Want to see LQDT full AI Analyst Report?
Top Page
Liquidity Services
(NASDAQ:LQDT)
Select Model
Select Model
Rating:79Outperform
Price Target:
$50.00
▲(15.96% Upside)
Action:Reiterated
Date:10/02/26
The score is driven primarily by strong financial performance (growth, solid profitability, strong free cash flow, and low leverage) and a notably upbeat earnings call with confident guidance and improving operating metrics. Technicals are supportive with price above key moving averages and healthy momentum. The main offset is valuation: a high P/E (~40) leaves less room for execution missteps, with additional (smaller) near-term risks from timing-driven segment variability and integration execution on the new acquisition.
Positive Factors
Revenue and Marketplace Growth
Liquidity Services has expanded revenue substantially while continuing to grow marketplace volume, indicating broader adoption of its surplus-asset network. Sustained growth across the business can support operating scale, reinforce customer relationships, and provide a durable foundation for future earnings.
Negative Factors
Gross Margin Compression
The sustained reduction in gross margin shows that revenue growth has not translated fully into comparable profitability. A tougher pricing or business mix environment, or higher cost pressure, could limit operating leverage and make future earnings growth more dependent on continued volume expansion.
Read all positive and negative factors
Positive Factors
Negative Factors
Revenue and Marketplace Growth
Liquidity Services has expanded revenue substantially while continuing to grow marketplace volume, indicating broader adoption of its surplus-asset network. Sustained growth across the business can support operating scale, reinforce customer relationships, and provide a durable foundation for future earnings.
Read all positive factors
Liquidity Services Key Performance Indicators (KPIs)
Any
Revenue by Segment
Breaks down recognized revenue by business line—auction and marketplace fees, asset recovery and disposition services, managed services, and others—revealing which streams drive top-line growth and their relative profitability. Indicates whether revenue gains come from higher transaction volume, fee expansion, or new services, and highlights concentration risk if one segment dominates the business.
Breaks down recognized revenue by business line—auction and marketplace fees, asset recovery and disposition services, managed services, and others—revealing which streams drive top-line growth and their relative profitability. Indicates whether revenue gains come from higher transaction volume, fee expansion, or new services, and highlights concentration risk if one segment dominates the business.
Data provided by:
The Fly
The FlyLiquidity Services (LQDT) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$1.29B
Dividend YieldN/A
Average Volume (3M)232.48K
Price to Earnings (P/E)39.7
Beta (1Y)0.94
Revenue Growth5.18%
EPS Growth24.25%
CountryUS
Employees818
SectorConsumer Cyclical
Sector Strength84
IndustrySpecialty Retail
Share Statistics
EPS (TTM)1.06
Shares Outstanding31,331,617
10 Day Avg. Volume248,956
30 Day Avg. Volume232,482
Financial Highlights & Ratios
PEG Ratio0.80
Price to Book (P/B)4.17
Price to Sales (P/S)1.78
P/FCF Ratio14.39
Enterprise Value/Market Cap0.83
Enterprise Value/Revenue2.18
Enterprise Value/Gross Profit4.68
Enterprise Value/Ebitda17.94
Forecast
1Y Price Target
$51.00Price Target Upside18.27% Upside
Rating ConsensusModerate Buy
Number of Analyst Covering2
EPS Forecast (FY)1.76
Revenue Forecast (FY)$251.14M
Liquidity Services Business Overview & Revenue Model
Company Description
Liquidity Services, Inc. delivers comprehensive e-commerce solutions, featuring online marketplaces, self-service auction listing tools, and a variety of support services. The company's operations are structured into four distinct segments: Retail...
How the Company Makes Money
Liquidity Services primarily makes money by facilitating secondary-market sales of surplus and returned assets through its online marketplaces and asset management programs. Its revenue model commonly includes: (1) marketplace commissions or trans...
Liquidity Services Earnings Call Summary
Earnings Call Date:Aug 06, 2026
(Q3-2026)
| % Change Since: |
Next Earnings Date:Feb 04, 2027
Earnings Call Sentiment Positive
The call reported broad-based operational momentum: record GMV, double-digit growth in key profitability metrics (GAAP EPS +39% YoY, adjusted EBITDA +30% YoY), strong retail and GovDeals performance, CAG profitability improvement despite timing-driven GMV softness, and material ARR growth at Machinio. Challenges were limited to CAG project timing reducing GMV modestly, a decline in auction participants (likely mix-driven), an expected sequential retail GMV dip in Q4, and a higher projected tax rate. Overall, positives substantially outweigh these contained issues.Positive Updates
Record Quarterly GMV and Top-Line Growth
Gross merchandise volume (GMV) reached a record $453M, up 10% year-over-year; consolidated revenue was $130M, up 8% year-over-year.
Negative Updates
CAG GMV Pressured by Project Timing and Regional Weakness
CAG GMV declined 1% YoY to $57.5M primarily due to timing of several large projects and lower volumes in EMEA, APAC, and select North American industrial markets—timing issues that impacted quarter results.
Read all updates
Q3-2026 Updates
Positive
Negative
Record Quarterly GMV and Top-Line Growth
Gross merchandise volume (GMV) reached a record $453M, up 10% year-over-year; consolidated revenue was $130M, up 8% year-over-year.
Read all positive updates
Company Guidance
For the fiscal fourth quarter of 2026, management guided GMV of $415M–$455M, non‑GAAP adjusted EBITDA of $22M–$25M, GAAP net income of $10M–$13M, GAAP diluted EPS of $0.30–$0.39 and non‑GAAP adjusted diluted EPS of $0.41–$0.50 (assuming ~33M fully diluted weighted average shares), with an effective tax rate approaching the low‑to‑mid‑30s and capital expenditures of $2.5M–$3.0M; they also expect consignment GMV to be in the mid‑80s% of total GMV, consolidated revenue as a percent of GMV in the mid‑20s, and total segment direct profit as a percent of consolidated revenue in the mid‑50s, positioning the year to close with continued annual growth and the highest annual adjusted EBITDA in 13 years.Liquidity Services Financial Statement Overview
Summary
Income Statement
78
Positive
Balance Sheet
86
Very Positive
Cash Flow
84
Very Positive
| Breakdown | TTM | Sep 2025 | Sep 2024 | Sep 2023 | Sep 2022 | Sep 2021 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 489.62M | 476.67M | 363.32M | 314.46M | 280.05M | 257.53M |
| Gross Profit | 227.97M | 208.81M | 185.17M | 172.14M | 160.64M | 149.85M |
| EBITDA | 59.51M | 49.85M | 39.38M | 37.36M | 33.23M | 34.55M |
| Net Income | 33.26M | 28.09M | 19.99M | 20.98M | 40.32M | 50.95M |
Balance Sheet | ||||||
| Total Assets | 420.09M | 375.10M | 346.89M | 306.02M | 306.81M | 255.58M |
| Cash, Cash Equivalents and Short-Term Investments | 231.10M | 185.82M | 155.54M | 118.17M | 97.94M | 106.33M |
| Total Debt | 13.60M | 14.12M | 14.44M | 10.91M | 14.55M | 14.60M |
| Total Liabilities | 184.24M | 171.86M | 164.33M | 144.49M | 152.27M | 120.56M |
| Stockholders Equity | 235.85M | 203.24M | 182.56M | 161.53M | 154.54M | 135.01M |
Cash Flow | ||||||
| Free Cash Flow | 89.99M | 58.96M | 61.31M | 41.63M | 36.71M | 59.97M |
| Operating Cash Flow | 98.18M | 66.76M | 70.22M | 47.02M | 44.83M | 65.42M |
| Investing Cash Flow | -8.65M | -22.98M | -16.11M | -11.43M | -21.08M | -1.00M |
| Financing Cash Flow | -25.22M | -21.81M | -11.17M | -22.07M | -31.94M | -34.66M |
Liquidity Services Technical Analysis
Positive
43.12
Price Trends
42.02
Positive
39.83
Positive
35.93
Positive
Market Momentum
0.10
Positive
47.78
Neutral
13.95
Positive
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For LQDT, the sentiment is Positive. The current price of 43.12 is above the 20-day moving average (MA) of 42.91, above the 50-day MA of 42.02, and above the 200-day MA of 35.93, indicating a neutral trend. The MACD of 0.10 indicates Positive momentum. The RSI at 47.78 is Neutral, neither overbought nor oversold. The STOCH value of 13.95 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for LQDT.
Liquidity Services Risk Analysis
Liquidity Services disclosed 38 risk factors in its most recent earnings report. Liquidity Services reported the most risks in the "Legal & Regulatory" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks
Liquidity Services Peers Comparison
UnderperformOutperform
Sector (61)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
79 Outperform | $1.29B | 39.75 | 15.18% | ― | 5.18% | 24.25% | |
72 Outperform | $47.88B | 22.67 | 48.28% | 1.09% | 15.18% | 7.28% | |
66 Neutral | $1.06B | 25.87 | -99.42% | 4.73% | 3.76% | -2.25% | |
65 Neutral | $314.42M | 14.03 | 31.49% | 176.87% | 47.74% | 162.62% | |
62 Neutral | $818.77M | 17.04 | 12.22% | 2.70% | 34.75% | 138.72% | |
61 Neutral | $18.38B | 12.79 | -2.54% | 3.03% | 1.52% | -15.83% | |
48 Neutral | $291.56M | -13.16 | -37.30% | ― | 15.58% | 64.75% |
* Consumer Cyclical Sector Average
LQDT
Liquidity Services
42.13
18.49
78.21%
EBAY
eBay
111.98
22.99
25.83%
WINA
Winmark
295.14
-140.81
-32.30%
ELA
Envela
12.07
4.27
54.74%
TDUP
thredUP
2.35
-6.81
-74.34%
RERE
ATRenew Inc. Sponsored ADR
3.70
-0.40
-9.84%
Liquidity Services Corporate Events
Business Operations and StrategyM&A Transactions
Liquidity Services Completes Auction Holdings Acquisition Expansion
Positive
Oct 1, 2026
On October 1, 2026, Liquidity Services completed the acquisition of Auction Holdings, the owner of Invaluable, AuctionZip and RFC Auction Systems, for a base purchase price of $80 million in cash funded from existing resources, on a debt-free, cas...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.