SADIF-Investment Analytics
SADIF-Investment Analytics
Outlook
Contents:
Basics Pages (1 to 3)
.Highlights
.StockMarks
.Profile
.Rating determinants
Benchmarks Pages (3 to 5)
.Sector
.Competitors
.Pairs
.Peers
Quality Drivers Pages (5 to 7)
.Business
.Management
.Price
Valuation Pages (7 to 8)
.Attractiveness
.Nominal Rates
.Fair value rates
Highlights
Lifetime Brands Inc is an average quality company with a neutral outlook.
Lifetime Brands Inc has medium business growth and is run by passable
management. The trend in Lifetime Brands Inc fair value exchange rate
against its closest rated-competitor, National Presto Industries Inc., has been
depreciating over the past 2 weeks. When compared to its closest peer,
Hooker Furniture Corporation, Lifetime Brands Inc shows similar
overvaluation and is more likely to outperform the market.
StockMarks Ratings
Total Quality
Business
Management
Price
Liquidity
Volatility
Outperformance
SMT
SMB
SMM
SMP
SML
SMV
SMO
Summary StockMarks Ratings for Lifetime Brands Inc were calculated in relation to the entire population of
3919 United States-listed companies rated today, using a scale from 0 (worst) to 100 (best). For an explanation
of each rating, see page 12. Readers should check for the latest news and events not yet reflected in the
company financials.
1
2007-2014 Marques Mendes & Associados Lda (MM&A). All Rights Reserved. Please read disclaimer in page 12.
Company
Sector
Industry
Exchange
LCUT
Cyclical
Consumer Goods
& Services
NASDAQ
EPS: 0.5390
Data as of Market
Close:
2014-05-23
2
2007-2014 Marques Mendes & Associados Lda (MM&A). All Rights Reserved. Please read disclaimer in page 12.
3
2007-2014 Marques Mendes & Associados Lda (MM&A). All Rights Reserved. Please read disclaimer in page 12.
Company Name
LCUT
Competitor 1
NPK
Competitor 2
IRBT
iRobot Corporation
Competitor 3
BNSO
Competitor 4
Similarity Industry
SMT SMB SMM SMP
%
Share %
0.94
42
45
54
37
58.3
0.82
46
33
68
41
58.3
0.88
61
49
60
62
Bonso Electronics
Internati...
50.0
0.06
25
41
40
28
TUP
Tupperware Brands
Corporation
50.0
5.1
75
47
73
82
Competitor 5
JAH
Jarden Corp
50.0
13.32
50
50
53
50
Competitor 6
NTK
Nortek Inc
50.0
4.3
56
49
48
77
Competitor 7
HELE
50.0
2.54
79
77
61
68
Competitor 8
WHR
Whirlpool Corporation
50.0
35.36
42
39
57
41
Competitor 9
LBY
Libbey Inc.
50.0
1.57
47
40
54
60
Competitor
10
ELUXY
Electrolux AB (ADR)
50.0
32.17
40
40
50
50
Company
Company Name
Similarity
%
Company
LCUT
42
45
54
37
Pair 1
SKY
Skyline Corporation
75.0
23
48
22
34
Pair 2
UNTD
75.0
15
18
23
Pair 3
HOFT
75.0
41
41
57
37
Pair 4
TUP
75.0
75
47
73
82
Pair 5
JOUT
75.0
42
43
56
35
Pair 6
KMG
70.83
48
55
50
41
Pair 7
MTH
66.67
74
67
63
57
Pair 8
SIG
66.67
66
48
65
69
Pair 9
CCO
66.67
34
38
43
52
Pair 10
IPG
66.67
45
43
53
52
4
2007-2014 Marques Mendes & Associados Lda (MM&A). All Rights Reserved. Please read disclaimer in page 12.
Company Name
Similarity
%
Company
LCUT
42
45
54
37
Peer 1
HOFT
43.75
41
41
57
37
Peer 2
NTK
Nortek Inc
41.67
56
49
48
77
Peer 3
ESCA
Escalade, Inc.
41.67
57
53
62
45
Peer 4
FLXS
Flexsteel Industries,...
39.58
48
45
60
39
Peer 5
HEDYY
38.54
35
42
51
31
Peer 6
JOUT
37.5
42
43
56
35
Peer 7
WHR
Whirlpool Corporation
36.46
42
39
57
41
Peer 8
NPK
36.46
46
33
68
41
Peer 9
TUP
35.42
75
47
73
82
Peer 10
FLWS
1-800-FLOWERS.COM, Inc.
35.42
43
44
56
37
5
2007-2014 Marques Mendes & Associados Lda (MM&A). All Rights Reserved. Please read disclaimer in page 12.
SMM Rating
First Class
90-100
Efficient
55-89
Average
40-54
Mediocre
20-39
Inefficient
0-19
6
2007-2014 Marques Mendes & Associados Lda (MM&A). All Rights Reserved. Please read disclaimer in page 12.
7
2007-2014 Marques Mendes & Associados Lda (MM&A). All Rights Reserved. Please read disclaimer in page 12.
Risk
The financial risk of Lifetime
Brands Incs in terms of liquidity is
low, while in terms of market
volatility risk it is also low. The two
risk measures are shown in charts
11 and 12.
Financial risk
Leverage is a well-known doubleedged sword that amplifies shortterm returns and risks. That is the
reason why we combine in the
StockMarksLiquidity Rating
(SML) the company capitalization
with its current ratio and shortterm debt. The SML rating is on a
scale of 0 (highest risk) to 100
(lowest risk) and its trend,
depicted in Chart 11, is low and
increased in the last quarter.
Currently the SML rating of
Lifetime Brands Inc stands at 78,
which compares favorably with the
industry median (41), but its worse
than that of its first competitor
(79.6).
Market risk
Unfortunately, the estimation of
intrinsic values is a very challenging
task.
However, we may minimize the
problem and bypass the need to
estimate intrinsic values by adjusting
the nominal stock exchange rates
with our Price Attractiveness
StockMark (SMP), which estimates
the degree of over/undervaluation at
any level of the market premium or
discount.
By adjusting the nominal rates by
the relative SMPs we obtain the fair
value exchange rate.
8
2007-2014 Marques Mendes & Associados Lda (MM&A). All Rights Reserved. Please read disclaimer in page 12.
9
2007-2014 Marques Mendes & Associados Lda (MM&A). All Rights Reserved. Please read disclaimer in page 12.
q4
Year
Q1
Q2
Q3
Q4
2013
1.488
1.400
0.539
2012
1.296
0.876
0.876
1.643
2011
1.235
1.482
1.564
1.119
q4
Market Multiples
Price Targets
Year
Q1
Q2
Q3
Q4
2013
1.085
1.150
1.112
2012
1.014
0.788
0.946
1.005
2011
1.033
0.872
1.104
0.916
T7. Quarterly PE
Year
Q1
Q2
Q3
Q4
2013
9.852
10.929
28.831
2012
9.414
10.616
13.014
8.259
2011
8.899
6.356
7.717
9.625
10
2007-2014 Marques Mendes & Associados Lda (MM&A). All Rights Reserved. Please read disclaimer in page 12.
2 Rating:
3 Rating:
4 Rating:
5 Rating:
Good
100-85 StockMarks
2
Above Average
84-60 StockMarks
Average
59-30 StockMarks
Below Average
29-7.5 StockMarks
Risky
7.4-0 StockMarks
Recommendation
Lifetime Brands Inc rates as an
above average investment. The
current SMR rating is 73/100. The
chart on the right shows the SMR
trend compared to the sell-side
consensus recommendation on a
scale of 0-100. Recommendation
values are shown with one-year
lead time. Our last SMR revision
was upward, and the month-tomonth trend is positive.
For comparison, Table 9 shows
our recommendations (SMR) and
other key ratings for the
company's top 5 closest
competitors in terms of similarity.
T9. Benchmark group: Industry Competitors
SADIF
Rating
above
average
2013-12-13
average
2013-08-26
above
average
Date
2014-04-08
Ticker
Company Name
Similarity
%
Industry
Share %
SMR
SMT
SML
SMO
0.94
73
42
78
58
LCUT
Competitor 1
NPK
58.3
0.82
68
46
80
46
Competitor 2
IRBT
iRobot Corporation
58.3
0.88
74
61
79
44
Competitor 3
BNSO
Bonso Electronics...
50.0
0.06
21
25
41
24
Competitor 4
TUP
Tupperware Brands...
50.0
5.1
55
75
20
68
Competitor 5
JAH
Jarden Corp
50.0
13.32
31
50
41
29
Company
Conclusions
The company's share price has risen sharply over the past year, but we believe underlying fundamentals to be the
primary determinant of long-term performance.
A StockMarks analysis of Lifetime Brands Inc reveals a company with an average quality and medium long-term
business growth. The likelihood of Lifetime Brands Inc stock to outperform the market as measured by the
Outperformance StockMark (SMO) is slightly above average with a rating of 58 / 100.
The market risk associated with holding the shares as measured by the Volatility StockMark (SMV) is below
average with a rating of 70 /100. Overall, we believe Lifetime Brands Inc to be an above average long-term
investment.
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2007-2014 Marques Mendes & Associados Lda (MM&A). All Rights Reserved. Please read disclaimer in page 12.
The StockMarksRatings
Total Quality StockMark (SMT)
Liquidity StockMark(SML)
Except for banks, a companys liquidity safety
is measured based on its capitalization,
current ratio and the relative amount of short
debt in relation to medium and long term
debt.
StockMark
(SMR)
A stock recommendation based on price
attractiveness, liquidity risk and market
sentiment.
2007-2014 Marques Mendes & Associados Lda (MM&A). All Rights Reserved. This report is for information purposes only and is not a solicitation or advice to buy or sell any
security. The data contained within this report is not warranted to be accurate or complete. This report is only intended as a summary of SADIF's stock ratings and not a
recommendation for stock purchase or sale. Redistribution of this report without explicit permission is strictly prohibited. All logos are the copyright property of their
respective companies and are used here only to aid the reader in identification of the subject of the article. The author of this article does not hold a position in any of the
companies featured within this report.
Marques Mendes & Associados Lda. Rua Domingos F. Pinto Basto, 213830-176 Ilhavo, Portugal,
Ph: (+ 351)234 296 930 Email: [email protected]
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