Loading...

We've got a brand new version of Simply Wall St! Try it out

Lawson Products

Nasdaq:LAWS
Snowflake Description

Flawless balance sheet with acceptable track record.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
LAWS
Nasdaq
$466M
Market Cap
  1. Home
  2. US
  3. Capital Goods
Company description

Lawson Products, Inc. distributes products and services to the industrial, commercial, institutional, and government maintenance, repair, and operations marketplace in the United States, Puerto Rico, Canada, Mexico, and the Caribbean. The last earnings update was 48 days ago. More info.


Add to Portfolio Compare Print
  • Lawson Products has significant price volatility in the past 3 months.
LAWS Share Price and Events
7 Day Returns
4.4%
NasdaqGS:LAWS
2.1%
US Trade Distributors
1.1%
US Market
1 Year Returns
77.3%
NasdaqGS:LAWS
21.8%
US Trade Distributors
17.8%
US Market
LAWS Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Lawson Products (LAWS) 4.4% 9.4% 26.1% 77.3% 119% 131.3%
US Trade Distributors 2.1% -1.7% 7.1% 21.8% 24% 33.5%
US Market 1.1% 1.4% 3.9% 17.8% 35.4% 52.4%
1 Year Return vs Industry and Market
  • LAWS outperformed the Trade Distributors industry which returned 21.8% over the past year.
  • LAWS outperformed the Market in United States of America which returned 17.8% over the past year.
Price Volatility
LAWS
Industry
5yr Volatility vs Market

Value

 Is Lawson Products undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of Lawson Products to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for Lawson Products.

NasdaqGS:LAWS Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 2 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 7.1%
Perpetual Growth Rate 10-Year US Government Bond Rate 1.7%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for NasdaqGS:LAWS
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year US Govt Bond Rate 1.7%
Equity Risk Premium S&P Global 5.4%
Trade Distributors Unlevered Beta Simply Wall St/ S&P Global 0.95
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.947 (1 + (1- 21%) (3.51%))
0.982
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
0.98
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 1.74% + (0.982 * 5.44%)
7.08%

Discounted Cash Flow Calculation for NasdaqGS:LAWS using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for Lawson Products is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.

Note: Free cash flow to equity valuations ignore the company's cash or debt.

NasdaqGS:LAWS DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (USD, Millions) Source Present Value
Discounted (@ 7.08%)
2020 19.10 Est @ 19.79% 17.84
2021 21.85 Est @ 14.38% 19.05
2022 24.16 Est @ 10.59% 19.67
2023 26.08 Est @ 7.93% 19.83
2024 27.66 Est @ 6.07% 19.64
2025 28.98 Est @ 4.77% 19.22
2026 30.10 Est @ 3.86% 18.64
2027 31.07 Est @ 3.23% 17.97
2028 31.93 Est @ 2.78% 17.25
2029 32.72 Est @ 2.47% 16.51
Present value of next 10 years cash flows $185.00
NasdaqGS:LAWS DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2029 × (1 + g) ÷ (Discount Rate – g)
= $32.72 × (1 + 1.74%) ÷ (7.08% – 1.74%)
$623.02
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= $623.02 ÷ (1 + 7.08%)10
$314.24
NasdaqGS:LAWS Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= $185.00 + $314.24
$499.24
Equity Value per Share
(USD)
= Total value / Shares Outstanding
= $499.24 / 8.96
$55.74
NasdaqGS:LAWS Discount to Share Price
Calculation Result
Value per share (USD) From above. $55.74
Current discount Discount to share price of $52.33
= -1 x ($52.33 - $55.74) / $55.74
6.1%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

Current Discount
Amount off the current price Lawson Products is available for.
Intrinsic value
6%
Share price is $52.33 vs Future cash flow value of $55.74
Current Discount Checks
For Lawson Products to be considered undervalued it must be available for at least 20% below the current price. Less than 40% is even better.
  • Lawson Products's share price is below the future cash flow value, but not at a moderate discount (< 20%).
  • Lawson Products's share price is below the future cash flow value, but not at a substantial discount (< 40%).
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for Lawson Products's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Lawson Products's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
NasdaqGS:LAWS PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2019-09-30) in USD $1.43
NasdaqGS:LAWS Share Price ** NasdaqGS (2019-12-11) in USD $52.33
United States of America Trade Distributors Industry PE Ratio Median Figure of 41 Publicly-Listed Trade Distributors Companies 17.96x
United States of America Market PE Ratio Median Figure of 2,928 Publicly-Listed Companies 18.42x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of Lawson Products.

NasdaqGS:LAWS PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= NasdaqGS:LAWS Share Price ÷ EPS (both in USD)

= 52.33 ÷ 1.43

36.55x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Lawson Products is overvalued based on earnings compared to the US Trade Distributors industry average.
  • Lawson Products is overvalued based on earnings compared to the United States of America market.
Price based on expected Growth
Does Lawson Products's expected growth come at a high price?
Raw Data
NasdaqGS:LAWS PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 36.55x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 2 Analysts
42.2%per year
United States of America Trade Distributors Industry PEG Ratio Median Figure of 33 Publicly-Listed Trade Distributors Companies 1.06x
United States of America Market PEG Ratio Median Figure of 2,039 Publicly-Listed Companies 1.49x

*Line of best fit is calculated by linear regression .

NasdaqGS:LAWS PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 36.55x ÷ 42.2%

0.87x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Lawson Products is good value based on expected growth next year.
Price based on value of assets
What value do investors place on Lawson Products's assets?
Raw Data
NasdaqGS:LAWS PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2019-09-30) in USD $12.61
NasdaqGS:LAWS Share Price * NasdaqGS (2019-12-11) in USD $52.33
United States of America Trade Distributors Industry PB Ratio Median Figure of 51 Publicly-Listed Trade Distributors Companies 1.66x
United States of America Market PB Ratio Median Figure of 5,092 Publicly-Listed Companies 1.78x
NasdaqGS:LAWS PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= NasdaqGS:LAWS Share Price ÷ Book Value per Share (both in USD)

= 52.33 ÷ 12.61

4.15x

* Primary Listing of Lawson Products.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Lawson Products is overvalued based on assets compared to the US Trade Distributors industry average.
X
Value checks
We assess Lawson Products's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Trade Distributors industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Trade Distributors industry average (and greater than 0)? (1 check)
  5. Lawson Products has a total score of 1/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

Future Performance

 How is Lawson Products expected to perform in the next 1 to 3 years based on estimates from 2 analysts?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
42.2%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Lawson Products expected to grow at an attractive rate?
  • Lawson Products's earnings growth is expected to exceed the low risk savings rate of 1.7%.
Growth vs Market Checks
  • Lawson Products's earnings growth is expected to exceed the United States of America market average.
  • Lawson Products's revenue growth is positive but not above the United States of America market average.
Annual Growth Rates Comparison
Raw Data
NasdaqGS:LAWS Future Growth Rates Data Sources
Data Point Source Value (per year)
NasdaqGS:LAWS Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 2 Analysts 42.2%
NasdaqGS:LAWS Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 2 Analysts 3.4%
United States of America Trade Distributors Industry Earnings Growth Rate Market Cap Weighted Average 13.2%
United States of America Trade Distributors Industry Revenue Growth Rate Market Cap Weighted Average 4.6%
United States of America Market Earnings Growth Rate Market Cap Weighted Average 14.2%
United States of America Market Revenue Growth Rate Market Cap Weighted Average 7.4%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
NasdaqGS:LAWS Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (2 months ago) See Below
Future Estimates Average of up to 2 Analyst Estimates (S&P Global) See Below
All numbers in USD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
NasdaqGS:LAWS Future Estimates Data
Date (Data in USD Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2020-12-31 385 19 2
2019-12-31 372 12 2
2019-12-11
NasdaqGS:LAWS Past Financials Data
Date (Data in USD Millions) Revenue Cash Flow Net Income *
2019-09-30 368 18 13
2019-06-30 362 16 7
2019-03-31 357 12 9
2018-12-31 350 20 6
2018-09-30 344 14 24
2018-06-30 331 14 26
2018-03-31 316 8 30
2017-12-31 306 7 30
2017-09-30 293 7 5
2017-06-30 287 2 5
2017-03-31 281 6 -2
2016-12-31 277 9 -2

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Lawson Products's earnings are expected to grow significantly at over 20% yearly.
  • Lawson Products's revenue is expected to grow by 3.4% yearly, however this is not considered high growth (20% yearly).
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
NasdaqGS:LAWS Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (2 months ago) See Below
Future Estimates Average of up to 2 Analyst Estimates (S&P Global) See Below

All data from Lawson Products Company Filings, last reported 2 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NasdaqGS:LAWS Future Estimates Data
Date (Data in USD Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2020-12-31 2.06 2.20 1.91 2.00
2019-12-31 1.29 1.38 1.20 2.00
2019-12-11
NasdaqGS:LAWS Past Financials Data
Date (Data in USD Millions) EPS *
2019-09-30 1.43
2019-06-30 0.81
2019-03-31 1.02
2018-12-31 0.70
2018-09-30 2.68
2018-06-30 2.92
2018-03-31 3.39
2017-12-31 3.35
2017-09-30 0.54
2017-06-30 0.60
2017-03-31 -0.20
2016-12-31 -0.19

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Unable to establish if Lawson Products will efficiently use shareholders’ funds in the future without estimates of Return on Equity.
X
Future performance checks
We assess Lawson Products's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the United States of America market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the United States of America market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
Lawson Products has a total score of 3/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

Past Performance

  How has Lawson Products performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare Lawson Products's growth in the last year to its industry (Trade Distributors).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • Lawson Products has delivered over 20% year on year earnings growth in the past 5 years.
  • Lawson Products's 1-year earnings growth is negative, it can't be compared to the 5-year average.
  • Lawson Products's 1-year earnings growth is negative, it can't be compared to the US Trade Distributors industry average.
Earnings and Revenue History
Lawson Products's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from Lawson Products Company Filings, last reported 2 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NasdaqGS:LAWS Past Revenue, Cash Flow and Net Income Data
Date (Data in USD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2019-09-30 368.49 12.83 177.71
2019-06-30 362.24 7.24 183.27
2019-03-31 356.52 9.12 178.93
2018-12-31 349.64 6.21 179.93
2018-09-30 344.00 23.85 183.66
2018-06-30 331.13 25.99 178.92
2018-03-31 315.75 30.07 178.02
2017-12-31 305.91 29.69 177.80
2017-09-30 292.59 4.81 174.33
2017-06-30 287.14 5.31 169.60
2017-03-31 281.48 -1.79 169.42
2016-12-31 276.57 -1.63 166.54
2016-09-30 274.22 -0.67 163.84
2016-06-30 274.26 -0.07 164.19
2016-03-31 275.64 2.69 162.26
2015-12-31 275.83 0.30 164.50
2015-09-30 281.15 0.99 169.75
2015-06-30 285.04 -0.98 173.08
2015-03-31 286.39 -3.11 174.95
2014-12-31 285.69 -6.06 174.20
2014-09-30 281.15 -6.63 169.60
2014-06-30 275.26 -6.91 165.13
2014-03-31 271.49 -7.70 163.53
2013-12-31 269.50 -6.98 164.63
2013-09-30 268.27 -2.18 162.19
2013-06-30 267.90 -3.92 165.64
2013-03-31 269.41 -65.46 169.85
2012-12-31 273.56 -64.03 170.08

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • Lawson Products has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • Lawson Products used its assets more efficiently than the US Trade Distributors industry average last year based on Return on Assets.
  • Lawson Products has significantly improved its use of capital last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess Lawson Products's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Trade Distributors industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
Lawson Products has a total score of 3/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

Health

 How is Lawson Products's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up Lawson Products's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Lawson Products is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • Lawson Products's cash and other short term assets cover its long term commitments.
Balance sheet
This treemap shows a more detailed breakdown of Lawson Products's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • High level of physical assets or inventory.
  • Debt is covered by short term assets, assets are 51.8x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from Lawson Products Company Filings, last reported 2 months ago.

NasdaqGS:LAWS Past Debt and Equity Data
Date (Data in USD Millions) Total Equity Total Debt Cash & Short Term Investments
2019-09-30 112.98 2.20 8.63
2019-06-30 109.33 8.82 6.92
2019-03-31 106.60 13.13 3.60
2018-12-31 99.17 10.82 11.88
2018-09-30 98.02 9.92 7.66
2018-06-30 97.45 16.07 5.99
2018-03-31 93.57 17.90 4.36
2017-12-31 93.49 14.54 4.42
2017-09-30 72.66 0.00 19.04
2017-06-30 70.70 0.00 11.12
2017-03-31 62.31 1.80 7.97
2016-12-31 61.13 0.84 10.42
2016-09-30 65.94 0.00 10.66
2016-06-30 64.06 0.18 8.87
2016-03-31 63.52 2.23 10.07
2015-12-31 61.26 0.93 10.77
2015-09-30 65.60 0.00 7.78
2015-06-30 63.60 0.00 5.35
2015-03-31 60.27 0.00 1.99
2014-12-31 61.86 0.00 4.21
2014-09-30 64.50 0.00 1.08
2014-06-30 64.23 2.45 1.59
2014-03-31 62.87 11.64 0.99
2013-12-31 65.91 16.08 0.70
2013-09-30 69.01 18.32 0.42
2013-06-30 67.94 23.27 0.28
2013-03-31 67.61 19.84 1.34
2012-12-31 70.73 16.13 1.64
  • Lawson Products's level of debt (1.9%) compared to net worth is satisfactory (less than 40%).
  • Lawson Products had negative shareholder equity 5 years ago, it is now positive therefore their debt level has improved.
  • Debt is well covered by operating cash flow (821.8%, greater than 20% of total debt).
  • Interest payments on debt are well covered by earnings (EBIT is 25.7x coverage).
X
Financial health checks
We assess Lawson Products's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. Lawson Products has a total score of 6/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

Dividends

 What is Lawson Products's current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
0%
Current annual income from Lawson Products dividends.
If you bought $2,000 of Lawson Products shares you are expected to receive $0 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Unable to evaluate Lawson Products's dividend yield against the bottom 25% of dividend payers as the company has not reported any payouts.
  • Unable to evaluate Lawson Products's dividend against the top 25% market benchmark as the company has not reported any payouts.
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
NasdaqGS:LAWS Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 2 Analyst Estimates (S&P Global) See Below
United States of America Trade Distributors Industry Average Dividend Yield Market Cap Weighted Average of 15 Stocks 2.6%
United States of America Market Average Dividend Yield Market Cap Weighted Average of 1962 Stocks 2.3%
United States of America Minimum Threshold Dividend Yield 10th Percentile 0.8%
United States of America Bottom 25% Dividend Yield 25th Percentile 1.4%
United States of America Top 25% Dividend Yield 75th Percentile 3.7%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

NasdaqGS:LAWS Future Dividends Estimate Data
Date (Data in $) Dividend per Share (annual) Avg. No. Analysts
2020-12-31
2019-12-31
2019-12-11
NasdaqGS:LAWS Past Annualized Dividends Data
Date (Data in $) Dividend per share (annual) Avg. Yield (%)
2014-04-24 0.000 0.000
2014-02-20 0.000 0.000
2013-10-24 0.000 0.000
2013-07-25 0.000 0.000
2013-04-25 0.000 0.000
2013-02-26 0.000 0.000
2013-02-21 0.000 0.000
2012-08-17 0.000 0.000
2012-05-15 0.480 5.044
2012-03-13 0.480 3.340
2011-12-06 0.480 2.961
2011-08-16 0.480 3.117
2011-05-10 0.480 2.540
2011-03-15 0.480 2.147
2010-12-07 0.480 2.025
2010-07-28 0.240 1.441
2010-07-27 0.240 1.351
2010-02-25 0.180 1.157
2009-12-08 0.240 1.431
2009-08-27 0.240 1.443
2009-05-20 0.120 0.822
2009-03-17 0.120 1.012
2009-03-12 0.120 0.838
2009-03-11 0.120 0.834

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Unable to perform a dividend volatility check as Lawson Products has not reported any payouts.
  • Unable to verify if Lawson Products's dividend has been increasing as the company has not reported any payouts.
Current Payout to shareholders
What portion of Lawson Products's earnings are paid to the shareholders as a dividend.
  • Unable to calculate sustainability of dividends as Lawson Products has not reported any payouts.
Future Payout to shareholders
  • Insufficient estimate data to determine if a dividend will be paid in 3 years and that it will be sustainable.
X
Income/ dividend checks
We assess Lawson Products's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 0.8%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can Lawson Products afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Lawson Products has a total score of 0/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

Management

 What is the CEO of Lawson Products's salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Mike DeCata
COMPENSATION $3,187,184
AGE 61
TENURE AS CEO 7.3 years
CEO Bio

Mr. Michael G. DeCata, also known as Mike, has been the Chief Executive Officer and President of Lawson Products, Inc. since September 24, 2012. Mr. DeCata serves as an Executive Affiliate at Hamilton Robinson Capital Partners LLC and focuses on distribution industry. Mr. DeCata has experience in distribution industry. Mr. DeCata served as the President of the Chefs' Warehouse from 2006 to 2009. His prior experience includes leading the Contractor Supplies Division and the Fleet Operations of United Rentals. Mr. DeCata served as a Vice President of Fleet Operations of United Rentals Inc. He joined United Rentals in 2003. From 1997 to 2002, he led the eastern region of W.W. Grainer, Inc. Mr. DeCata served at W.W. Grainger, where he served several senior management positions, including Vice President of Eastern Region and Corporate Officer. He began his career at General Electric Co. and worked in a variety of cross-functional as well as cross-business roles including positions at GE Plastics, Industrial Automation Systems, GE Capital (TIP trailer rental & Modular Space), GE Semiconductor, GE Robotics and GE Power Systems with responsibilities in the areas of marketing, sales, global quality, sourcing operations and engineering from 1979 until 1997. He served as a Director of Crescent Electric Supply Company from 2008 to 2013. Prior to that, Mr. DeCata worked in private equity, conducting acquisition analysis and due diligence for private equity firms in New York, Connecticut and Boston from 2009 to 2012. He has been a Director of Lawson Products Inc. since 2013. Mr. DeCata has a Mechanical Engineering degree from Clarkson University.

CEO Compensation
  • Mike's compensation has increased by more than 20% whilst company earnings have fallen more than 20% in the past year.
  • Mike's remuneration is higher than average for companies of similar size in United States of America.
Management Team Tenure

Average tenure and age of the Lawson Products management team in years:

4
Average Tenure
58
Average Age
  • The tenure for the Lawson Products management team is about average.
Management Team

Mike DeCata

TITLE
President
COMPENSATION
$3M
AGE
61
TENURE
7.3 yrs

Ron Knutson

TITLE
Executive VP
COMPENSATION
$964K
AGE
55
TENURE
10.1 yrs

Neil Jenkins

TITLE
Executive VP
COMPENSATION
$1M
AGE
69
TENURE
15.9 yrs

Rick Pufpaf

TITLE
Chief Compliance Officer
TENURE
3 yrs

Elizabeth Abrahamson

TITLE
Vice President of Marketing & Continuous Improvement
TENURE
4 yrs

Matt Brown

TITLE
Senior Vice President of Sales
COMPENSATION
$556K
AGE
55
TENURE
2.8 yrs

Sue Eaglebarger

TITLE
Vice President of Human Resources

Shane McCarthy

TITLE
Senior Vice President of Supply Chain & Business Development
COMPENSATION
$650K
AGE
50
TENURE
4 yrs

Kurt Mario

TITLE
President of Bolt Supply House
TENURE
1.2 yrs

Jerome Shaffer

TITLE
Vice President and Special Advisor to Chief Executive Officer
COMPENSATION
$259K
AGE
91
TENURE
15.9 yrs
Board of Directors Tenure

Average tenure and age of the Lawson Products board of directors in years:

2.8
Average Tenure
60
Average Age
  • The average tenure for the Lawson Products board of directors is less than 3 years, this suggests a new board.
Board of Directors

John King

TITLE
Independent Chairman
COMPENSATION
$150K
AGE
48
TENURE
0.8 yrs

Mike DeCata

TITLE
President
COMPENSATION
$3M
AGE
61
TENURE
6.9 yrs

Lee Hillman

TITLE
Lead Independent Director
COMPENSATION
$190K
AGE
64
TENURE
2.8 yrs

Tom Postek

TITLE
Independent Director
COMPENSATION
$170K
AGE
77
TENURE
14.3 yrs

I. Edelson

TITLE
Independent Director
COMPENSATION
$150K
AGE
60
TENURE
10.1 yrs

Mark Moon

TITLE
Independent Director
AGE
55
TENURE
0.9 yrs

Charley Hale

TITLE
Independent Director
AGE
52
TENURE
0.9 yrs
Who owns this company?
Recent Insider Trading
  • More shares have been bought than sold by Lawson Products individual insiders in the past 3 months.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price ($) Value ($)
19. Nov 19 Buy Michael DeCata Individual 19. Nov 19 19. Nov 19 1,000 $47.50 $47,500
08. Nov 19 Buy Michael DeCata Individual 06. Nov 19 06. Nov 19 608 $46.49 $28,268
14. Jun 19 Buy Mark Moon Individual 13. Jun 19 13. Jun 19 1,696 $34.92 $59,233
06. Jun 19 Sell Shane McCarthy Individual 05. Jun 19 05. Jun 19 -2,478 $36.18 $-89,654
23. May 19 Sell Shane McCarthy Individual 21. May 19 21. May 19 -1,636 $38.93 $-63,689
19. Apr 19 Sell Wilma Smelcer Individual 17. Apr 19 17. Apr 19 -37,707 $32.00 $-1,206,624
18. Apr 19 Buy Luther King Capital Management Corporation Company 17. Apr 19 17. Apr 19 37,707 $32.00 $1,206,624
23. Jan 19 Buy Ronald Port Individual 17. Dec 18 17. Dec 18 1,713,787 $32.00 $54,841,184
23. Jan 19 Sell James Errant Individual 18. Jan 19 18. Jan 19 -395,943 $32.00 $-12,670,176
23. Jan 19 Sell Ronald Port Individual 18. Jan 19 18. Jan 19 -867,414 $32.00 $-27,757,248
22. Jan 19 Buy Luther King Capital Management Corporation Company 18. Jan 19 18. Jan 19 1,723,787 $32.00 $55,161,184
X
Management checks
We assess Lawson Products's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. Lawson Products has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

News

Simply Wall St News

Why Lawson Products Inc (NASDAQ:LAWS) Could Be Your Next Investment

As an investor, I look for investments which does not compromise one fundamental factor for another. … By this I mean, I look at stocks holistically, from their financial health to their future outlook. … is a company with great financial health as well as a.

Simply Wall St -

Does Lawson Products Inc's (NASDAQ:LAWS) P/E Ratio Signal A Buying Opportunity?

This article is written for those who want to get better at using price to earnings ratios (P/E ratios). … Lawson Products has a price to earnings ratio of 11.82, based on the last twelve months. … Price to Earnings Ratio = Share Price ÷ Earnings per Share (EPS)

Simply Wall St -

Lawson Products Inc (NASDAQ:LAWS) Investors Are Paying Above The Intrinsic Value

Today I will be providing a simple run through of a valuation method used to estimate the attractiveness of Lawson Products Inc (NASDAQ:LAWS) as an investment opportunity. … by taking the expected future cash flows and discounting them to today's value. … Discounted Cash Flows (DCF).

Simply Wall St -

Is There Now An Opportunity In Lawson Products Inc (NASDAQ:LAWS)?

As a small cap stock, hardly covered by any analysts, there is generally more of an opportunity for mispricing as there is less activity to push the stock closer to fair value? … Is there still an opportunity here to buy. … Let’s examine Lawson Products’s valuation and outlook in more detail to determine if there’s still a bargain opportunity

Simply Wall St -

Is Lawson Products Inc (NASDAQ:LAWS) A High Quality Stock To Own?

While some investors are already well versed in financial metrics (hat tip), this article is for those who would like to learn about Return On Equity (ROE) and why it is important. … That means that for every $1 worth of shareholders' equity, it generated $0.27 in profit. … Return on Equity = Net Profit ÷ Shareholders' Equity

Simply Wall St -

A Look At Lawson Products Inc's (NASDAQ:LAWS) Exceptional Fundamentals

In the case of Lawson Products Inc (NASDAQ:LAWS), there's. … In the following section, I expand a bit more on these key aspects … For those interested in understanding where the figures come from and want to see the analysis,

Simply Wall St -

Is Lawson Products Inc (NASDAQ:LAWS) A Financially Sound Company?

While small-cap stocks, such as Lawson Products Inc (NASDAQ:LAWS) with its market cap of US$220.43m, are popular for their explosive growth, investors should also be aware of their balance sheet to judge whether the company can survive a downturn.

Simply Wall St -

Does Lawson Products Inc's (NASDAQ:LAWS) PE Ratio Signal A Buying Opportunity?

and want to begin learning the link between Lawson Products Inc (NASDAQ:LAWS)’s fundamentals and stock market performance. … Lawson Products Inc (NASDAQ:LAWS) trades with a trailing P/E of 7.1x, which is lower than the industry average of 14.7x. … View out our latest analysis for Lawson Products

Simply Wall St -

Should You Buy Lawson Products Inc (NASDAQ:LAWS) When Insiders Do?

Lawson Products is one of United States’s small-cap stocks that saw some insider buying over the past three months, with insiders investing in 249,980 shares during this period. … Within the past three months, Lawson Products’s share price traded at a high of $27.9 and a low of $22.25. … Next Steps: Lawson Products’s insider meaningful buying activity tells us the shares are currently in favour, though negative growth in expected earnings contests this assumption, and the share price movement may be too trivial to cash in on any mispricing.

Simply Wall St -

Will Lawson Products Inc (NASDAQ:LAWS) Continue To Underperform Its Industry?

View our latest analysis for Lawson Products Breaking down ROE — the mother of all ratios Return on Equity (ROE) is a measure of Lawson Products’s profit relative to its shareholders’ equity. … This is called the Dupont Formula: Dupont Formula ROE = profit margin × asset turnover × financial leverage ROE = (annual net profit ÷ sales) × (sales ÷ assets) × (assets ÷ shareholders’ equity) ROE = annual net profit ÷ shareholders’ equity NasdaqGS:LAWS Last Perf Feb 21st 18 Basically, profit margin measures how much of revenue trickles down into earnings which illustrates how efficient the business is with its cost management. … Although, its appropriate level of leverage means investors can be more confident in the sustainability of Lawson Products’s return with a possible increase should the company decide to increase its debt levels.

Simply Wall St -

Company Info

Description

Lawson Products, Inc. distributes products and services to the industrial, commercial, institutional, and government maintenance, repair, and operations marketplace in the United States, Puerto Rico, Canada, Mexico, and the Caribbean. It operates in two segments, Lawson and Bolt. The company’s products include fastening systems, fluid power products, specialty chemicals, cutting tools and abrasives, electrical products, aftermarket automotive supplies, safety products, welding and metal repair products, and other products. It serves customers operating in the automotive repair, commercial vehicle maintenance, government, manufacturing, food processing, distribution, construction, oil and gas, mining, wholesale, service, and other industries. The company sells its products through sales representatives, as well as directly from its Website or through fax or phone. Lawson Products, Inc. was founded in 1952 and is headquartered in Chicago, Illinois.

Details
Name: Lawson Products, Inc.
LAWS
Exchange: NasdaqGS
Founded: 1952
$465,763,012
8,956,981
Website: http://www.lawsonproducts.com
Address: Lawson Products, Inc.
8770 West Bryn Mawr Avenue,
Suite 900,
Chicago,
Illinois, 60631,
United States
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
NasdaqGS LAWS Common Stock Nasdaq Global Select US USD 14. Dec 1972
Number of employees
Current staff
Staff numbers
1,740
Lawson Products employees.
Industry
Trading Companies and Distributors
Capital Goods
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/12/11 23:41
End of day share price update: 2019/12/11 00:00
Last estimates confirmation: 2019/11/12
Last earnings filing: 2019/10/24
Last earnings reported: 2019/09/30
Last annual earnings reported: 2018/12/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.