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Los Cerros Limited (AU:LCL)
:LCL

Los Cerros (LCL) AI Stock Analysis

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Los Cerros

(Frankfurt:LCL)

Rating:39Underperform
Price Target:
Los Cerros receives a low overall stock score due to significant financial challenges marked by declining revenues and persistent losses. The lack of technical analysis data introduces uncertainty in stock momentum, while a negative P/E ratio and no dividend yield make the stock less appealing from a valuation perspective. Strategic improvements are needed for better financial stability and stock performance.

Los Cerros (LCL) vs. iShares MSCI Australia ETF (EWA)

Los Cerros Business Overview & Revenue Model

Company DescriptionLos Cerros Limited (LCL) is a mineral exploration company primarily focused on the discovery and development of gold and copper resources. The company operates within the mining sector with a particular emphasis on projects located in Colombia. LCL's core business involves the exploration and potential future development of its strategic land holdings, aiming to identify economically viable mineral deposits.
How the Company Makes MoneyLos Cerros makes money primarily through the exploration and development of mineral resources, with a focus on gold and copper. The company generates revenue by advancing its exploration projects to a stage where they can either be sold to or partnered with larger mining firms, or by eventually developing the mines themselves to produce and sell these minerals. Key revenue streams include funds raised through equity issuance to finance exploration activities, potential joint ventures, and eventual sales of mineral resources extracted from successful mining operations. Significant partnerships with other mining companies or financial institutions may also contribute to project funding and development, enhancing their potential for profitability.

Los Cerros Financial Statement Overview

Summary
Los Cerros faces significant financial challenges characterized by declining revenues, persistent losses, and negative cash flows. While the balance sheet shows a strong equity position with no debt, the overall financial health is weakened by poor profitability and cash flow performance. Strategic improvements in revenue generation, cost control, and cash management are crucial for future stability and growth.
Income Statement
15
Very Negative
Los Cerros has demonstrated a significant decline in revenue, with a sharp drop from $15,518 in 2023 to $1,456 in 2024. The net profit margin remains negative due to continuous losses, and the EBIT and EBITDA margins are also deeply negative, indicating operational inefficiencies. The company needs to improve revenue generation and cost management to stabilize its financial health.
Balance Sheet
40
Negative
The company maintains a strong equity position with no debt reported, resulting in a favorable debt-to-equity ratio. However, the equity ratio has slightly declined over the years, indicating a slight increase in liabilities relative to assets. The return on equity remains negative, reflecting ongoing net losses and challenges in generating shareholder value.
Cash Flow
30
Negative
Cash flow remains a concern, with consistently negative free cash flow indicating challenges in covering capital expenditures and operating needs. The operating cash flow to net income ratio suggests difficulties in converting operations into cash. The company needs to improve cash management and operational efficiencies to enhance liquidity.
Breakdown
Dec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income StatementTotal Revenue
1.46K15.52K17.98K0.000.00
Gross Profit
1.46K332.008.69K-8.45K-19.16K
EBIT
-612.36K-3.69M-4.30M-5.19M-3.70M
EBITDA
-154.13K-31.24M-10.88M-4.22M-3.64M
Net Income Common Stockholders
-1.37M-31.26M-10.89M-5.31M-3.72M
Balance SheetCash, Cash Equivalents and Short-Term Investments
2.78M3.72M8.40M19.25M7.81M
Total Assets
16.61M17.83M36.55M45.64M28.04M
Total Debt
0.000.000.000.0050.00K
Net Debt
-2.78M-3.72M-8.40M-19.25M-7.76M
Total Liabilities
340.67K832.79K718.25K806.48K689.58K
Stockholders Equity
16.27M17.00M35.83M44.83M27.35M
Cash FlowFree Cash Flow
-2.85M-9.54M-12.22M-11.62M-7.29M
Operating Cash Flow
-1.28M-2.01M-2.69M-3.57M-4.72M
Investing Cash Flow
-1.56M-7.48M-9.32M-8.04M-3.23M
Financing Cash Flow
1.92M4.86M1.06M23.06M15.66M

Los Cerros Peers Comparison

Overall Rating
UnderperformOutperform
Sector (51)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
AURMS
80
Outperform
$3.14B8.8826.42%2.21%54.37%310.22%
AUNST
78
Outperform
$29.52B25.0411.01%2.42%25.11%28.88%
AUGOR
76
Outperform
AU$3.65B25.4913.42%0.89%11.93%22.74%
AUSFR
67
Neutral
$5.24B39.515.11%42.05%
AUCHN
56
Neutral
€601.05M-16.63%57.93%
51
Neutral
$2.03B-1.27-21.09%4.14%2.90%-30.49%
AULCL
39
Underperform
AU$8.36M-8.25%95.83%
* Basic Materials Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
AU:LCL
Los Cerros
0.01
0.00
0.00%
AU:NST
Northern Star Resources Ltd
20.99
8.17
63.66%
AU:GOR
Gold Road Resources Ltd
3.38
1.80
114.47%
AU:RMS
Ramelius Resources Limited
2.76
0.98
55.32%
AU:SFR
Sandfire Resources Limited
11.80
3.31
38.99%
AU:CHN
Chalice Mining
1.57
0.22
15.87%

Los Cerros Corporate Events

LCL Resources Divests Colombian Projects and Announces New Gold Resource in PNG
Apr 30, 2025

LCL Resources has executed a Binding Share Purchase Option Agreement with Tiger Gold Corporation for the divestment of its Colombian projects, which include the Quinchia and Andes Gold Projects. The agreement, pending shareholder approval, will provide LCL with $7.5 million in staged payments, an additional $2.5 million upon the first gold pour, and a 1% net smelter royalty. This transaction allows Tiger to assume management of the Colombian projects, potentially leading to a public listing. Additionally, LCL announced a maiden Mineral Resource Estimate for the Kusi Gold Project in Papua New Guinea, reporting an inferred resource of 831,000 ounces of gold.

LCL Resources Secures $10M Deal for Colombian Gold Projects
Apr 16, 2025

LCL Resources Limited has executed a $10 million cash option deal with Tiger Gold Corp for the sale of its Colombian assets, including the Andes and Quinchia Gold Projects. The agreement involves staged cash payments totaling $7.5 million within 12 months and an additional $2.5 million upon the first gold pour, along with a 1% net smelter royalty. This revised deal, which removes share consideration, provides LCL with immediate cash flow potential and reduces uncertainty for shareholders. The transaction is subject to shareholder approval, which the company recommends, to facilitate Tiger’s management of the assets and advance development plans.

LCL Resources Announces Annual General Meeting and Director Elections
Apr 8, 2025

LCL Resources Limited, a company listed on the Australian Securities Exchange, has announced its upcoming Annual General Meeting scheduled for May 30, 2025. The meeting will include the election of directors, with nominations closing on April 15, 2025. This announcement signifies an important opportunity for stakeholders to influence the company’s leadership and strategic direction.

LCL Resources Releases 2024 Corporate Governance Statement
Mar 28, 2025

LCL Resources Limited has released its corporate governance statement for the financial year ending December 31, 2024, which is available on their website. The statement outlines the company’s adherence to the ASX Corporate Governance Council’s principles and recommendations, demonstrating a commitment to transparency and accountability in its management practices.

LCL Resources Limited Releases 2024 Annual Financial Report
Mar 28, 2025

LCL Resources Limited, a public company based in Australia, has released its annual financial report for the year ending December 31, 2024. The report, which was authorized for issue on March 28, 2025, provides a comprehensive overview of the company’s financial performance, including consolidated statements of profit or loss, financial position, changes in equity, and cash flows. This release is crucial for stakeholders as it offers insights into the company’s financial health and operational efficiency over the past year.

LCL Resources Clarifies ASX Query on Colombian Asset Sale
Mar 12, 2025

LCL Resources Limited, listed on the ASX, has addressed an ASX query regarding its Colombian assets. The company clarified that the Binding Term Sheet for the sale of these assets, announced in December 2024, included exclusivity provisions, and that a competing offer was not viable. LCL emphasized its compliance with ASX Listing Rules and its commitment to shareholder interests.

LCL Resources Unveils Maiden Resource Estimate for Ono Gold Project
Feb 20, 2025

LCL Resources Ltd has announced a maiden JORC Mineral Resource estimate for its 100% owned Ono Gold Project in PNG, with an inferred resource of 18.3 million tonnes at 1.42 grams per tonne of gold, totaling 831,000 ounces. This estimate, developed by WSP Australia, highlights the project’s geological potential, particularly around the Kusi skarn deposit. The company is planning further exploration, including potential use of 3D Induced Polarity to investigate deeper mineralization and is focused on expanding its copper-gold exploration efforts in PNG. This announcement aligns with their strategy to streamline operations and focus on high-potential assets, supported by shareholder backing.

LCL Resources Initiates Trading Halt Ahead of Key Resource Estimate Release
Feb 19, 2025

LCL Resources Limited announced a trading halt on its securities pending the release of a significant announcement regarding a maiden resource estimate at its Kusi Project in Papua New Guinea. The halt will remain until the announcement is made or normal trading resumes, potentially impacting the company’s market positioning and stakeholder interests as it reveals new resource insights.

LCL Resources Faces Strategic Shift After Shareholder Meeting
Feb 17, 2025

LCL Resources Limited, operating under the ticker ASX:LCL, held a general meeting of shareholders to vote on several resolutions concerning its business operations. The company is involved in the resource sector, focusing on managing and potentially selling its assets. In the meeting, Resolution 1, which proposed the sale of LCL’s Colombian assets to Tiger Gold Corporation, was not approved, meaning the company will not receive the $1 million tied to the option agreement with Tiger Gold Corporation. Resolutions 2 and 3 were carried, though specific details were not disclosed. The outcome impacts LCL’s strategic plans and financial expectations, and the company will engage with stakeholders to determine its next steps.

LCL Resources Reaffirms Commitment to Asset Sale Agreement with Tiger Gold Corp
Feb 13, 2025

LCL Resources has responded to an online article regarding offers made for its Colombian gold assets. The company confirms it is committed to a previously announced agreement with Tiger Gold Corp for the sale of these assets, and has not engaged in negotiations with any other parties. The company recommends shareholders to vote in favor of the transaction at the upcoming general meeting.

LCL Resources Advances Sale of Colombian Gold Assets
Feb 12, 2025

LCL Resources has announced updates regarding its Share Purchase Option Agreement with Tiger Gold Corp for the sale of its Colombian assets. The company has met or waived key conditions related to the transaction, paving the way for Tiger Gold Corp to make an initial payment upon shareholder approval at an upcoming meeting.

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.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower 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.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.