Legacy Reserves Inc. [LGCY] is following upward trend in the market concluded with the last trading session. The shares of the Basic Materials sector company has a current value of $0.14 after LGCY shares went up by 18.45% during the last trading session. One of the reasons why Basic Materials stocks may go bullish is increased momentum in the press.
Legacy Reserves Inc. [NASDAQ:LGCY]: Analyst Rating and Earnings
Stock traders often pay close attention what Wall Street analysts have to say about a potential investment. For Legacy Reserves Inc. [LGCY], the latest consensus recommendation available followed its financial results for the fiscal quarter ending in December. On average, stock market experts give LGCY an Hold rating. Its stock price has been found in the range of 0.08 to 7.43. This is compared to its latest closing price of $0.12.
Wall Street analysts provide their ratings on a scale of 1 to 5, and the current average score for Legacy Reserves Inc. [LGCY] is sitting at 3.00. This is compared to 1 month ago, when its average rating was 3.00.
For the quarter ending in Mar-19 Legacy Reserves Inc. [LGCY] generated $0.12 billion in sales. That’s 2.42% higher than the average estimate of $0.12 billion as provided by Wall Street analysts. The three indicators above suggest that the company is performing better than market experts expected, boosting its appeal as a solid investment.
Keep an eye out for the next scheduled publication date for this company’s financial results, which are expected to be released on Wed 7 Aug (In 55 Days).
Fundamental Analysis of Legacy Reserves Inc. [LGCY]
Now let’s turn to look at profitability: with a current Operating Margin for Legacy Reserves Inc. [LGCY] sitting at +13.05 and its Gross Margin at +24.37.
This company’s Return on Total Capital is 5.65, and its Return on Invested Capital has reached 10.10%. Its Return on Assets is -3.86.
Similarly, its Total Debt to Total Capital is 125.25, while its Total Debt to Total Assets stands at 90.20.
What about valuation? This company’s Enterprise Value to EBITDA is 9.44 and its Total Debt to EBITDA Value is 7.32. The Enterprise Value to Sales for this firm is now 3.34, and its Total Debt to Enterprise Value stands at 0.80. companyname [LGCY] has a Price to Cash Flow Ratio of 1.16.
Shifting the focus to workforce efficiency, Legacy Reserves Inc. [LGCY] earns $1,318,130 for each employee under its payroll. Similarly, this company’s Receivables Turnover is 5.57 and its Total Asset Turnover is 0.31. This publicly-traded organization’s liquidity data is also interesting: its Quick Ratio is 0.78 and its Current Ratio is 0.78. This company is not investing its short-term assets in an optimally efficient way, making it a riskier investment.
Legacy Reserves Inc. [LGCY] has 112.08M shares outstanding, amounting to a total market cap of $15.47M. Its stock price has been found in the range of 0.08 to 7.43. At its current price, it has moved down by -98.14% from its 52-week high, and it has moved up 67.27% from its 52-week low.
This stock’s Beta value is currently 2.60, which indicates that it is 45.26% more volatile that the wider market. This stock’s Relative Strength Index (RSI) is at 41.09. This RSI score is good, suggesting this stock is neither overbought or oversold.
Conclusion: Is Legacy Reserves Inc. [LGCY] a Reliable Buy?
Legacy Reserves Inc. [LGCY] stock is presenting a less attractive investment opportunity when compared to similarly-sized corporations in the same industry. The price performance of these shares has not shown much promise, and the financial results that this company has recently delivered present a highly risky investment.