightspeed Commerce over time as well as its relative position and ranking within its peers.
  
Check out Correlation Analysis.
For information on how to trade Lightspeed Stock refer to our How to Trade Lightspeed Stock guide.
Is Systems Software space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Lightspeed Commerce. If investors know Lightspeed will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Lightspeed Commerce listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Earnings Share
(0.89)
Revenue Per Share
6.565
Quarterly Revenue Growth
0.204
Return On Assets
(0.03)
Return On Equity
(0.06)
The market value of Lightspeed Commerce is measured differently than its book value, which is the value of Lightspeed that is recorded on the company's balance sheet. Investors also form their own opinion of Lightspeed Commerce's value that differs from its market value or its book value, called intrinsic value, which is Lightspeed Commerce's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Lightspeed Commerce's market value can be influenced by many factors that don't directly affect Lightspeed Commerce's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Lightspeed Commerce's value and its price as these two are different measures arrived at by different means. Investors typically determine if Lightspeed Commerce is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Lightspeed Commerce's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.

Lightspeed Commerce Shares Owned By Insiders vs. Return On Equity Fundamental Analysis

Comparative valuation techniques use various fundamental indicators to help in determining Lightspeed Commerce's current stock value. Our valuation model uses many indicators to compare Lightspeed Commerce value to that of its competitors to determine the firm's financial worth.
Lightspeed Commerce is rated below average in return on equity category among its peers. It is rated below average in shares owned by insiders category among its peers . At present, Lightspeed Commerce's Return On Equity is projected to slightly decrease based on the last few years of reporting. Comparative valuation analysis is a catch-all technique that is used if you cannot value Lightspeed Commerce by discounting back its dividends or cash flows. It compares the stock's price multiples to nearest competition to determine if the stock is relatively undervalued or overvalued.

Lightspeed Shares Owned By Insiders vs. Return On Equity

Return on Equity or ROE tells company stockholders how effectually their money is being utilized or reinvested. It is a useful ratio when analyzing company profitability or the management effectiveness given the capital invested by the shareholders. ROE shows how efficiently a company utilizes investments to generate income.

Lightspeed Commerce

Return On Equity

 = 

Net Income

Total Equity

 = 
-0.0574
For most industries, Return on Equity between 10% and 30% are considered desirable to provide dividends to owners and have funds for the future growth of the company. Investors should be very careful using ROE as the only efficiency indicator because ROE can be high if a company is heavily leveraged.
Shares Owned by Insiders show the percentage of outstanding shares owned by insiders (such as principal officers or members of the board of directors) or private individuals and entities with over 5% of the total shares outstanding. Company executives or private individuals with access to insider information share information about a firm's operations that is not available to the general public.

Lightspeed Commerce

Insiders Shares

 = 

Executives Shares

+

Employees

 = 
9.91 %
Although the research on effects of insider trading on prices and volatility is still relatively inconclusive, and investors are advised to pay close attention to the distribution of equities among company's stakeholders to avoid many problems associated with the disclosure of price-sensitive information.

Lightspeed Shares Owned By Insiders Comparison

Lightspeed Commerce is currently under evaluation in shares owned by insiders category among its peers.

Lightspeed Commerce Profitability Projections

The most important aspect of a successful company is its ability to generate a profit. For investors in Lightspeed Commerce, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Lightspeed Commerce will eventually generate negative long term returns. The profitability progress is the general direction of Lightspeed Commerce's change in net profit over the period of time. It can combine multiple indicators of Lightspeed Commerce, where stable trends show no significant progress. An accelerating trend is seen as positive, while a decreasing one is unfavorable. A rising trend means that profits are rising, and operational efficiency may be rising as well. A decreasing trend is a sign of poor performance and may indicate upcoming losses.
Last ReportedProjected for Next Year
Accumulated Other Comprehensive Income-4 M-3.8 M
Operating Income-203 M-213.2 M
Income Before Tax-160.5 M-168.5 M
Total Other Income Expense Net42.5 M44.7 M
Net Loss-164 M-172.2 M
Income Tax Expense3.5 M3.6 M
Net Interest Income42.5 M44.7 M
Net Loss-164 M-172.2 M
Net Loss-259.6 M-246.6 M
Interest Income44 M46.2 M
Change To Netincome141.4 M80.6 M
Net Loss(1.07)(1.12)
Income Quality 0.60  0.63 
Net Income Per E B T 1.02  1.10 

Lightspeed Profitability Driver Comparison

Profitability drivers are factors that can directly affect your investment outlook on Lightspeed Commerce. Investors often realize that things won't turn out the way they predict. There are maybe way too many unforeseen events and contingencies during the holding period of Lightspeed Commerce position where the market behavior may be hard to predict, tax policy changes, gold or oil price hikes, calamities change, and many others. The question is, are you prepared for these unexpected events? Although some of these situations are obviously beyond your control, you can still follow the important profit indicators to know where you should focus on when things like this occur. Below are some of the Lightspeed Commerce's important profitability drivers and their relationship over time.

Use Lightspeed Commerce in pair-trading

One of the main advantages of trading using pair correlations is that every trade hedges away some risk. Because there are two separate transactions required, even if Lightspeed Commerce position performs unexpectedly, the other equity can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in Lightspeed Commerce will appreciate offsetting losses from the drop in the long position's value.

Lightspeed Commerce Pair Trading

Lightspeed Commerce Pair Trading Analysis

The ability to find closely correlated positions to Lightspeed Commerce could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Lightspeed Commerce when you sell it. If you don't do this, your portfolio allocation will be skewed against your target asset allocation. So, investors can't just sell and buy back Lightspeed Commerce - that would be a violation of the tax code under the "wash sale" rule, and this is why you need to find a similar enough asset and use the proceeds from selling Lightspeed Commerce to buy it.
The correlation of Lightspeed Commerce is a statistical measure of how it moves in relation to other instruments. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A perfect positive correlation (i.e., a correlation coefficient of +1) implies that as Lightspeed Commerce moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Lightspeed Commerce moves in either direction, the perfectly negatively correlated security will move in the opposite direction. If the correlation is 0, the equities are not correlated; they are entirely random. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak.
Correlation analysis and pair trading evaluation for Lightspeed Commerce can also be used as hedging techniques within a particular sector or industry or even over random equities to generate a better risk-adjusted return on your portfolios.
Pair CorrelationCorrelation Matching

Use Investing Themes to Complement your Lightspeed Commerce position

In addition to having Lightspeed Commerce in your portfolios, you can quickly add positions using our predefined set of ideas and optimize them against your very unique investing style. A single investing idea is a collection of funds, stocks, ETFs, or cryptocurrencies that are programmatically selected from a pull of investment themes. After you determine your investment opportunity, you can then find an optimal portfolio that will maximize potential returns on the chosen idea or minimize its exposure to market volatility.

Did You Try This Idea?

Run Small Value Funds Thematic Idea Now

Small Value Funds
Small Value Funds Theme
Funds or Etfs that invest in the undervalued stocks of small to mid-sized companies. The Small Value Funds theme has 31 constituents at this time.
You can either use a buy-and-hold strategy to lock in the entire theme or actively trade it to take advantage of the short-term price volatility of individual constituents. Macroaxis can help you discover thousands of investment opportunities in different asset classes. In addition, you can partner with us for reliable portfolio optimization as you plan to utilize Small Value Funds Theme or any other thematic opportunities.
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When determining whether Lightspeed Commerce is a strong investment it is important to analyze Lightspeed Commerce's competitive position within its industry, examining market share, product or service uniqueness, and competitive advantages. Beyond financials and market position, potential investors should also consider broader economic conditions, industry trends, and any regulatory or geopolitical factors that may impact Lightspeed Commerce's future performance. For an informed investment choice regarding Lightspeed Stock, refer to the following important reports:
Check out Correlation Analysis.
For information on how to trade Lightspeed Stock refer to our How to Trade Lightspeed Stock guide.
You can also try the Portfolio Suggestion module to get suggestions outside of your existing asset allocation including your own model portfolios.
To fully project Lightspeed Commerce's future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of Lightspeed Commerce at a specified time, usually calculated after every quarter, six months, or one year. Three primary documents fall into the category of financial statements. These documents include Lightspeed Commerce's income statement, its balance sheet, and the statement of cash flows.
Potential Lightspeed Commerce investors and stakeholders can use historical trends found within financial statements to determine how well the company is positioned for the future. Although Lightspeed Commerce investors may work on each financial statement separately, they are all related. The changes in Lightspeed Commerce's assets and liabilities, for example, are also reflected in the revenues and expenses that we see on Lightspeed Commerce's income statement, which results in the company's gains or losses. Cash flows can provide more information regarding cash listed on a balance sheet but not equivalent to net income shown on the income statement. Please read more on our technical analysis and fundamental analysis pages.