Quality Investor

LCI Industries

Rank #217Capital ReturnWatchlistCompare with other stocks

LCII · NYSE · Consumer Cyclical

LCI Industries (LCII) — Rank #217 by gross profitability (GP/assets 0.30) · ROE 13.1% · Piotroski F-Score 8 / 9.

As-of 2026-10-30 · CIK 0000763744 · all metrics point-in-time as of the filing date.

About

LCI Industries, together with its subsidiaries, manufactures and supplies engineered components for the manufacturers of recreational vehicles (RVs) and adjacent industries in the United States and internationally.

Show more

It operates through two segments, Original Equipment Manufacturers (OEM) and Aftermarket. The OEM segment manufactures and distributes a range of engineered components, such as steel chassis, axles, anti-lock braking systems, and suspension systems; manual, electric, and hydraulic stabilizer and leveling systems; awnings, slide-out mechanisms, and accessories; vinyl, aluminum, and frameless windows; entry, luggage, patio, and ramp doors; electric and manual entry steps and awnings; thermoformed bath and kitchen products; furniture, mattresses, tankless water heaters, air conditioners, appliances, electronic components, televisions, and sound systems; windshields; and hitches, pin boxes, grill guards, towing electrical, and towing and truck accessories. This segment serves OEMs of RVs and adjacent industries, including boats, buses, cargo and utility trailers used to haul boats, livestock, equipment, and other cargo; trucks; trains; manufactured homes; and modular housing. The Aftermarket segment supplies engineered components to aftermarket channels of the recreation and transportation markets for retail dealers, wholesale distributors, and service centers, as well as direct-to-consumer sales through online platforms. This segment also sells replacement glass and awnings to fulfill insurance claims; and biminis, covers, buoys, fenders, towing products, truck accessories, appliances, air conditioners, televisions, sound systems, and tankless water heaters. LCI Industries was formerly known as Drew Industries Incorporated and changed its name to LCI Industries in December 2016.

The company was founded in 1956 and is headquartered in Elkhart, Indiana.

Industry
Recreational Vehicles
Sector
Consumer Cyclical
State
DE
Filer Category
Large accelerated filer
Fiscal Year End
December 31

Company Snapshot

P/E and reverse DCF are the primary valuation lenses at this stage.

Market Cap

—

P/E (annual)

—

P/S (annual)

—

P/B

—

P/OCF (annual)

—

Shareholder Yield

—

Employees

12,300

Industry

Recreational Vehicles

Exchange

NYSE

12/12

Flags passed

LCII passes 12/12 quality flags

  • PASS
    Gross margin holding
  • PASS
    Dilution within 2%
  • PASS
    FCF not negative from investment
  • PASS
    Disclosure consistent
  • PASS
    Revenue not declining
  • PASS
    Operating margin holding
  • PASS
    Free cash flow intact
  • PASS
    Passes safety gate
  • PASS
    Balance sheet stable
  • PASS
    No competitive retreat
  • PASS
    SBC not compressing margin
  • PASS
    No valuation convergence

Strengths Revenue growth accelerating · Operating leverage expanding · Sequential beat (rev + EPS)

A count of the 12 warning flags that could be evaluated. Unweighted: colour follows the worst flag.

Quality Profile

Profitability

1/1 pass
GP / assets
0.30
Return on equity
13.1%
Gross margin trend
PASS

Safety

1/1 pass
Balance-sheet safety
PASS
Debt / equity
1.28
Current ratio
2.49×
Net cash
-$636.08M

Cash Flow

3/3 pass
Positive FCF
PASS
Cash-backed earnings
PASS
Accruals healthy
PASS
SBC / revenue
0.6%

Growth

2/2 pass
Revenue growth
10.2%
Piotroski F-Score
8 / 9
Share dilution
-2.6%

FCF yield, shareholder yield, and buyback activity are the primary reads at this stage.

Profitability

Does it make money well?

No warning flags · GP/assets 0.30

Gross profitability (GP / assets)

0.30

Primary signal (Novy-Marx).

1st of 11 SIC 3714 peers

Return on equity

13.1%

Gross margin

23.8%

4th of 11 SIC 3714 peers

Revenue growth (YoY)

10.2%

Gross margin improving

Margin trend vs prior year.

PASS

Operating Leverage

2022202320242025
Revenue vs COGS
Revenue vs OpEx
Op. Income vs Revenue

Growth

Revenue CAGR (3Y)

-7.5%

Revenue CAGR (5Y)

8.1%

Earnings CAGR (3Y)

-21.9%

FCF CAGR (3Y)

-16.1%

Cash Flow Health

Is the cash real?

No warning flags · FCF 48% above net income

Free cash flow

$278.33M

Operating cash flow minus capex.

Positive free cash flow

PASS

FCF vs net income

47.9%

(FCF − net income) ÷ |net income|. Positive: cash above earnings. Negative: below.

FCF not below net income

Fails when free cash flow is below net income (yellow flag).

PASS

Accruals healthy

Cash-backed earnings.

PASS

SBC / revenue

0.6%

Stock-based comp intensity.

Balance Sheet Strength

Can it survive a storm?

No warning flags · net debt $636.08M, F-Score 8/9

Balance-sheet safety

Composite anti-fragile check.

PASS

Debt / equity

1.28

6th of 10 SIC 3714 peers (best = lowest)

Current ratio

2.49×

5th of 11 SIC 3714 peers

Quick ratio

1.00×

Net cash

-$636.08M

Cash & equivalents minus total debt.

Piotroski F-Score

8 / 9

Fundamental-strength score (0-9).

Valuation

Is the price reasonable?

No warning flags

Dividend safety

Composite score

3.2 / 5

Good
Payout ratio
60.6%2/5 Fair
FCF coverage
2.44×4/5 Strong
Dividend growth streak
9 yr4/5 Strong
Balance-sheet health
D/E 1.28 · IC 7.84×3/5 Good

Capital allocation quality

Composite score

3.3 / 5

Good
Share count trend(net buybacks)
-2.6%4/5 Strong
Buyback timing
N/AN/A
Dividend growth consistency
9 yr4/5 Strong
Net debt trajectory
-4.1%2/5 Fair

Lifecycle Phase History

20202025
Capital Return
Hypergrowth
Decline
Value

Price History

LCII-21.6% · -4.7% CAGRSPY+82.9% · +12.8% CAGR