Lsb Industries (LXU) AI Stock Analysis

• Market Cap: $621.74M
• Dividend Yield: N/A
• Average Volume (3M): 442.51K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.06
• Revenue Growth: -4.23%
• EPS Growth: -259.01%
• Country: US
• Employees: 583
• Sector: Basic Materials
• Sector Strength: 69
• Industry: Chemicals
• EPS (TTM): -0.02
• Shares Outstanding: 71,877,950
• 10 Day Avg. Volume: 305,185
• 30 Day Avg. Volume: 442,507
• PEG Ratio: 0.63
• Price to Book (P/B): 1.26
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -23.50
• Enterprise Value/Market Cap: 1.81
• Enterprise Value/Revenue: 0.54
• Enterprise Value/Gross Profit: 28.14
• Enterprise Value/Ebitda: 3.33
• 1Y Price Target: $9.00
• Price Target Upside: 5.63% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

• Rating: 56 Neutral
• Price Target: $9.00 ▲(5.63%Upside)

LSB Industries' overall stock score reflects a mixed financial performance with significant profitability and cash flow challenges. Technical indicators show positive short-term momentum, while the valuation is constrained by a negative P/E ratio. The earnings call provided some positive insights into future sales volume and product demand, albeit with notable project delays and cost pressures.

Lsb Industries Business Overview & Revenue Model

Company Description

LSB Industries, Inc. engages in the manufacture, marketing, and sale of chemical products. The company provides nitrogen-based fertilizers, such as ammonia, fertilizer grade ammonium nitrate (HDAN), and urea ammonia nitrate for fertilizer and fertilizer blends for corn and other crops, and NPK fertilizer blends applications. It also offers high purity and commercial grade ammonia, high purity ammonium nitrate, sulfuric acids, mixed nitrating acids, carbon dioxide, and diesel exhaust fluids, as well as concentrated, and blended and regular nitric acids for various applications, including semi-conductor and polyurethane intermediates; pulp and paper, alum, water treatment, metals, and vanadium processing; power plant emissions abatement, water treatment, refrigerants, and metals processing; exhaust stream additive, and horticulture/greenhouse applications; and refrigeration. In addition, the company provides industrial grade ammonium nitrate, ammonium nitrate, and HDAN solutions for ammonium nitrate fuel oil and specialty emulsions for mining, surface mining, quarries, and construction applications. It sells its products through distributors, as well as directly to end customers in the United States, Mexico, and Canada. The company serves to the agricultural, industrial, and mining markets. LSB Industries, Inc. was founded in 1968 and is headquartered in Oklahoma City, Oklahoma.

How the Company Makes Money

LSB Industries makes money through the production and distribution of its nitrogen-based chemical products. The company's primary revenue streams are derived from the sale of fertilizers to agricultural customers and chemical products to industrial and mining clients. By operating manufacturing facilities strategically located to serve key markets efficiently, LSB Industries can optimize distribution costs and leverage economies of scale. Additionally, the company may engage in strategic partnerships and long-term supply agreements with key customers to secure a stable revenue base and enhance market reach. Fluctuations in commodity prices, agricultural demand, and industrial activity are significant factors influencing the company's earnings.

Lsb Industries Financial Statement Overview

Summary

LSB Industries faces profitability and cash flow challenges, with declining margins and negative free cash flow in the TTM. The balance sheet shows moderate leverage, but the company's financial position indicates pressures in maintaining profitability and liquidity. Continued focus on enhancing operational efficiency and cost control will be crucial moving forward.

Income Statement

The income statement indicates challenges with profitability. The TTM gross profit margin is approximately 7.56%, and the net profit margin is -5.04%, both reflecting a decline in profitability from prior periods. Revenue growth is negative compared to previous years, indicating potential demand issues or competitive pressures.

Balance Sheet

The balance sheet shows a moderately leveraged position, with a debt-to-equity ratio of around 1.06 in TTM. The equity ratio is 41.7%, suggesting some reliance on debt but still a fair amount of equity financing. ROE has declined, indicating reduced return on shareholders' equity.

Cash Flow

Cash flow analysis reveals negative free cash flow in TTM, indicating cash outflows surpassing inflows from operations and investments. The operating cash flow to net income ratio shows operational cash generation, but free cash flow to net income is negative, highlighting cash management challenges.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	522.40M	593.71M	901.71M	556.24M	351.32M
Gross Profit	47.80M	86.26M	348.37M	138.98M	17.05M
EBITDA	82.69M	120.70M	378.60M	170.99M	55.31M
Net Income	-19.35M	27.92M	230.35M	43.55M	-61.91M
Balance Sheet
Total Assets	1.19B	1.30B	1.44B	1.13B	1.05B
Cash, Cash Equivalents and Short-Term Investments	184.20M	305.93M	394.32M	82.14M	16.26M
Total Debt	518.81M	619.99M	743.28M	559.93M	517.61M
Total Liabilities	695.55M	779.85M	923.95M	672.35M	631.56M
Stockholders Equity	491.64M	518.33M	515.87M	460.49M	421.74M
Cash Flow
Free Cash Flow	-5.72M	69.92M	299.82M	52.50M	-32.98M
Operating Cash Flow	86.58M	137.52M	345.65M	87.63M	-2.51M
Investing Cash Flow	-53.08M	57.40M	-369.74M	-34.69M	-28.43M
Financing Cash Flow	-114.30M	-157.66M	5.71M	12.95M	24.41M

Lsb Industries Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 8.52
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For LXU, the sentiment is Positive. The current price of 8.52 is above the 20-day moving average (MA) of 8.16, above the 50-day MA of 7.62, and above the 200-day MA of 7.78, indicating a bullish trend. The MACD of 0.20 indicates Negative momentum. The RSI at 64.24 is Neutral, neither overbought nor oversold. The STOCH value of 93.58 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for LXU.

Lsb Industries Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ASIX	70 Outperform	$620.18M	7.41	11.26%	2.77%	6.03%	5079.05%
LXU	56 Neutral	$621.74M	―	-5.28%	―	-4.23%	-259.01%
RYAM	55 Neutral	$287.13M	―	-10.12%	―	2.20%	34.71%
ASPI	55 Neutral	$671.84M	―	-127.59%	―	245.97%	-16.23%
TROX	54 Neutral	$901.65M	―	-8.44%	8.79%	4.15%	57.25%
FF	54 Neutral	$179.16M	11.43	-3.29%	5.87%	-33.92%	-58.53%
Sector *	44 Neutral	C$978.68M	-6.65	-13.73%	2.44%	17.55%	-32.57%

Lsb Industries Corporate Events

LSB Industries Holds Annual Stockholders Meeting

On May 15, 2025, LSB Industries, Inc. conducted its annual meeting of stockholders where key decisions were made, including the election of three directors to the board for terms ending in 2028, and the approval of a new long-term incentive plan. Additionally, Ernst & Young LLP was ratified as the company’s independent accounting firm for 2025, and a non-binding advisory vote approved the compensation for the company’s executive officers, reflecting shareholder support for the company’s strategic direction and governance.

The most recent analyst rating on (LXU) stock is a Buy with a $11.00 price target. To see the full list of analyst forecasts on Lsb Industries stock, see the LXU Stock Forecast page.

LSB Industries Reports Q1 2025 Financial Results

On April 30, 2025, LSB Industries, Inc. released its financial results for the first quarter of 2025, highlighting a 4% increase in sales volumes compared to the previous year, despite challenges posed by higher natural gas costs. The company reported strong demand for its fertilizer and industrial products, with UAN pricing and overall demand remaining robust. LSB is also progressing with its El Dorado low carbon ammonia project, which is on track for a late 2026 startup, and has achieved pre-certification status for low carbon ammonia production.