ScoreWhy is Live Oak Bancshares, Inc. ?
1
High Profitability with a Net Interest Margin of 16.98%
2
Healthy long term growth as Net Interest Income (ex other income) has grown by an annual rate of 0%
- OPERATING CASH FLOW(Y) Highest at USD 674.84 MM
- NII(Q) Highest at USD 109.22 MM
- NET SALES(Q) Highest at USD 224.28 MM
3
With ROA of 0.43%, it has a expensive valuation with a 1.25 Price to Book Value
- The stock is trading at a discount compared to its peers' average historical valuations
- Over the past year, while the stock has generated a return of -22.05%, its profits have fallen by -46.6%
4
Consistent Underperformance against the benchmark over the last 3 years
- Along with generating -22.05% returns in the last 1 year, the stock has also underperformed S&P 500 in each of the last 3 annual periods
Real-Time Research ReportHow much should you buy?
- Overall Portfolio exposure to Live Oak Bancshares, Inc. should be less than 10%
- Overall Portfolio exposure to Regional Banks should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Regional Banks)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Live Oak Bancshares, Inc. for you?
High Risk, Medium Return
Absolute
Risk Adjusted
Volatility
Live Oak Bancshares, Inc.
18.36%
0.27
41.17%
S&P 500
13.68%
0.70
20.15%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
25.79%
EBIT Growth (5y)
9.77%
EBIT to Interest (avg)
0
Debt to EBITDA (avg)
0
Net Debt to Equity (avg)
0
Sales to Capital Employed (avg)
0
Tax Ratio
0
Dividend Payout Ratio
5.38%
Pledged Shares
0
Institutional Holding
77.80%
ROCE (avg)
0
ROE (avg)
0
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
14
Industry P/E
Price to Book Value
1.21
EV to EBIT
3.09
EV to EBITDA
2.59
EV to Capital Employed
4.87
EV to Sales
0.36
PEG Ratio
0.40
Dividend Yield
NA
ROCE (Latest)
157.66%
ROE (Latest)
8.51%
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bearish
Mildly Bullish
RSI
No Signal
No Signal
Bollinger Bands
Mildly Bearish
Bearish
Moving Averages
Mildly Bullish (Daily)
KST
Mildly Bearish
Mildly Bullish
Dow Theory
No Trend
Mildly Bullish
OBV
No Trend
Mildly Bearish
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend28What is working for the Company
NII(Q)
Highest at USD 123.12 MM
NET SALES(Q)
Highest at USD 239.66 MM
CREDIT DEPOSIT RATIO(Q)
Highest at 4.19%
CASH AND EQV(HY)
Highest at USD 1,757.34 MM
PRE-TAX PROFIT(Q)
Highest at USD 62.04 MM
NET PROFIT(Q)
Highest at USD 46.31 MM
EPS(Q)
Highest at USD 0.95
-6What is not working for the Company
OPERATING CASH FLOW(Y)
Lowest at USD 78.56 MM
GROSS NPA (%)
(Q
DIVIDEND PAYOUT RATIO(Y)
Lowest at 3.16%
Here's what is working for Live Oak Bancshares, Inc.
Pre-Tax Profit
At USD 62.04 MM has Grown at 158.73%
over average net sales of the previous four periods of USD 23.98 MMMOJO Watch
Near term Pre-Tax Profit trend is very positive
Pre-Tax Profit (USD MM)
Net Profit
At USD 46.31 MM has Grown at 161.33%
over average net sales of the previous four periods of USD 17.72 MMMOJO Watch
Near term Net Profit trend is very positive
Net Profit (USD MM)
NII
Highest at USD 123.12 MM and Grown
In each period in the last five periodsMOJO Watch
The bank's income from core business is increasing
Net NPA
Net Sales
Highest at USD 239.66 MM and Grown
In each period in the last five periodsMOJO Watch
Near term sales trend is very positive
Net Sales (USD MM)
Credit Deposit Ratio
Highest at 4.19% and Grown
In each half year in the last four Semi-Annual periodsMOJO Watch
Bank has been creating proportionately higher loans against its deposits, thereby creating higher revenue generating assets
Credit Deposit Ratio (%)
Pre-Tax Profit
Highest at USD 62.04 MM
in the last five periodsMOJO Watch
Near term Pre-Tax Profit trend is positive
Pre-Tax Profit (USD MM)
Net Profit
Highest at USD 46.31 MM
in the last five periodsMOJO Watch
Near term Net Profit trend is positive
Net Profit (USD MM)
EPS
Highest at USD 0.95
in the last five periodsMOJO Watch
Increasing profitability; company has created higher earnings for shareholders
EPS (USD)
Cash and Eqv
Highest at USD 1,757.34 MM
in the last six Semi-Annual periodsMOJO Watch
Short Term liquidity is improving
Cash and Cash Equivalents
Here's what is not working for Live Oak Bancshares, Inc.
Operating Cash Flow
Lowest at USD 78.56 MM and Fallen
In each year in the last three yearsMOJO Watch
The company's cash revenues from business operations are falling
Operating Cash Flows (USD MM)
Non Performing Loans (%)
Highest at 4.19%
in the last four Semi-Annual periodsMOJO Watch
Proportion of stressed loans given by the bank are increasing
Non Performing Loans (%)
Dividend Payout Ratio
Lowest at 3.16%
in the last five yearsMOJO Watch
Company is distributing lower proportion of profits generated as dividend
DPR (%)
Non Operating Income
Highest at USD 0.38 MM
in the last five periodsMOJO Watch
Increased income from non business activities may not be sustainable
Non Operating income
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