LPHI Investment Analysis Report & Stock Research, Life Partners Holdings, Inc.

Life Partners Holdings, Incorporated (LPHI)

LPHI Stock Report

2-Year Price History

View Larger LPHI Chart
NASDAQ:LPHI
$22.68
(3/19 4:00PM)
-1.1%
Open$22.97 Mkt Cap$337.0 Million
High$22.97 52Wk High$24.32
Low$22.2 52Wk Low$13.61
Volume135,851 Avg Vol 10D281,600

Ockham's Rating/Recommendation Summary

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LPHI Revenue

Cash earnings is the most important factor in our analysis, but it goes without saying that if a company cannot produce sales then there is no ability to generate cash flow. By that logic we look very closely at revenue numbers as our second most important factor in valuing a company's stock. We have established reasonable Price to Sales per share ranges based on historical data of the last 10 years. For, LPHI the high and low end of the Price to Sales per share ratios are 6.10x and 1.98x respectively.

Notice that LPHI's current Price to Sales per share ratio is 4.58x, which is slightly above its historical average. This level of Price to Sales gives us a fairly neutral position on the shares. We would like to see a drop in the Price to Sales ratio of 13% given current sales figures before we would become more positive on a Price to Sales basis. Such a drop would put Price to Sales per share in line with LPHI's weighted historical average.

LPHI Cash Earnings

As a value investment framework, Ockham Research is similar to a private equity firm in terms of our valuation methods. We are always on the lookout for value in the form of sales and cash numbers. In the case of LPHI, Ockham views their current Cash Earnings as significantly below their historical average multiples of Cash Earnings, as calculated by our proprietary analysis. It is incredibly important to understand that for LPHI, the current level of Cash Earnings compared to its historical levels helps identify where LPHI is in relation to what the investing community was willing to pay for this level of Cash Earnings in the past. With a historical high Cash Earnings per share ratio of 30.78 and a historical low Cash Earnings per share ratio of 10.54, an investor can relate where value becomes optimal.

So what does "significantly below" mean when we talk about Price to Cash Earnings numbers for LPHI? From the Ockham perspective, we are looking specifically at LPHI to see if the market is recognizing the huge disparity between LPHI's past stock price to Cash Earnings ratio to today's levels. At a difference of 47% below the average historical Price to Cash Earnings ratio, our view would be quite positive at this point. However, as with all metrics, we need to also take other factors into account when looking at LPHI. While we view better Cash Earnings metrics as very important, if the market is slow to identify this value, or if Cash Earnings were to fall from these levels, we would become more neutral in our stance.

LPHI Dividends

A positive Ockham rating does not require a company to pay out an inviting dividend or a dividend at all. However, we believe dividends provide a useful measure of a company's inherent expectations.

Comparable to our analysis of Sales and Cash Earnings per share, we examine dividend yields from LPHI against the historic high and low levels over an available data range. Because LPHI has an established history of paying a dividend to shareholders, there is value in comparing recent dividends to historical dividends. In LPHI’s case, the estimated annual dividend is $1.00 producing a current dividend yield of 4.37%. The highest dividend yield from LPHI in recent history was 7.35% while the lowest dividend yield was 0.00%. It's hard not to notice that LPHI pays a current dividend yield that is 18.91% above the historical median. This peaks our interest since our analysis looks favorably upon dividend yields that are greater than the historical median.

Peer Comparison

:

Life Partners Holdings, Inc. Industry Grouping

(3/19/2010)
Company Ticker Market Cap (Ml) Latest
Price
Price/Cash Earnings Price/Sales 5-Yr. Rev.
Growth Rate
5-Yr.
Avg. ROE.
Current 10-Yr. Range* Current 10-Yr. Range*
Peer Company Averages (not including LPHI) 21.00 4.74 » 45.18 3.18 1.20 » 8.98 14.87% 12.28%
*10 year range does not include current year values
Advance America Cash Advance Centers, Inc. AEA $365.6 Million $5.88 7.44 0.90 » 31.09 0.62 0.08 » 3.50 2.57% 22.78%
Oppenheimer Holdings, Inc. - Shs -A- Non-Voting OPY $338.8 Million $25.58 17.93 4.54 » 63.98 0.37 0.09 » 1.39 7.72% 8.21%
Life Partners Holdings, Inc. LPHI $337.0 Million $22.68 11.00 5.02 » 53.33 4.58 1.20 » 18.67 46.04% 50.44%
MVC Capital, Inc. MVC $334.6 Million $13.77 22.47 3.98 » 21.40 9.02 3.40 » 13.76 n/a 13.92%
Gamco Investors, Inc. GBL $331.8 Million $45.86 53.21 13.35 » 81.48 5.49 2.37 » 9.88 -2.07% 14.12%
BGC Partners Inc. BGCP $321.6 Million $5.70 3.96 0.91 » 27.94 0.42 0.05 » 16.39 51.26% 2.36%
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Squawk On The Street

Life Partners Holdings, Incorporated (LPHI) Discussed on CNBC's Squawk On The Street

Life Partners Holdings, Incorporated is in the news. Find out how this impacts LPHI trading on Ockham Research.

Here at the big board, orion marine group, ticker orn, celebrating its transfer to the at the nasdaq, life partner holdings, ticker LPHI. >> there had been a plethora of health care related companies at the nasdaq of late. Who knows whether that's random of not.

“… of not. …”

Mad Money

Life Partners Holdings, Incorporated (LPHI) Discussed on CNBC's Mad Money

Life Partners Holdings, Incorporated is in the news. Find out how this impacts LPHI trading on Ockham Research.

There because so much wealth has already been destroyed and so many people would find gambling or when someone dies to be LIFE PARTNERS have so far made its money by charging investors a $500 commission, much higher than the industry standard. These are much harder to sustain in this environment. Here's the bottom line. The great technician of ibd, investor's business daily, I read it every day say that the big institutional investors are selling LIFE PARTNERS. That volume spike. We know the insiders are selling and if I own it even though it was down a lot very quickly, I stay with cramer.

“… uch harder to sustain in this environment. Here's the bottom line. The great technician of ibd, investor's business daily, I read it every day say that the big institutional investors are selling LIFE PARTNERS. That volume spike. We know the insiders are selling and if I own it even though it was down a lot very quickly, I stay with cramer. …”

Mad Money

Life Partners Holdings, Incorporated (LPHI) Discussed on CNBC's Mad Money

Life Partners Holdings, Incorporated is in the news. Find out how this impacts LPHI trading on Ockham Research.

That actually trade the high, not every time, but the companies are facing pending legal issues in florida and in december skm, just a month and a half ago the securities commission of colorado won a court case against LIFE PARTNERS which ruled their investment products trading life insurance policies called viatical investments were securities, and more states do this, I have a

“… stment products trading life insurance policies called viatical investments were securities, and more states do this, I have a …”

Mad Money

Life Partners Holdings, Incorporated (LPHI) Discussed on CNBC's Mad Money

Life Partners Holdings, Incorporated is in the news. Find out how this impacts LPHI trading on Ockham Research.

Warren buffett and ahmadinejad, you know the iran anyway. I have to agree with the technicals on this one, I think LIFE PARTNERS has the feel of a broken momentum stock. It is not a chance to get in on a great trend at a lower price. When we do fundamentals, we're talking with a stock, a really

“… ls, we're talking with a stock, a really …”

Mad Money

Life Partners Holdings, Incorporated (LPHI) Discussed on CNBC's Mad Money

Life Partners Holdings, Incorporated is in the news. Find out how this impacts LPHI trading on Ockham Research.

January, so the stock was holding up. This is this little area right I want you to think of this as a trampoline, okay in underneath a tightrope walker, but then last week LIFE PARTNERS, we'll clear that again, last week LIFE PARTNERS, you canny is it from this one started retreating below its ten-week moving average on larger than average that's another sign to chart watchers that big institutions are selling. Trampoline taken away. LIFE PARTNERS has continued to drop even further below its 10-week now offing average on LIFE PARTNERS has on i'd like to see the other chart, please. See this volume? It's a big, big volume strike and that roll row marys to the that indicates that the big

“… m this one started retreating below its ten-week moving average on larger than average that's another sign to chart watchers that big institutions are selling. Trampoline taken away. LIFE PARTNERS has continued to drop even further below its 10-week now offing average on LIFE PARTNERS has on i'd like to see the other chart, please. See this volume? It's a big, big volume strike and that roll row marys to the that indicates that the big …”

Mad Money

Life Partners Holdings, Incorporated (LPHI) Discussed on CNBC's Mad Money

Life Partners Holdings, Incorporated is in the news. Find out how this impacts LPHI trading on Ockham Research.

People in the know. And when the big money starts leaving that's usually a good time for you, the individual okay, now take a lock at the chart again from ibd. At first, LIFE PARTNERS found support. Let me just clear that. At first, like partners found support long the ten-week moving it's technical mum bo jumbo

“… pport long the ten-week moving it's technical mum bo jumbo …”

Mad Money

Life Partners Holdings, Incorporated (LPHI) Discussed on CNBC's Mad Money

Life Partners Holdings, Incorporated is in the news. Find out how this impacts LPHI trading on Ockham Research.

Precede what's known as a false or failed breakout. Something that's happened to a lot of stocks lately is the averages have been crushed and given you all of the terminology so you can play this game at LIFE PARTNERS rallied for less than a week or for pulling back on huge volume during the weekending january 9th. This is big volume to a technician, these large pullbacks are clue that big

“… ulling back on huge volume during the weekending january 9th. This is big volume to a technician, these large pullbacks are clue that big …”

Mad Money

Life Partners Holdings, Incorporated (LPHI) Discussed on CNBC's Mad Money

Life Partners Holdings, Incorporated is in the news. Find out how this impacts LPHI trading on Ockham Research.

I subscribed to ibt because I like their technical arc ml sis so far. It taught mow a great deal about the technicals and the fundamentals particularly of growth stocks like LIFE PARTNERS. What do the chart watchers from investors business daily think of this one. Take a look at LIFE PARTNERS. This is taken directly from ibd. Keep in mind, this is a small, thinly-traded stock with a market capitalization of 338 million and only 143,000 shares trade hands on an average day. So this is the chart of life now to use authentic charter gibberish, LIFE PARTNERS stage a technical breakout on heavy volume during the week that ended on january 2nd. Right here. That's the technical breakout. >> according to schreef, the base was wide and loose,

“… this one. Take a look at LIFE PARTNERS. This is taken directly from ibd. Keep in mind, this is a small, thinly-traded stock with a market capitalization of 338 million and only 143,000 shares trade hands on an average day. So this is the chart of life now to use authentic charter gibberish, LIFE PARTNERS stage a technical breakout on heavy volume during the week that ended on january 2nd. Right here. That's the technical breakout. >> according to schreef, the base was wide and loose, …”

Mad Money

Life Partners Holdings, Incorporated (LPHI) Discussed on CNBC's Mad Money

Life Partners Holdings, Incorporated is in the news. Find out how this impacts LPHI trading on Ockham Research.

About a company before they sell it you want to make your own call about the morality of it. This may look like a low life form of capitalism, but from a business perspective, LIFE PARTNERS has been a tremendous growth story with sales increasing at a 39% clip in each of the past eight quarters and earnings up 39% in the most recent quarter so it's a sexy story that's working. Now we don't care about what LIFE PARTNERS does right now. We care about where its stock is going and according to ken schreef, a tremendous team of technical analysts from

“… clip in each of the past eight quarters and earnings up 39% in the most recent quarter so it's a sexy story that's working. Now we don't care about what LIFE PARTNERS does right now. We care about where its stock is going and according to ken schreef, a tremendous team of technical analysts from …”

Mad Money

Life Partners Holdings, Incorporated (LPHI) Discussed on CNBC's Mad Money

Life Partners Holdings, Incorporated is in the news. Find out how this impacts LPHI trading on Ockham Research.

Analysis that's posted right now on cnbc.Com. I say all this because in today's sell block we're anything to go off the charts to lock at a company called LIFE PARTNERS holding, lthi. It's too sichl liftic to call it there, but to boil it down for a success, it's a life insurance

“… ss, it's a life insurance …”

View All Life Partners Holdings, Inc. Stock News

Key Fundamentals

LPHI - Life Partners Holdings, Incorporated Fundamentals
Price (3/19 4:00PM) $22.68
Volume (3/19 4:00PM) 135,851
Last Close Price $22.93
10 Day Average Volume 281,600
13 Week Price Range $18.92 - $24.32
52 Week Price Range $13.61 - $24.32
LTM Revenue $74.2 Million
 
Shares Outstanding (02/2009) 14.9 Million
Market Capitalization $337.0 Million
Shares Held By Institutions 4.4 Million
Institutional Holders 98
% Shares Held By Institutions 29.30%
Earnings Per Share (EPS) $1.83
P/E Ratio 11.00
Book Value Per Share $3.79
 
Gross Margin 84.10%
Annual Dividend 1.00
Dividend Yield 4.40%
Beta 1.08
Fiscal Year Ends February

About Life Partners Holdings, Inc.

Life Partners Holdings, Incorporated is considered to operate in the Financial sector. They specifically operate in the Diversified Investments business segment contained within the Financial Services industry.

The company, through its subsidiary, operates as a financial services company that provides purchasing services for life settlements to its client base.