Lifeway Z Score

LWAY
 Stock
  

USD 7.23  0.22  2.95%   

Altman Z Score is one of the simplest fundamental models to determine how likely your company is to fail. The module uses available fundamental data of a given equity to approximate the Altman Z score. Altman Z Score is determined by evaluating five fundamental price points available from the company's current public disclosure documents. Additionally, see Lifeway Foods Piotroski F Score and Lifeway Foods Valuation analysis.
  
Lifeway Foods Invested Capital Average is fairly stable at the moment as compared to the past year. Lifeway Foods reported Invested Capital Average of 35.65 Million in 2021. Market Capitalization is likely to rise to about 97.7 M in 2022, whereas Capital Expenditure is likely to drop (2.1 M) in 2022. Lifeway Foods Cost of Revenue is fairly stable at the moment as compared to the past year. Lifeway Foods reported Cost of Revenue of 90.36 Million in 2021. Gross Profit is likely to rise to about 31.1 M in 2022, whereas Direct Expenses is likely to drop slightly above 66.7 M in 2022.

Lifeway Z Score Analysis

Lifeway Foods' Z-Score is a simple linear, multi-factor model that measures the financial health and economic stability of a company. The score is used to predict the probability of a firm going into bankruptcy within next 24 months or two fiscal years from the day stated on the accounting statements used to calculate it. The model uses five fundamental business ratios that are weighted according to algorithm of Professor Edward Altman who developed it in the late 1960s at New York University..
 2017 2018 2021 2022 (projected)
Receivables8.68 M6.28 M7.22 M8.87 M
Inventories7.7 M5.82 M5.24 M5.41 M
Z Score 
 = 
Sum Of  
 
5 Factors 
More About Z Score | All Equity Analysis

Current Lifeway Foods Z Score

    
  10.6  
Most of Lifeway Foods' fundamental indicators, such as Z Score, are part of a valuation analysis module that helps investors searching for stocks that are currently trading at higher or lower prices than their real value. If the real value is higher than the market price, Lifeway Foods is considered to be undervalued, and we provide a buy recommendation. Otherwise, we render a sell signal.
First Factor
 = 
1.2 * (
Working Capital
/
Total Assets )
Second Factor
 = 
1.4 * (
Retained Earnings
/
Total Assets )
Thrid Factor
 = 
3.3 * (
EBITAD
/
Total Assets )
Fouth Factor
 = 
0.6 * (
Market Value of Equity
/
Total Liabilities )
Fifth Factor
 = 
0.99 * (
Revenue
/
Total Assets )

Lifeway Z Score Driver Correlations

Understanding the fundamental principles of building solid financial models for Lifeway Foods is extremely important. It helps to project a fair market value of Ford stock properly, considering its historical fundamentals such as Z Score. Since Lifeway Foods' main accounts across its financial reports are all linked and dependent on each other, it is essential to analyze all possible correlations between related accounts. However, instead of reviewing all of Lifeway Foods' historical financial statements, investors can examine the correlated drivers to determine its overall health. This can be effectively done using a conventional correlation matrix of Lifeway Foods' interrelated accounts and indicators.
To calculate Z-Score one would need to know current working capital of the company, its total assets, and liabilities, amount of latest retained earnings as well as earnings before interest and tax. Z-Score can be used to compare the odds of bankruptcy of companies in a similar line of business or firms operating in the same industry. Companies with Z-Scores above 3.1 are generally considered to be stable and healthy with a low probability of bankruptcy. Scores that fall between 1.8 and 3.1 lie in a so-called 'grey area' with scores of less than 1, indicating the high probability of distress. Z Score is used widely by financial auditors, accountants, money managers, loan processers, wealth advisers, as well as day traders. In the last 25 years, many financial models that utilize z score has been proved to be successful as a predictor of corporate bankruptcy.
Compare to competition

Based on the company's disclosures, Lifeway Foods has a Z Score of 10.6. This is 17.0% higher than that of the Consumer Defensive sector and notably higher than that of the Packaged Foods industry. The z score for all United States stocks is 21.56% lower than that of the firm.

Lifeway Z Score Peer Comparison

Stock peer comparison is one of the most widely used and accepted methods of equity analyses. It analyses Lifeway Foods' direct or indirect competition against its Z Score to detect undervalued stocks with similar characteristics or determine the stocks which would be a good addition to a portfolio. Peer analysis of Lifeway Foods could also be used in its relative valuation, which is a method of valuing Lifeway Foods by comparing valuation metrics of similar companies.
Lifeway Foods is currently under evaluation in z score category among related companies.

Lifeway Foods Current Valuation Drivers

We derive many important indicators used in calculating different scores of Lifeway Foods from analyzing Lifeway Foods' financial statements. These drivers represent accounts that assess Lifeway Foods' ability to generate profits relative to its revenue, operating costs, and shareholders' equity. Below are some of Lifeway Foods' important valuation drivers and their relationship over time.
201720182019202020212022 (projected)
Net Income Per Employee5.33 K10.84 K(1.02 K)(9.58 K)(11.02 K)(11.31 K)
Revenue Per Employee320.5 K386.06 K349.69 K320.96 K288.87 K275.07 K
Average Assets66.96 M61.53 M57.37 M58.83 M66.75 M70.64 M
Earnings Before Interest Taxes and Depreciation Amortization EBITDA6.53 M8.18 M1.88 M(194 K)(223.1 K)(228.97 K)
Earnings Before Interest Taxes and Depreciation Amortization USD2.55 M437 K4.8 M8.19 M8.61 M7.5 M
Earnings before Tax(804 K)(3.31 M)1.24 M4.83 M5.62 M4.6 M
Average Equity48.32 M44.77 M42.52 M45.39 M49.1 M51.28 M
Enterprise Value127.42 M33.04 M30.5 M79.77 M68.6 M97.32 M
Free Cash Flow(1.48 M)(303 K)3.15 M4.5 M3.64 M3.18 M
Invested Capital37.58 M39.18 M33.88 M33.81 M37.23 M35.32 M
Invested Capital Average37.22 M40.5 M35.64 M33.78 M35.65 M40.41 M
Market Capitalization128.19 M29.77 M31.26 M84.42 M71 M97.73 M
Tangible Asset Value49.48 M43.64 M44.01 M47.24 M51.19 M52.88 M
Working Capital11.48 M11.46 M9.68 M15.61 M16.98 M17.05 M

Lifeway Foods Institutional Holders

Institutional Holdings refers to the ownership stake in Lifeway Foods that is held by large financial organizations, pension funds or endowments. Institutions may purchase large blocks of Lifeway Foods' outstanding shares and can exert considerable influence upon its management. Institutional holders may also work to push the share price higher once they own the stock. Extensive social media coverage, TV shows, articles in high-profile magazines, and presentations at investor conferences help move the stock higher, increasing Lifeway Foods' value.
Security TypeSharesValue
Zacks Investment ManagementCommon Shares71.7 K1.2 M
Whitnell CoCommon SharesK80 K
Whitnell CoCommon SharesK87 K
Wells Fargo CompanyCommon Shares781K
Wells Fargo CompanyCommon Shares779K
Wells Fargo CompanyCommon Shares778K
Wells Fargo CompanyCommon Shares779K

Lifeway Fundamentals

About Lifeway Foods Fundamental Analysis

The Macroaxis Fundamental Analysis modules help investors analyze Lifeway Foods's financials across various querterly and yearly statements, indicators and fundamental ratios. We help investors to determine the real value of Lifeway Foods using virtually all public information available. We use both quantitative as well as qualitative analysis to arrive at the intrinsic value of Lifeway Foods based on its fundamental data. In general, a quantitative approach, as applied to this company, focuses on analyzing financial statements comparatively, whereas a qaualitative method uses data that is important to a company's growth but cannot be measured and presented in a numerical way.
Please read more on our fundamental analysis page.
Lifeway Foods, Inc. produces and markets probiotic-based products in the United States and internationally. The company was founded in 1986 and is based in Morton Grove, Illinois. Lifeway Foods operates under Packaged Foods classification in the United States and is traded on NASDAQ Exchange. It employs 280 people.

Be your own money manager

Our tools can tell you how much better you can do entering a position in Lifeway Foods without increasing your portfolio risk or giving up the expected return. As an individual investor, you need to find a reliable way to track all your investment portfolios. However, your requirements will often be based on how much of the process you decide to do yourself. In addition to allowing all investors analytical transparency into all their portfolios, our tools can evaluate risk-adjusted returns of your individual positions relative to your overall portfolio.

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Additionally, see Lifeway Foods Piotroski F Score and Lifeway Foods Valuation analysis. Note that the Lifeway Foods information on this page should be used as a complementary analysis to other Lifeway Foods' statistical models used to find the right mix of equity instruments to add to your existing portfolios or create a brand new portfolio. You can also try Headlines Timeline module to stay connected to all market stories and filter out noise. Drill down to analyze hype elasticity.

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When running Lifeway Foods price analysis, check to measure Lifeway Foods' market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Lifeway Foods is operating at the current time. Most of Lifeway Foods' value examination focuses on studying past and present price action to predict the probability of Lifeway Foods' future price movements. You can analyze the entity against its peers and financial market as a whole to determine factors that move Lifeway Foods' price. Additionally, you may evaluate how the addition of Lifeway Foods to your portfolios can decrease your overall portfolio volatility.
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Is Lifeway Foods' industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Lifeway Foods. If investors know Lifeway will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Lifeway Foods listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth YOY
1.0
Market Capitalization
115.5 M
Quarterly Revenue Growth YOY
0.29
Return On Assets
0.0069
Return On Equity
0.0023
The market value of Lifeway Foods is measured differently than its book value, which is the value of Lifeway that is recorded on the company's balance sheet. Investors also form their own opinion of Lifeway Foods' value that differs from its market value or its book value, called intrinsic value, which is Lifeway Foods' true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Lifeway Foods' market value can be influenced by many factors that don't directly affect Lifeway Foods' underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Lifeway Foods' value and its price as these two are different measures arrived at by different means. Investors typically determine Lifeway Foods value by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Lifeway Foods' price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.