LM Funding AmericaLMFA +2.12%26 Piotroski F-Score is 5 as of Jun. 26, 2026, which is 67% above its 10-year median of 3.00. GuruFocus rates LMFA with a GF Score™ of 26/100 and a GF Value™ of $0.51 (Possible Value Trap). The stock has 5 warning signs investors should review. Among 782 Capital Markets companies, LM Funding America ranks better than 64.32% on this metric.
The zones of discrimination were as such:
Good or high score = 7, 8, 9
Bad or low score = 0, 1, 2, 3
LM Funding America has an F-score of 5 indicating the company's financial situation is typical for a stable company.
The historical rank and industry rank for LM Funding America's Piotroski F-Score or its related term are showing as below:
LMFA'
s Piotroski F-Score Range Over the Past 10 Years
Min: 1 Med: 3 Max: 6
Current: 5
During the past 13 years, the highest Piotroski F-Score of LM Funding America was 6. The lowest was 1. And the median was 3.
LM Funding America (NAS:LMFA) Piotroski F-Score Explanation
The developer of the system is Joseph D. Piotroski is relatively unknown accounting professor who shuns publicity and rarely gives interviews.
He graduated from the University of Illinois with a B.S. in accounting in 1989, received an M.B.A. from Indiana University in 1994. Five years later, in 1999, after earning a Ph.D. in accounting from the University of Michigan, he became an associate professor of accounting at the University of Chicago.
He wanted to see if he can develop a system (using a simple nine-point scoring system) that can increase the returns of a strategy of investing in low price to book (referred to in the paper as high book to market) value companies.
What he found was something that exceeded his most optimistic expectations.
Buying only those companies that scored highest (8 or 9) on his nine-point scale, or F-Score as he called it, over the 20 year period from 1976 to 1996 led to an average out-performance over the market of 13.4%.
Even more impressive were the results of a strategy of investing in the highest F-Score companies (8 or 9) and shorting companies with the lowest F-Score (0 or 1).
Over the same period from 1976 to 1996 (20 years) this strategy led to an average yearly return of 23%, substantially outperforming the average S&P 500 index return of 15.83% over the same period.
LM Funding America Piotroski F-Score Related Terms
LM Funding America Piotroski F-Score Historical Data
* Premium members only.
The historical data trend for LM Funding America's Piotroski F-Score can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
LMFA vs WAI, PMAX, ITEX: Piotroski F-Score Comparison
For the Capital Markets subindustry, LM Funding America's Piotroski F-Score, along with its competitors' market caps and Piotroski F-Score data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
LM Funding America Piotroski F-Score vs Capital Markets Industry
For the Capital Markets industry and Financial Services sector, LM Funding America's Piotroski F-Score distribution charts can be found below:
* The bar in red indicates where LM Funding America's Piotroski F-Score falls into.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
*Note: If the latest quarterly/semi-annual/annual total assets data is 0, then we will use previous quarterly/semi-annual/annual data for all the items in the balance sheet.
Profitability
Question 1. Return on Assets (ROA)
Net income before extraordinary items for the year divided by Total Assets at the beginning of the year.
Score 1 if positive, 0 if negative.
LM Funding America's current Net Income (TTM) was -31.64.
==> Negative ==> Score 0.
Question 2. Cash Flow Return on Assets (CFROA)
Net cash flow from operating activities (operating cash flow) divided by Total Assets at the beginning of the year.
LM Funding America's return on assets of this year was -0.80877278. LM Funding America's return on assets of last year was -0.36493587.
==> Last year is higher ==> Score 0.
Question 4. Quality of Earnings (Accrual)
Compare Cash flow return on assets (2) to return on assets (1)
LM Funding America's gearing of this year was 0.05441289. LM Funding America's gearing of last year was 0.18389554.
==> This year is lower or equal to last year. ==> Score 1.
Question 6. Change in Working Capital (Liquidity)
Compare this year's current ratio (current assets divided by current liabilities) to last year's current ratio.
Score 1 if this year's current ratio is higher, 0 if it's lower
LM Funding America's current ratio of this year was 1.13360143. LM Funding America's current ratio of last year was 1.03081664.
==> This year's current ratio is higher. ==> Score 1.
Question 7. Change in Shares in Issue
Compare the number of shares in issue this year, to the number in issue last year.
Score 0 if there is larger number of shares in issue this year, 1 otherwise.
LM Funding America's number of shares in issue this year was 21.456. LM Funding America's number of shares in issue last year was 5.133.
==> There is larger number of shares in issue this year. ==> Score 0.
Efficiency
Question 8. Change in Gross Margin
Compare this year's gross margin (Gross Profit divided by sales) to last year's.
Score 1 if this year's gross margin is higher, 0 if it's lower.
LM Funding America's gross margin of this year was 0.05480698. LM Funding America's gross margin of last year was -0.33135059.
==> This year's gross margin is higher. ==> Score 1.
Question 9. Change in asset turnover
Compare this year's asset turnover (total sales for the year divided by total assets at the beginning of the year) to last year's asset turnover ratio.
Score 1 if this year's asset turnover ratio is higher, 0 if it's lower
LM Funding America's asset turnover of this year was 0.30922011. LM Funding America's asset turnover of last year was 0.1423484.
==> This year's asset turnover is higher. ==> Score 1.
Evaluation
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5
Good or high score = 7, 8, 9
Bad or low score = 0, 1, 2, 3
LM Funding America has an F-score of 5 indicating the company's financial situation is typical for a stable company.
LM Funding America (LMFA) has a Piotroski F-Score of 5 as of Jun. 26, 2026. The Piotroski F-score grades a company's business operating strength from 0-9. View historical data on LM Funding America and its competitors. This is 67% above median its historical median of 3.00. Over the past decade, LM Funding America's Piotroski F-Score has ranged from 1.00 to 6.00. According to the industry distribution chart, LM Funding America ranks #279 out of 782 companies in the Capital Markets industry, placing it in the top 35.7%.
Is LM Funding America's Piotroski F-Score too high?
LM Funding America's current Piotroski F-Score of 5 is 67% above median its 10-year median of 3.00. Over the past 10 years, this metric has ranged from a low of 1.00 to a high of 6.00. The Capital Markets industry median Piotroski F-Score is 5.00. LM Funding America's value of 5 is 0% at this industry median. Based on the distribution chart, LM Funding America ranks #279 out of 782 companies in the Capital Markets industry, which is above the industry midpoint. Overall, LM Funding America has a GF Score™ of 26/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does LM Funding America's Piotroski F-Score compare to WAI and PMAX?
According to the Capital Markets industry distribution chart, LM Funding America ranks #279 out of 782 companies for Piotroski F-Score. This puts LM Funding America in the upper half of its industry. The industry median Piotroski F-Score is 5.00. LM Funding America's value of 5 is 0% at this benchmark. Historically, LM Funding America's own Piotroski F-Score has ranged from 1.00 to 6.00 over the past decade. While the company's 10-year median is 3.00 vs. the industry median of 5.00, LM Funding America has consistently been at the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Piotroski F-Score for a Capital Markets company?
The median Piotroski F-Score among Capital Markets companies is 5.00, based on 782 companies in the industry. Companies in the top quartile (top 25%) have a Piotroski F-Score significantly above this median, while those in the bottom quartile fall well below. However, Piotroski F-Score should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. LM Funding America's current Piotroski F-Score of 5 is 0% at the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Piotroski F-Score mean?
A high Piotroski F-Score can signal that a stock is expensive relative to its fundamentals. The Piotroski F-score grades a company's business operating strength from 0-9. View historical data on LM Funding America and its competitors. For the Capital Markets industry, the median Piotroski F-Score is 5.00 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. LM Funding America's current Piotroski F-Score is 5, which is 67% above median its own 10-year median of 3.00. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is LM Funding America stock overvalued right now?
Based on GuruFocus' analysis, LM Funding America (LMFA) is currently considered Possible Value Trap. The stock's GF Value™ is $0.51, compared to a current price of $0.15 — trading 70.8% below its estimated fair value. The current Piotroski F-Score is 5, which is 67% above median its 10-year median of 3.00 and 0% at the Capital Markets industry median of 5.00. LM Funding America's overall GF Score™ is 26/100 with 5 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Piotroski F-Score calculated?
Piotroski F-Score is calculated from a company's financial statements. For LM Funding America (LMFA), the current Piotroski F-Score is 5 as of Jun. 26, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is LM Funding America (LMFA) Overvalued in 2026?
Based on GuruFocus' analysis, LM Funding America stock appears to be undervalued.
The current stock price of $0.15 is trading 70.8% below its estimated GF Value™ of $0.51.
GuruFocus considers LM Funding America to be Possible Value Trap.
Key valuation signals for LMFA:
Piotroski F-Score: 5 (67% above median its 10-year median of 3.00)
GF Value™: $0.51 vs. price of $0.15 (70.8% below fair value)
Industry Position: 0% at the Capital Markets median (#279 of 782)
No single metric tells the full story. See the LMFA stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
LM Funding America Inc is a financial services company. The company provides funding to nonprofit community associations located in the state of Florida and to nonprofit community associations in the states of Washington and Colorado. Its products include Original Product and New Neighbor Guaranty. Its original product offering consists of providing funding to Associations by purchasing their rights under delinquent accounts that are selected by the Associations arising from unpaid Association assessments. It currently has two lines of business recently commenced cryptocurrency mining business and historical specialty finance business. The Company has two operating segments: Specialty Finance and Mining and Treasury Operations.
26GF Score
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