London City Equities Ltd (AU:LCE)
ASX:LCE
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London City Equities Ltd
(Sydney:LCE)
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Rating:54Neutral
Price Target:
AU$0.87
▲(2.00% Upside)
Action:ReiteratedDate:03/24/26
The score is driven primarily by financials: a strong, low-risk (no-debt) balance sheet and improved FY2025 profitability are offset by a major FY2025 cash flow shortfall that weakens confidence in earnings quality. Technicals are neutral-to-soft with limited trend strength and mildly negative momentum. Valuation is a headwind due to the high P/E, only partly supported by a moderate dividend yield.
Positive Factors
Debt-Free Balance Sheet
A zero‑debt balance sheet materially improves long‑term financial flexibility and lowers solvency risk. This durability allows the company to fund opportunistic investments, sustain dividends when earnings fluctuate, and avoid interest burdens that can compress margins in downturns.
Negative Factors
Weak Cash Conversion
Persistent disconnect between reported profits and cash generation undermines earnings quality and raises risk that profits are not sustainable. Over months this can force asset sales or restrict capital allocation, making dividends and growth dependent on non‑operating sources.
Read all positive and negative factors
Positive Factors
Negative Factors
Debt-Free Balance Sheet
A zero‑debt balance sheet materially improves long‑term financial flexibility and lowers solvency risk. This durability allows the company to fund opportunistic investments, sustain dividends when earnings fluctuate, and avoid interest burdens that can compress margins in downturns.
Read all positive factors
London City Equities Ltd (LCE) vs. iShares MSCI Australia ETF (EWA)
Market Cap
AU$26.98M
Dividend Yield2.94%
Average Volume (3M)45.00
Price to Earnings (P/E)38.3
Beta (1Y)0.04
Revenue Growth38.32%
EPS GrowthN/A
CountryAU
Employees2
SectorFinancial
Sector Strength70
IndustryAsset Management
Share Statistics
EPS (TTM)<0.01
Shares Outstanding31,742,298
10 Day Avg. Volume0
30 Day Avg. Volume45
Financial Highlights & Ratios
PEG Ratio>-0.01
Price to Book (P/B)1.02
Price to Sales (P/S)13.80
P/FCF Ratio-2.34
Enterprise Value/Market CapN/A
Enterprise Value/RevenueN/A
Enterprise Value/Gross ProfitN/A
Enterprise Value/EbitdaN/A
Forecast
1Y Price TargetN/A
Price Target UpsideN/A
Rating ConsensusN/A
Number of Analyst Covering0
EPS Forecast (FY)N/A
Revenue Forecast (FY)N/A
London City Equities Ltd Business Overview & Revenue Model
Company Description
London City Equities Limited is a publicly owned investment manager. The firm invests in the public equity markets of Australia. London City Equities Limited was founded in 1986 and is based in Sydney, Australia....
How the Company Makes Money
null...
London City Equities Ltd Financial Statement Overview
Summary
Income Statement
64
Positive
Balance Sheet
82
Very Positive
Cash Flow
38
Negative
| Breakdown | Jun 2025 | Jun 2024 | Jun 2023 | Jun 2022 | Jun 2021 |
|---|---|---|---|---|---|
Income Statement | |||||
| Total Revenue | 1.81M | 1.25M | 1.27M | 2.41M | 558.89K |
| Gross Profit | 1.28M | 923.61K | 722.93K | 2.16M | 534.89K |
| EBITDA | 0.00 | -6.48K | 169.63K | 1.81M | 166.55K |
| Net Income | 499.91K | -6.48K | 169.63K | 1.81M | -29.17K |
Balance Sheet | |||||
| Total Assets | 27.11M | 26.61M | 20.61M | 22.97M | 19.61M |
| Cash, Cash Equivalents and Short-Term Investments | 11.37M | 19.76K | 293.36K | 1.55M | 1.35M |
| Total Debt | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Total Liabilities | 2.49M | 5.18M | 3.15M | 3.85M | 3.37M |
| Stockholders Equity | 24.62M | 21.44M | 17.46M | 19.12M | 16.24M |
Cash Flow | |||||
| Free Cash Flow | -10.72M | 508.26K | -48.00K | 1.92M | 13.06K |
| Operating Cash Flow | -10.72M | 508.26K | -48.00K | 1.92M | 13.06K |
| Investing Cash Flow | 11.82M | -138.63K | -1.30M | -1.47M | -418.84K |
| Financing Cash Flow | -1.08M | -367.46K | -189.39K | -251.43K | 1.76M |
London City Equities Ltd Technical Analysis
Negative
0.85
Price Trends
0.85
Positive
0.85
Negative
0.83
Positive
Market Momentum
>-0.01
Negative
42.36
Neutral
100.00
Negative
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AU:LCE, the sentiment is Negative. The current price of 0.85 is below the 20-day moving average (MA) of 0.85, above the 50-day MA of 0.85, and above the 200-day MA of 0.83, indicating a neutral trend. The MACD of >-0.01 indicates Negative momentum. The RSI at 42.36 is Neutral, neither overbought nor oversold. The STOCH value of 100.00 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for AU:LCE.
London City Equities Ltd Peers Comparison
UnderperformOutperform
Sector (68)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
72 Outperform | AU$60.75M | 2.97 | 35.99% | 6.39% | 22.67% | 19.47% | |
68 Neutral | $18.00B | 11.42 | 9.92% | 3.81% | 9.73% | 1.22% | |
62 Neutral | AU$34.25M | 7.12 | 1.47% | 1.79% | -5.10% | ― | |
61 Neutral | AU$56.33M | 19.67 | 3.43% | 6.89% | 30.36% | -31.47% | |
54 Neutral | AU$26.98M | 38.35 | 1.46% | 2.94% | 38.32% | ― | |
53 Neutral | AU$28.44M | 46.88 | 4.11% | 2.03% | 18.17% | ― | |
53 Neutral | AU$9.72M | -1.31 | 91.73% | ― | ― | ― |
* Financial Sector Average
AU:LCE
London City Equities Ltd
0.85
0.01
1.19%
AU:TIP
Teaminvest Private Group Ltd
1.26
-0.56
-30.62%
AU:CIW
Clime Investment Management Ltd
0.35
0.01
3.60%
AU:MAM
Microequities Asset Management Group Ltd.
0.47
-0.02
-3.53%
AU:SB2
Salter Brothers Emerging Companies Ltd.
0.67
0.01
1.67%
AU:KBC
Keybridge Capital Limited
0.05
0.00
0.00%
London City Equities Ltd Corporate Events
London City Equities Director Increases Indirect Shareholding via On‑Market Purchase
Feb 24, 2026
London City Equities has disclosed a change in director David G. Butel’s indirect interests, with an associated entity, Imperial Pacific Limited, acquiring 10,000 fully paid ordinary shares on market at 85 cents each. Following the transacti...
London City Equities lifts revenue and asset backing but profit falls 40%
Feb 20, 2026
London City Equities Limited reported a 38% rise in revenue from ordinary activities to $988,373 for the half year to 31 December 2025, but net profit after tax attributable to members fell 40% to $175,891. Despite the lower profit, the company in...
London City Equities Director Increases Indirect Shareholding via On-Market Trade
Feb 3, 2026
London City Equities has disclosed a minor change in director David G. Butel’s indirect shareholding following an on-market purchase. Through entities including the DG Butel Superannuation Fund and Imperial Pacific Limited, Butel acquired 1,...
London City Equities Lifts Net Assets on Portfolio Gains and Fiducian Exit
Jan 14, 2026
London City Equities has guided to a strong half-year to 31 December 2025, with net assets rising to $27.9 million from $23.6 million a year earlier and net assets per share increasing to 88 cents from 75 cents, driven by an 18% uplift in investme...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
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