Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.
LSI SoftwareWAR:LSI -0.37%70 Forward Rate of Return (Yacktman) % is 20.29% as of Mar. 2026, which is 55% above its 10-year median of 13.09. GuruFocus rates WAR:LSI with a GF Score™ of 70/100 and a GF Value™ of zł26.46 (Significantly Overvalued). The stock has 7 warning signs investors should review. Among 1,377 Software companies, LSI Software ranks better than 71.53% on this metric.
Yacktman defines forward rate of return as the normalized free cash flow yield plus real growth plus inflation. LSI Software's forward rate of return for was 20.29%.
The historical rank and industry rank for LSI Software's Forward Rate of Return (Yacktman) % or its related term are showing as below:
WAR:LSI'
s Forward Rate of Return (Yacktman) % Range Over the Past 10 Years
Min: -7.09 Med: 13.09 Max: 26.2
Current: 20.19
During the past 13 years, LSI Software's highest Forward Rate of Return was 26.20. The lowest was -7.09. And the median was 13.09.
WAR:LSI's Forward Rate of Return (Yacktman) % is ranked better than 71.53% of 1377
companies
in the Software industry
Industry Median: 13.01
vs WAR:LSI: 20.19
Unlike the Earnings Yield %, the Forward Rate of Return uses the normalized Free Cash Flow of the past five years, and considers growth. The forward rate of return can be thought of as the return that investors buying the stock today can expect from it in the future.
LSI Software (WAR:LSI) Forward Rate of Return (Yacktman) % Explanation
Unlike the Earnings Yield, the Forward Rate of Return uses the normalized Free Cash Flow of the past five years, and considers growth. The forward rate of return can be thought of as the return that investors buying the stock today can expect from it in the future.
For the growth part of the Forward Rate of Return calculation, GuruFocus uses the 5-year average growth rate of EBITDA per share as the growth rate, and the growth rate is always capped at 20%. For the Free Cash Flow we use per share data averaged over five years. The reason we use five years is to make it comparable to the growth rate.
Be Aware
In the Forward Rate of Return calculation, the growth rate is added directly to today's free cash flow yield. Therefore the calculation is reliable only if the company can grow at the same rate in the future as it did in the past. Investors should pay close attention to this when researching growth stocks. A more accurate measurement for return is Return on Capital.
LSI Software Forward Rate of Return (Yacktman) % Related Terms
LSI Software Forward Rate of Return (Yacktman) % Historical Data
* Premium members only.
The historical data trend for LSI Software's Forward Rate of Return (Yacktman) % 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.
LSI Software Forward Rate of Return (Yacktman) % Chart
WAR:LSI vs QH, SHOP, UBER: Forward Rate of Return (Yacktman) % Comparison
For the Software - Application subindustry, LSI Software's Forward Rate of Return (Yacktman) %, along with its competitors' market caps and Forward Rate of Return (Yacktman) % 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.
LSI Software Forward Rate of Return (Yacktman) % vs Software Industry
For the Software industry and Technology sector, LSI Software's Forward Rate of Return (Yacktman) % distribution charts can be found below:
* The bar in red indicates where LSI Software's Forward Rate of Return (Yacktman) % falls into.
LSI Software Forward Rate of Return (Yacktman) % Calculation
Forward Rate of Return is a concept that Don Yacktman uses in his investment approach. Yacktman explained the forward rate of return concept in detail in his interview with GuruFocus. Yacktman defines forward rate of return as the normalized free cash flow yield plus real growth plus inflation. He said in the interview (March 2012, when the S&P 500 was at about 1400):
If the business is stable, this calculation is fairly straightforward. For instance, on the S&P 500 we would normalize earnings. We would then calculate what percentage of those earnings are not reinvested in the underlying businesses and are therefore free. Historically, for the S&P 500, this has been just under 50% of earnings. Currently, we expect the S&P to earn about 70 on a normalized basis, a number which is far below reported earnings due to our adjusting for record high profit margins. $70 X ½ / 1400 gives you a normalized free cash flow yield of approximately 2.5%.
The historical real growth rate of the S&P 500 (companies) is about 1.5%. Assuming an inflation rate of 2.5%, the forward rate of return on an investment in the S&P 500 is about 6.5% today (2.5% free cash flow yield plus 1.5% real growth plus 2.5% inflation).
LSI Software's Forward Rate of Return of Mar. 2026 is
Forward Rate of Return
=
Normalized Free Cash Flow
/
Price
+
5-Year EBITDA Growth Rate
=
0.10266667
/
35
+
0.2
=
20.29 %
* 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.
What does a Forward Rate of Return (Yacktman) % of 20.29% mean?
LSI Software (WAR:LSI) has a Forward Rate of Return (Yacktman) % of 20.29% as of Mar. 2026. Yacktman's forward rate of return equals the sum of normalized free-cash-flow yield plus earnings growth. View historical data on LSI Software and its competitors. This is 55% above median its historical median of 13.09. According to the industry distribution chart, LSI Software ranks #392 out of 1377 companies in the Software industry, placing it in the top 28.5%.
Is LSI Software's Forward Rate of Return (Yacktman) % too high?
LSI Software's current Forward Rate of Return (Yacktman) % of 20.29% is 55% above median its 10-year median of 13.09. The Software industry median Forward Rate of Return (Yacktman) % is 13.01. LSI Software's value of 20.29% is 56% above this industry median. Based on the distribution chart, LSI Software ranks #392 out of 1377 companies in the Software industry, which is above the industry midpoint. Overall, LSI Software has a GF Score™ of 70/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does LSI Software's Forward Rate of Return (Yacktman) % compare to QH and SHOP?
According to the Software industry distribution chart, LSI Software ranks #392 out of 1377 companies for Forward Rate of Return (Yacktman) %. This puts LSI Software in the upper half of its industry. The industry median Forward Rate of Return (Yacktman) % is 13.01. LSI Software's value of 20.29% is 56% above this benchmark. While the company's 10-year median is 13.09 vs. the industry median of 13.01, LSI Software has consistently been above 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 Forward Rate of Return (Yacktman) % for a Software company?
The median Forward Rate of Return (Yacktman) % among Software companies is 13.01, based on 1,377 companies in the industry. Companies in the top quartile (top 25%) have a Forward Rate of Return (Yacktman) % significantly above this median, while those in the bottom quartile fall well below. However, Forward Rate of Return (Yacktman) % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. LSI Software's current Forward Rate of Return (Yacktman) % of 20.29% is 56% above 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 Forward Rate of Return (Yacktman) % mean?
A high Forward Rate of Return (Yacktman) % can signal that a stock is expensive relative to its fundamentals. Yacktman's forward rate of return equals the sum of normalized free-cash-flow yield plus earnings growth. View historical data on LSI Software and its competitors. For the Software industry, the median Forward Rate of Return (Yacktman) % is 13.01 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. LSI Software's current Forward Rate of Return (Yacktman) % is 20.29%, which is 55% above median its own 10-year median of 13.09. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is LSI Software stock overvalued right now?
Based on GuruFocus' analysis, LSI Software (WAR:LSI) is currently considered Significantly Overvalued. The stock's GF Value™ is zł26.46, compared to a current price of zł54.20 — trading 104.8% above its estimated fair value. The current Forward Rate of Return (Yacktman) % is 20.29%, which is 55% above median its 10-year median of 13.09 and 56% above the Software industry median of 13.01. LSI Software's overall GF Score™ is 70/100 with 7 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Forward Rate of Return (Yacktman) % calculated?
Forward Rate of Return (Yacktman) % is calculated from a company's financial statements. For LSI Software (WAR:LSI), the current Forward Rate of Return (Yacktman) % is 20.29% as of Mar. 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 LSI Software (WAR:LSI) Overvalued in 2026?
Based on GuruFocus' analysis, LSI Software stock appears to be overvalued.
The current stock price of zł54.20 is trading 104.8% above its estimated GF Value™ of zł26.46.
GuruFocus considers LSI Software to be Significantly Overvalued.
Key valuation signals for WAR:LSI:
Forward Rate of Return (Yacktman) %: 20.29% (55% above median its 10-year median of 13.09)
GF Value™: zł26.46 vs. price of zł54.20 (104.8% above fair value)
Industry Position: 56% above the Software median (#392 of 1377)
No single metric tells the full story. See the WAR:LSI stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
LSI Software SA is engaged in software development for retail and hospitality sectors as well as for cinema operators. It also involved in professional services, implementation services, maintenance, and the supplying of hardware solutions. The company products are bifurcated namely Bastion Enterprise Resource Planning (ERP), Positive Retail, Positive Hospitality and Expert computer hardware. The company derives majority of its revenues from the sale of the Software business and has operations spread across Poland. Its geographic segments include Poland and other countries.
70GF Score
Get the complete analysis for WAR:LSI
Forward Rate of Return (Yacktman) % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
WAR:LSI has been successfully added to your 
