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LOB (Live Oak Bancshares) Piotroski F-Score : 6 (As of Mar. 16, 2025)


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What is Live Oak Bancshares Piotroski F-Score?

The zones of discrimination were as such:

Good or high score = 7, 8, 9
Bad or low score = 0, 1, 2, 3

Live Oak Bancshares has an F-score of 6 indicating the company's financial situation is typical for a stable company.

The historical rank and industry rank for Live Oak Bancshares's Piotroski F-Score or its related term are showing as below:

LOB' s Piotroski F-Score Range Over the Past 10 Years
Min: 1   Med: 4   Max: 7
Current: 6

During the past 14 years, the highest Piotroski F-Score of Live Oak Bancshares was 7. The lowest was 1. And the median was 4.


Live Oak Bancshares Piotroski F-Score Historical Data

The historical data trend for Live Oak Bancshares'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.

* Premium members only.

Live Oak Bancshares Piotroski F-Score Chart

Live Oak Bancshares Annual Data
Trend Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24
Piotroski F-Score
Get a 7-Day Free Trial Premium Member Only Premium Member Only 4.00 5.00 6.00 4.00 -

Live Oak Bancshares Quarterly Data
Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24
Piotroski F-Score Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 4.00 4.00 6.00 6.00 -

Competitive Comparison of Live Oak Bancshares's Piotroski F-Score

For the Banks - Regional subindustry, Live Oak Bancshares'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.


Live Oak Bancshares's Piotroski F-Score Distribution in the Banks Industry

For the Banks industry and Financial Services sector, Live Oak Bancshares's Piotroski F-Score distribution charts can be found below:

* The bar in red indicates where Live Oak Bancshares's Piotroski F-Score falls into.


How is the Piotroski F-Score calculated?

* 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.

This Year (Sep24) TTM:Last Year (Sep23) TTM:
Net Income was 16.163 + 16.548 + 26.963 + 13.025 = $72.7 Mil.
Cash Flow from Operations was 170.246 + 90.893 + 83.876 + 191.014 = $536.0 Mil.
Revenue was 101.124 + 117.304 + 123.417 + 126.338 = $468.2 Mil.
Average Total Assets from the begining of this year (Sep23)
to the end of this year (Sep24) was
(10950.46 + 11271.423 + 11503.3 + 11868.57 + 12607.346) / 5 = $11640.2198 Mil.
Total Assets at the begining of this year (Sep23) was $10,950.5 Mil.
Long-Term Debt & Capital Lease Obligation was $115.4 Mil.
Total Assets was $12,607.3 Mil.
Total Liabilities was $11,599.6 Mil.
Net Income was 1.792 + 0.398 + 17.544 + 39.793 = $59.5 Mil.

Revenue was 94.688 + 100.552 + 107.071 + 124.837 = $427.1 Mil.
Average Total Assets from the begining of last year (Sep22)
to the end of last year (Sep23) was
(9314.65 + 9855.498 + 10364.297 + 10819.196 + 10950.46) / 5 = $10260.8202 Mil.
Total Assets at the begining of last year (Sep22) was $9,314.7 Mil.
Long-Term Debt & Capital Lease Obligation was $25.8 Mil.
Total Assets was $10,950.5 Mil.
Total Liabilities was $10,100.1 Mil.

*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.

Live Oak Bancshares's current Net Income (TTM) was 72.7. ==> Positive ==> Score 1.

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.

Score 1 if positive, 0 if negative.

Live Oak Bancshares's current Cash Flow from Operations (TTM) was 536.0. ==> Positive ==> Score 1.

Question 3. Change in Return on Assets

Compare this year's return on assets (1) to last year's return on assets.

Score 1 if it's higher, 0 if it's lower.

ROA (This Year)=Net Income/Total Assets (Sep23)
=72.699/10950.46
=0.0066389

ROA (Last Year)=Net Income/Total Assets (Sep22)
=59.527/9314.65
=0.00639069

Live Oak Bancshares's return on assets of this year was 0.0066389. Live Oak Bancshares's return on assets of last year was 0.00639069. ==> This year is higher. ==> Score 1.

Question 4. Quality of Earnings (Accrual)

Compare Cash flow return on assets (2) to return on assets (1)

Score 1 if CFROA > ROA, 0 if CFROA <= ROA.

Live Oak Bancshares's current Net Income (TTM) was 72.7. Live Oak Bancshares's current Cash Flow from Operations (TTM) was 536.0. ==> 536.0 > 72.7 ==> CFROA > ROA ==> Score 1.

Funding

Question 5. Change in Gearing or Leverage

Compare this year's gearing (long-term debt divided by average total assets) to last year's gearing.

Score 0 if this year's gearing is higher, 1 otherwise.

Gearing (This Year: Sep24)=Long-Term Debt & Capital Lease Obligation/Average Total Assets from Sep23 to Sep24
=115.371/11640.2198
=0.00991141

Gearing (Last Year: Sep23)=Long-Term Debt & Capital Lease Obligation/Average Total Assets from Sep22 to Sep23
=25.847/10260.8202
=0.002519

Live Oak Bancshares's gearing of this year was 0.00991141. Live Oak Bancshares's gearing of last year was 0.002519. ==> Last year is lower than this year ==> Score 0.

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

* Note that for banks and insurance companies, there's no Total Current Assets and Total Current Liabilities reported. Thus, we use Total Assets and Total Liabilities to calculate current ratio for banks and insurance companies.

Current Ratio (This Year: Sep24)=Total Assets/Total Liabilities
=12607.346/11599.59
=1.08687859

Current Ratio (Last Year: Sep23)=Total Assets/Total Liabilities
=10950.46/10100.092
=1.08419408

Live Oak Bancshares's current ratio of this year was 1.08687859. Live Oak Bancshares's current ratio of last year was 1.08419408. ==> 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.

Live Oak Bancshares's number of shares in issue this year was 45.954. Live Oak Bancshares's number of shares in issue last year was 45.269. ==> 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.

* Note that for banks and insurance companies, there's no Gross Profit reported. Thus, we use net income instead of gross profit and calculate Net Margin for this score.

Net Margin (This Year: TTM)=Net Income/Revenue
=72.699/468.183
=0.15527903

Net Margin (Last Year: TTM)=Net Income/Revenue
=59.527/427.148
=0.13935919

Live Oak Bancshares's net margin of this year was 0.15527903. Live Oak Bancshares's net margin of last year was 0.13935919. ==> This year's net 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

Asset Turnover (This Year)=Revenue/Total Assets at the Beginning of This Year (Sep23)
=468.183/10950.46
=0.04275464

Asset Turnover (Last Year)=Revenue/Total Assets at the Beginning of Last Year (Sep22)
=427.148/9314.65
=0.04585765

Live Oak Bancshares's asset turnover of this year was 0.04275464. Live Oak Bancshares's asset turnover of last year was 0.04585765. ==> Last year's asset turnover is higher ==> Score 0.

Evaluation

Piotroski F-Score= Que. 1+ Que. 2+ Que. 3+Que. 4+Que. 5+Que. 6+Que. 7+Que. 8+Que. 9
=1+1+1+1+0+1+0+1+0
=6

Good or high score = 7, 8, 9
Bad or low score = 0, 1, 2, 3

Live Oak Bancshares has an F-score of 6 indicating the company's financial situation is typical for a stable company.

Live Oak Bancshares  (NYSE:LOB) 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.

In 2000, he wrote a research paper called "Value Investing: The Use of Historical Financial Statement Information to Separate Winners from Losers" (pdf).

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.


Live Oak Bancshares Piotroski F-Score Related Terms

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Live Oak Bancshares Business Description

Traded in Other Exchanges
N/A
Address
1741 Tiburon Drive, Wilmington, NC, USA, 28403
Live Oak Bancshares Inc operates as the bank holding company for the Live Oak Banking Company. The company specializes in lending and deposit-related services to small businesses nationwide. The company identifies and extends lending to credit-worthy borrowers both within specific industries, also called verticals, through expertise within those industries, and more broadly to select borrowers outside of those industries. A portion of the loans originated by the Bank are partially guaranteed by the Small Business Administration under the 7(a) Loan Program and the U.S. Department of Agriculture Rural Energy for America Program, Water and Environmental Program, Business and Industry and Community Facilities loan programs.
Executives
John W. Sutherland officer: Chief Accounting Officer 1741 TIBURON DRIVE, WILMINGTON NC 28403
Gregory W Seward officer: General Counsel 1741 TIBURON DRIVE, WILMINGTON NC 28403
William Henderson Cameron director POST OFFICE BOX 3649, WILMINGTON NC 28406
Tonya Williams Bradford director C/O LIVE OAK BANCSHARES, INC., 1741 TIBURON DRIVE, WILMINGTON NC 28403
Micah S Davis officer: Chief Marketing & Comm Officer 1741 TIBURON DRIVE, WILMINGTON NC 28403
Miltom Emmett Petty director 1741 TIBURON DRIVE, WILMINTON NC 28403
Steve Smits officer: Chief Credit Officer 1741 TIBURON DRIVE, WILMINGTON NC 28403
Renato Derraik officer: Chief Info. & Digital Officer C/O LIVE OAK BANCSHARES, INC., 1741 TIBURON DRIVE, WILMINGTON NC 28403
David G Lucht director II CASCADE PLAZA, AKRON OH 44308
Yousef A. Valine director 165 MADISON AVENUE, MEMPHIS TN 38103
Diane Beth Glossman director 2820 RIVER ROAD, NEW HOPE PA 18938
Casey S Crawford director 1741 TIBURON DRIVE, WILMINGTON NC 28403
Stephanie Mann officer: Chief Strategy Officer 1741 TIBURON DRIVE, WILMINGTON NC 28403
Spencer Courtney officer: Chief Experience Officer 1741 TIBURON DRIVE, WILMINGTON NC 28403
Losch William C Iii officer: Chief Financial Officer 165 MADISON AVENUE, MEMPHIS TN 38103