LSB Industries Inc (LXU) is undervalued and REX American Resources Corp (REX) is overvalued.
Against our estimates of intrinsic value, LXU trades at the wider discount: a margin of safety of +45%, against -26% for REX.
Values as of the 22 Sept 2026 close.
Discounting its cash flows at 7.1% (average of 3 methods) values the shares at $19.19; the price of $10.51 is 45% below that value, and 83% of that value comes from beyond year five.
Leak Score 56/100 on 10 of 12 signals
Discounting its cash flows at 8.4% (average of 3 methods) values the shares at $35.09; the price of $44.25 is 26% above that value, and 78% of that value comes from beyond year five.
Leak Score 65/100 on 8 of 12 signals
| Metric | LXU | REX |
|---|---|---|
| Verdict | Undervalued | Overvalued |
| Price | $10.51 | $44.25 |
| Intrinsic value | $19.19 | $35.09 |
| Margin of safety | +45% | -26% |
| Leak Score | 56/100 (10/12) | 65/100 (8/12) |
| Market cap | $757M | $1.5B |
| Revenue growth, 5 years | 11.9% | 11.7% |
| Operating margin | 9.5% | 15.2% |
| Net margin | 5.6% | 17.6% |
| Return on equity | 7.1% | 19.8% |
| Debt to equity | 0.91 | 0.03 |
| P/E | 20.7x | 12.1x |
| Forward P/E | 14.3x | — |
| P/B | 1.4x | 2.2x |