LYTS:NASDAQLSI Industries Inc. Analysis
Data as of 2026-06-09 - not real-time
$23.45
Latest Price
7/10Risk
Risk Level: Medium
Executive Summary
LSI Industries has delivered double‑digit revenue growth and a non‑GAAP profit beat in the latest quarter, underscoring strong top‑line momentum. The stock is currently trading above its 20‑day simple moving average, confirming a bullish price trend, but the MACD histogram has turned negative and the RSI sits near the midpoint, hinting at potential short‑term weakness.
Fundamentally, the company carries a high debt load, negative free cash flow, and a DCF‑derived fair value that is roughly half the market price, suggesting the market may be overvaluing the stock. The dividend is modest, with a low payout ratio, which supports sustainability despite the balance‑sheet pressures.
Fundamentally, the company carries a high debt load, negative free cash flow, and a DCF‑derived fair value that is roughly half the market price, suggesting the market may be overvaluing the stock. The dividend is modest, with a low payout ratio, which supports sustainability despite the balance‑sheet pressures.
Market Outlook
Short Term
< 1 yearNeutral
Model confidence: 6/10
Key Factors
- Price above 20‑day SMA supporting bullish bias
- Negative MACD histogram indicating weakening momentum
- Increasing volume reinforcing current trend
Medium Term
1–3 yearsNeutral
Model confidence: 5/10
Key Factors
- Revenue growth and recent earnings beat
- High debt-to-equity and negative free cash flow
- Market price substantially above DCF fair value
Long Term
> 3 yearsNeutral
Model confidence: 4/10
Key Factors
- Sustained dividend with low payout ratio
- Elevated beta and volatility increasing systematic risk
- Potential for valuation correction as fundamentals lag price
Key Metrics & Analysis
Financial Health
Revenue Growth13.60%
Profit Margin3.91%
P/E Ratio31.7
ROE8.31%
ROA3.92%
Debt/Equity89.04
P/B Ratio2.4
Op. Cash Flow$42.1M
Free Cash Flow$-12440375
Industry P/E33.3
Technical Analysis
TrendBullish
RSI51.9
Support$21.97
Resistance$24.99
MA 20$23.61
MA 50$22.03
MA 200$21.26
MACDBearish
VolumeIncreasing
Fear & Greed Index89.23
Valuation
Fair Value$10.19
Target Price$30.50
Upside/Downside30.06%
GradeOvervalued
TypeBlend
Dividend Yield0.85%
Risk Assessment
Beta1.44
Volatility40.22%
Sector RiskMedium
Reg. RiskLow
Geo RiskLow
Currency RiskLow
Liquidity RiskMedium
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This analysis may contain inaccuracies and is provided for informational and research purposes only. It is not personal investment advice, a recommendation, or an instruction to buy, sell, or hold any asset.