LandBridge Company LLC (LB)
Valuation Overview•Is LandBridge Company LLC Overvalued or Undervalued?
Priced at a premium to peer multiples and intrinsic cash flows, demanding strong execution to justify current levels.
High-quality fundamentals with a strong composite quality score of 81/100, backed by robust profitability and solvency.
Analysts remain bullish, forecasting further upside expansion with consensus targets suggesting solid gains.
Verdict: High-quality compounder, with profitability as the only relative weakness.
Wall Street is highly bullish, projecting significant upside. This is paired with healthy capital returns, anchored by a strong dividend yield, though free cash flow coverage appears tight.
LB demonstrates strong business quality with robust profitability and healthy margins. This is backed by a fortress balance sheet, holding significant net cash ($30M) and minimal debt risk.
The company is driving exceptional top-line expansion (56.7% 3Y CAGR) paired with stable bottom-line earnings. This growth is supported by elite operational efficiency, sustaining an impressive 62.3% operating margin.
| Financial Metric | Trend (12Q) | Latest Qtr | 1Y Growth | 3Y CAGR | 5Y CAGR | 10Y CAGR |
|---|---|---|---|---|---|---|
| Revenue | $51.0M | +81.1% | +56.7% | — | — | |
| EBITDA | $33.6M | — | +234.0% | — | — | |
| Net Income | $17.9M | +489.6% | — | — | — | |
| EPS (Diluted) | $0.64 | +1397.9% | — | — | — | |
| Free Cash Flow | $38.9M | +83.1% | +92.1% | — | — |
| Metric | TTM | 3Y Avg | 5Y Avg | 10Y Avg |
|---|---|---|---|---|
| Gross Margin | 69.1% | 88.1% | 86.0% | 86.0% |
| Operating Margin | 62.3% | 46.9% | 33.6% | 33.6% |
| Net Margin | 20.0% | 35.5% | 23.5% | 23.5% |
| FCF Margin | 79.5% | 63.6% | 56.0% | 56.0% |
| Quarter | EPS Est. | EPS Act. | Surprise | EPS | Rev |
|---|---|---|---|---|---|
| Q2'26Latest | $0.70 | $0.23 | -67.1% | ||
| Q1'26 | $0.62 | $0.24 | -61.3% | ||
| Q4'25 | $0.48 | $0.26 | -45.7% | ||
| Q3'25 | $0.39 | $0.24 | -38.5% | ||
| Q2'25 | $0.34 | $0.20 | -41.2% | ||
| Q1'25 | $0.38 | $0.18 | -52.6% | ||
| Q4'24 | $0.26 | $0.07 | -73.1% | ||
| Q3'24 | $0.21 | $-3.31 | -1675.5% |
Total return is -9.3% (1Y), lagging the benchmark by -34.3%
| Period | Total Return | vs S&P 500 (Alpha) | Dividend Contribution |
|---|---|---|---|
| YTD | +32.5% | +23.2% | — |
| 1Y | -9.3% | -34.3% | +0.6% |
| 3YCAGR | +40.9% | +21.0% | +3.2% |
| 5YCAGR | +22.8% | +10.2% | +3.2% |
| 10YCAGR | +10.8% | -2.9% | — |
The S&P 500 is at 31.3x trailing P/E — Expensive relative to historical averages.
Quick answers to common questions about LandBridge Company LLC (LB) valuation, health, and returns.
LandBridge Company LLC is estimated to be overvalued under our discounted cash flow framework. relative multiples indicate the stock is Expensive versus peers compared to industry peers. overvalued (implying -32.4% downside from DCF intrinsic value of $43.26)
LandBridge Company LLC has multiple valuation anchors: DCF Intrinsic Value: $43.26 | Peer Relative Fair Value: $29.64 | Wall Street Analyst Target: $75.00 (implying +17.3% upside). A convergence of these signals offers higher conviction.
LandBridge Company LLC displays excellent financial health with a composite quality score of 81/100, supported by a Altman Z-Score of 5.2 (safe zone), Piotroski F-Score of 9/9, Return on Invested Capital (ROIC) of 10.4%.
LandBridge Company LLC pays a 3.6% dividend yield, covered by a 211% payout ratio with 2 years of growth, supplemented by a 0.0% buyback yield.
LandBridge Company LLC's current growth trajectory is Accelerating. The company achieved +81.1% 1Y revenue growth and +1397.9% 1Y EPS growth, compared to its 3Y revenue CAGR of +56.7%.
Wall Street consensus is Buy based on 52 analysts, beating EPS expectations in 33% of recent quarters with a -8-quarter streak. The consensus price target represents a +17.3% change from current levels.
Investment risks for LandBridge Company LLC include: -48.3% 1-year max drawdown, stretched payout ratio. Volatility risk is characterized by a beta of 0.95x.
No. These computations are purely quantitative model outputs for informational purposes. They do not account for qualitative management shifts or macro events. Always consult a licensed RIA before buying or selling shares.
Disclaimer: This page is for informational purposes only and does not constitute financial advice. All valuation models, scores, and target estimates are automated computations under stated assumptions and should not be relied upon as the sole basis for any investment decision.