📊 LAMR Key Takeaways
Is LAMR a Good Investment? Thesis Analysis
Lamar demonstrates exceptional profitability with 25.9% net margins and strong free cash flow generation of $683.2M annually, providing substantial financial flexibility. The company's 17.4x interest coverage and 57.3% ROE reflect disciplined capital allocation, though significant leverage (3.09x debt/equity) and modest 2.7% revenue growth indicate a mature, capital-intensive business facing modest expansion prospects.
Why Buy LAMR? Key Strengths
- Exceptional operating margins of 34.2% and net margins of 25.9% demonstrate pricing power and operational efficiency in outdoor advertising
- Strong free cash flow generation of $683.2M with 30.1% FCF margin, providing ample coverage of capital expenditures and debt service
- Excellent interest coverage ratio of 17.4x indicates strong ability to service $3.2B in long-term debt from operating earnings
- High return on equity of 57.3% and ROA of 8.5% demonstrate efficient capital deployment and earnings conversion
LAMR Investment Risks to Consider
- High leverage at 3.09x debt/equity with minimal cash position of $64.8M relative to $3.2B long-term debt creates refinancing risk in adverse markets
- Sluggish revenue growth of 2.7% YoY and near-flat net income growth of 0.1% YoY indicate business maturity with limited organic expansion opportunities
- Current ratio of 0.58x signals weak short-term liquidity despite strong operating cash flow, requiring continued operational performance
- Operating in declining medium of outdoor advertising with secular headwinds from digital alternatives and e-commerce penetration
Key Metrics to Watch
- Operating cash flow stability and free cash flow generation capability amid economic cycles
- Debt refinancing activity and interest rate environment impact on debt service costs
- Revenue growth trends by segment and pricing power maintenance in competitive advertising market
- Capital expenditure requirements and return on invested capital trends
LAMR Financial Metrics
💡 AI Analyst Insight
The 30.1% free cash flow margin provides substantial flexibility for dividends, buybacks, and strategic investments. The current ratio below 1.0x warrants monitoring of short-term liquidity.
LAMR Profitability Ratios
LAMR vs Default Sector
How LAMAR ADVERTISING CO/NEW compares to Default sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is LAMR Overvalued or Undervalued?
Based on fundamental analysis, LAMAR ADVERTISING CO/NEW has mixed fundamental signals relative to the Default sector in 2026.
Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.
LAMR Balance Sheet & Liquidity
LAMR 5-Year Financial Trend & Growth Analysis
5-Year Trend Summary: LAMAR ADVERTISING CO/NEW's revenue has grown significantly by 27% over the 5-year period, indicating strong business expansion. The most recent EPS of $4.85 reflects profitable operations.
LAMR Growth Metrics (YoY)
LAMR Quarterly Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q3 2025 | $564.1M | $141.8M | $1.40 |
| Q2 2025 | $565.3M | $137.4M | $1.34 |
| Q1 2025 | $498.2M | $78.2M | $0.76 |
| Q3 2024 | $542.6M | $140.0M | $1.37 |
| Q2 2024 | $541.1M | $130.6M | $1.28 |
| Q1 2024 | $471.3M | $76.0M | $0.74 |
| Q3 2023 | $527.4M | $140.0M | $1.37 |
| Q2 2023 | $517.9M | $130.6M | $1.28 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
LAMR Capital Allocation
LAMR SEC 10-K & 10-Q Filing Analysis
Access official SEC EDGAR filings for LAMAR ADVERTISING CO/NEW (CIK: 0001090425)
📋 Recent SEC Filings
❓ Frequently Asked Questions about LAMR
What is the AI rating for LAMR?
LAMAR ADVERTISING CO/NEW (LAMR) has an AI rating of BUY with 78% confidence, based on fundamental analysis of SEC EDGAR filings.
What are LAMR's key strengths?
Claude: Exceptional operating margins of 34.2% and net margins of 25.9% demonstrate pricing power and operational efficiency in outdoor advertising. Strong free cash flow generation of $683.2M with 30.1% FCF margin, providing ample coverage of capital expenditures and debt service.
What are the risks of investing in LAMR?
Claude: High leverage at 3.09x debt/equity with minimal cash position of $64.8M relative to $3.2B long-term debt creates refinancing risk in adverse markets. Sluggish revenue growth of 2.7% YoY and near-flat net income growth of 0.1% YoY indicate business maturity with limited organic expansion opportunities.
What is LAMR's revenue and growth?
LAMAR ADVERTISING CO/NEW reported revenue of $2.3B.
Does LAMR pay dividends?
LAMAR ADVERTISING CO/NEW pays dividends, with $655.9M distributed to shareholders in the trailing twelve months.
Where can I find LAMR SEC filings?
Official SEC filings for LAMAR ADVERTISING CO/NEW (CIK: 0001090425) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is LAMR's EPS?
LAMAR ADVERTISING CO/NEW has a diluted EPS of $5.77.
How is the AI analysis conducted?
Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined rating reflects both perspectives for balanced insights.
Is LAMR a good stock to buy right now?
Based on our AI fundamental analysis in April 2026, LAMAR ADVERTISING CO/NEW has a BUY rating with 78% confidence. The AI analysis suggests favorable fundamentals based on SEC filings. This is not investment advice.
Is LAMR stock overvalued or undervalued?
Valuation metrics for LAMR: ROE of 57.3% (sector avg: 15%), net margin of 25.9% (sector avg: 12%). Higher ROE suggests strong returns relative to peers.
Should I buy LAMR stock in 2026?
Our dual AI analysis gives LAMAR ADVERTISING CO/NEW a combined BUY rating for 2026. Revenue is data pending, with profitability above sector average. Always conduct your own research.
What is LAMR's free cash flow?
LAMAR ADVERTISING CO/NEW's operating cash flow is $864.0M, with capital expenditures of $180.8M. FCF margin is 30.1%.
How does LAMR compare to other Default stocks?
Vs Default sector averages: Net margin 25.9% (avg: 12%), ROE 57.3% (avg: 15%), current ratio 0.58 (avg: 1.8).