Local Bounti Valuation
| LOCL Stock | USD 1.67 0.08 4.57% |
Based on Macroaxis valuation methodology, the firm appears to be undervalued. Local Bounti Corp secures a last-minute Real Value of $4.06 per share. The latest price of the firm is $1.67. Our model forecasts the value of Local Bounti Corp from analyzing the firm fundamentals such as Return On Equity of -4.25, operating margin of (1.47) %, and Shares Outstanding of 8.66 M as well as examining its technical indicators and probability of bankruptcy. Key fundamental drivers impacting Local Bounti's valuation include:
Price Book 0.4605 | Enterprise Value 413 M | Enterprise Value Ebitda (1.77) | Price Sales 0.4589 | Enterprise Value Revenue 11.8217 |
Undervalued
Today
Please note that Local Bounti's price fluctuation is unstable at this time. Calculation of the real value of Local Bounti Corp is based on 3 months time horizon. Increasing Local Bounti's time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
The fair value of the Local stock is determined by what a typical buyer is willing to pay for full or partial control of Local Bounti Corp. Since Local Bounti is currently traded on the exchange, buyers and sellers on that exchange determine the market value of Local Stock. However, Local Bounti's intrinsic value may or may not be the same as its current market price, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value. | Historical | Market 1.67 | Real 4.06 | Target 11.25 | Hype 1.69 | Naive 1.38 |
The intrinsic value of Local Bounti's stock can be calculated using various methods such as discounted cash flow or dividend analysis. That value may differ from its market price, which is determined by factors such as investor sentiment, market trends, headlines, and other external factors that may influence Local Bounti's stock price.
Estimating the potential upside or downside of Local Bounti Corp helps investors to forecast how Local stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of Local Bounti more accurately as focusing exclusively on Local Bounti's fundamentals will not take into account other important factors: Traditionally, analysts and sophisticated investors use multiple methods for valuing a cash-flow-generating entity or its stock. For example, some money managers use Local Bounti's intrinsic value based on its ongoing forecasts of Local Bounti's financial statements. In contrast, other private, professional wealth advisors use a multiplier approach by looking to relative value analysis against Local Bounti's closest peers.
Local Bounti Cash |
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Local Valuation Trend
Knowing Local Bounti's actual value is paramount for traders when making sound investment determinations. Using both Local Bounti's enterprise value as well as its market capitalization is the best way to estimate the value of the company and is usually enough for investors to make market timing decisions.
Local Bounti Total Value Analysis
Local Bounti Corp is now forecasted to have valuation of 412.98 M with market capitalization of 14.45 M, debt of 327.42 M, and cash on hands of 4.23 M. Please note that valuation may be misleading and is a subject to auditing or accounting errors. We encourage investors to vigilantly validate all of the Local Bounti fundamentals before making equity appraisal based on enterprise value of the company| Takeover Price | Market Cap | Debt Obligations | Cash |
412.98 M | 14.45 M | 327.42 M | 4.23 M |
Local Bounti Investor Information
About 56.0% of the company outstanding shares are owned by corporate insiders. The company has price-to-book ratio of 0.46. Typically companies with comparable Price to Book (P/B) are able to outperform the market in the long run. Local Bounti Corp recorded a loss per share of 18.11. The entity had not issued any dividends in recent years. The firm had 1:13 split on the 15th of June 2023. Based on the key indicators obtained from Local Bounti's historical financial statements, Local Bounti Corp is not in a good financial situation at this time. It has a very high probability of going through financial hardship in December.Local Bounti Asset Utilization
The asset utilization indicator refers to the revenue earned for every dollar of assets a company currently reports. Local Bounti has an asset utilization ratio of 7.22 percent. This suggests that the Company is making $0.0722 for each dollar of assets. An increasing asset utilization means that Local Bounti Corp is more efficient with each dollar of assets it utilizes for everyday operations.Local Bounti Ownership Allocation
The market capitalization of Local Bounti Corp is $14.45 Million. Local Bounti Corp holds significant amount of outstanding shares owned by insiders. An insider is usually defined as a CEO, other corporate executive, director, or institutional investor who own at least 10% of the company's outstanding shares. Note, that even with negative profits, if the true value of the firm is larger than the current market value, you may still be able to generate positive returns on investment in this company.Local Bounti Profitability Analysis
The company reported the previous year's revenue of 27.56 M. Net Loss for the year was (124.02 M) with profit before overhead, payroll, taxes, and interest of 3.99 M.About Local Bounti Valuation
We use absolute and relative valuation methodologies to arrive at the intrinsic value of Local Bounti Corp. In general, an absolute valuation paradigm, as applied to this company, attempts to find the value of Local Bounti Corp based exclusively on its fundamental and basic technical indicators. By analyzing Local Bounti's financials, quarterly and monthly indicators, and their related drivers, we attempt to find the most accurate representation of Local Bounti's intrinsic value. As compared to an absolute model, our relative valuation model uses a comparative analysis of Local Bounti. We calculate exposure to Local Bounti's market risk, different technical and fundamental indicators, and relevant financial multiples and ratios and then compare them to those of Local Bounti's related companies.| Last Reported | Projected for Next Year | ||
| Gross Profit | 2.2 M | 1.3 M | |
| Pretax Profit Margin | (4.50) | (4.73) | |
| Operating Profit Margin | (4.24) | (4.45) | |
| Net Loss | (4.50) | (4.73) | |
| Gross Profit Margin | 0.08 | 0.08 |
Local Bounti Growth Indicators
Investing in growth stocks can be very risky. If the company such as Local Bounti does not do well, investors take a loss on the stock when it is time to sell. Also, because growth stocks typically do not pay dividends, the only opportunity an investor has to make money on their investment is when they eventually sell their shares.
| Common Stock Shares Outstanding | 7.9 M |
Local Bounti Current Valuation Indicators
Local Bounti's valuation analysis is a process of estimating the intrinsic value of all assets and outstanding equities. There are different methodologies and models we use to develop the final Local Bounti's valuation. The techniques such as discounted cash flow and fundamental indicators such as book value per share or market capitalization are well known and widely used across most financial advisers and money managers.
Valuations are an essential part of business, for companies themselves, but also for investors. For companies, such as Local Bounti, valuations can help measure their progress and success and can help them track their performance in the market compared to others. In addition, investors can use Local Bounti's valuations to help determine the worth of potential investments. They can do this by using data and information made public by a company. Regardless of who the valuation is for, it essentially describes Local Bounti's worth.When determining whether Local Bounti Corp is a strong investment it is important to analyze Local Bounti's competitive position within its industry, examining market share, product or service uniqueness, and competitive advantages. Beyond financials and market position, potential investors should also consider broader economic conditions, industry trends, and any regulatory or geopolitical factors that may impact Local Bounti's future performance. For an informed investment choice regarding Local Stock, refer to the following important reports: Check out Correlation Analysis to better understand how to build diversified portfolios, which includes a position in Local Bounti Corp. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in main economic indicators. You can also try the Bonds Directory module to find actively traded corporate debentures issued by US companies.
Is Packaged Foods & Meats space 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 Local Bounti. If investors know Local 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 Local Bounti listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Earnings Share (18.11) | Revenue Per Share 3.835 | Quarterly Revenue Growth 0.315 | Return On Assets (0.1) | Return On Equity (4.25) |
The market value of Local Bounti Corp is measured differently than its book value, which is the value of Local that is recorded on the company's balance sheet. Investors also form their own opinion of Local Bounti's value that differs from its market value or its book value, called intrinsic value, which is Local Bounti's 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 Local Bounti's market value can be influenced by many factors that don't directly affect Local Bounti's 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 Local Bounti's value and its price as these two are different measures arrived at by different means. Investors typically determine if Local Bounti is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Local Bounti's 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.