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Lachlan Star (AU:LSA)
ASX:LSA

Lachlan Star (LSA) AI Stock Analysis

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AU:LSA

Lachlan Star

(Sydney:LSA)

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Neutral 52 (OpenAI - 5.2)
Rating:52Neutral
Price Target:
AU$0.09
▲(51.67% Upside)
Action:ReiteratedDate:02/17/26
The score is held back primarily by weak financial performance (no reported revenue, ongoing losses, and negative cash flow), despite a comparatively strong low-debt balance sheet and improved 2025 cash burn. Technicals are a meaningful offset with a clear uptrend and positive momentum, while valuation is constrained by negative earnings and no dividend support.
Positive Factors
Low leverage / solid capitalization
A very low debt-to-equity ratio and ~12.6M equity against ~13.5M assets provide durable financial flexibility. Low leverage reduces default risk, preserves strategic optionality for funding development or pursuing projects, and supports survival through downturns while revenue remains absent.
Marked improvement in cash burn (2025)
The sharp reduction in operating and free cash outflows year-over-year indicates meaningful progress on cash efficiency or milestone delivery. This structural improvement lengthens runway, lowers near-term financing pressure, and increases the odds management can reach self-sustaining operations.
Substantial narrowing in net losses
A dramatic reduction in reported losses signals execution on cost control or operational progress. Sustained narrowing is a durable positive: it improves runway, strengthens management credibility, and enhances the company’s ability to raise capital on better terms if needed.
Negative Factors
No reported revenue
Absence of reported revenue means the business model’s ability to generate sustainable sales and margins is unproven. Long-term viability depends on translating assets or projects into paying customers; until then, valuation and profitability remain speculative.
Ongoing negative operating and free cash flow
Persistent cash burn requires recurring external financing, which can dilute shareholders and constrain investment in growth. Even with 2025 improvement, continued negative cash generation is a structural weakness that threatens sustainability absent a clear path to revenue.
Negative returns despite capitalization
Although equity is sizable relative to assets, negative ROE shows the current asset base is not generating value for shareholders. Prolonged negative returns will erode equity and limit reinvestment capacity unless the company achieves profitable operations.

Lachlan Star (LSA) vs. iShares MSCI Australia ETF (EWA)

Lachlan Star Business Overview & Revenue Model

Company DescriptionLachlan Star Limited, together with its subsidiaries, engages in the exploration of mineral properties in Australia. It explores for gold, silver, copper, nickel, cobalt, lead, zinc, and PGE deposits. The company holds 100% interests in the Princhester Magnesite project that includes two granted mining leases located to the northwest of Rockhampton, Queensland; and the Killaloe gold project consists of two contiguous exploration licenses and the separate Buldania mining license covering an area of approximately 94 square kilometers located in the Eastern Goldfields, Western Australia. It also holds 75% interest in the Koojan project located in the New Norcia region, Western Australia. The company was formerly known as Toodyay Resources Limited and changed its name to Lachlan Star Limited in November 2007. Lachlan Star Limited was incorporated in 1970 and is based in West Perth, Australia.
How the Company Makes MoneyLachlan Star makes money primarily through the exploration, development, and potential sale of mineral resource projects. The company's revenue model involves acquiring promising mining properties, conducting geological surveys and exploratory drilling to assess mineral deposits, and subsequently developing these projects to the point of production or sale. Key revenue streams may include the sale of extracted minerals, joint ventures, or the sale of mining rights to other companies. Significant partnerships with other mining companies or investors can also contribute to its earnings, providing capital or sharing expertise to further develop its projects. However, specific financial data and partnership details are not available.

Lachlan Star Financial Statement Overview

Summary
Financials are weak overall: revenue is reported as 0 across periods and the company remains loss-making with recurring negative operating and free cash flow. The balance sheet is a relative strength with very low leverage, and 2025 shows sharp improvement in losses and cash burn, but profitability and self-funding are not yet demonstrated.
Income Statement
12
Very Negative
The income statement remains weak: revenue is reported at 0 across all periods provided, and the company continues to post losses (net income was -3,410 in 2025 vs. -1,779,000 in 2024). Losses have narrowed materially in the latest year, but profitability is still negative and margins are not meaningful given the lack of reported revenue.
Balance Sheet
63
Positive
The balance sheet is a relative strength. Leverage is low (debt-to-equity ~0.012 in 2025), with equity of ~12.6M against assets of ~13.5M, suggesting a solid capitalization profile. However, returns remain negative (ROE slightly negative in 2025), reflecting that the asset/equity base is not yet generating profits.
Cash Flow
22
Negative
Cash flow quality is pressured by ongoing cash burn: operating cash flow and free cash flow are negative in each year shown, although 2025 improved sharply (operating cash flow -1,012 vs. -789,617 in 2024; free cash flow -4,036 vs. -1,604,252). The company is moving in the right direction, but it is not yet self-funding and remains dependent on external capital if losses persist.
BreakdownJun 2025Jun 2024Jun 2023Jun 2022Jun 2021
Income Statement
Total Revenue0.000.000.000.000.00
Gross Profit-52.32K-36.30K0.000.000.00
EBITDA-567.00K-374.42K-418.03K-842.00K
Net Income-3.41K-1.78M-374.42K-418.03K-842.00K
Balance Sheet
Total Assets13.53M12.06M6.60M7.00M7.14M
Cash, Cash Equivalents and Short-Term Investments1.81M1.61M3.37M4.33M4.68M
Total Debt150.16K183.82K0.000.000.00
Total Liabilities967.04K461.19K74.58K102.38K59.96K
Stockholders Equity12.56M11.60M6.53M6.90M7.08M
Cash Flow
Free Cash Flow-4.04K-1.60M-959.95K-590.83K-873.20K
Operating Cash Flow-1.01K-789.62K-388.62K-288.88K-504.07K
Investing Cash Flow-3.05K-963.47K-571.33K-301.95K-369.14K
Financing Cash Flow4.25K0.00237.50K237.50K3.77M

Lachlan Star Technical Analysis

Technical Analysis Sentiment
Positive
Last Price0.06
Price Trends
50DMA
0.07
Positive
100DMA
0.06
Positive
200DMA
0.07
Positive
Market Momentum
MACD
<0.01
Positive
RSI
62.99
Neutral
STOCH
66.67
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AU:LSA, the sentiment is Positive. The current price of 0.06 is below the 20-day moving average (MA) of 0.08, below the 50-day MA of 0.07, and below the 200-day MA of 0.07, indicating a bullish trend. The MACD of <0.01 indicates Positive momentum. The RSI at 62.99 is Neutral, neither overbought nor oversold. The STOCH value of 66.67 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for AU:LSA.

Lachlan Star Peers Comparison

Overall Rating
UnderperformOutperform
Sector (61)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
61
Neutral
$10.43B7.12-0.05%2.87%2.86%-36.73%
53
Neutral
AU$109.72M-43.14-6.39%37.04%
52
Neutral
AU$25.14M-6.57-27.28%-48.91%
44
Neutral
AU$22.63M-3.33-19.89%68.42%
41
Neutral
AU$17.08M-0.87-296.44%51.48%
* Basic Materials Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
AU:LSA
Lachlan Star
0.09
0.02
38.46%
AU:ARV
Artemis Resources
0.01
0.00
0.00%
AU:AMD
Arrow Minerals Limited
0.02
-0.02
-50.00%
AU:CBE
Cobre Limited
0.22
0.16
258.33%

Lachlan Star Corporate Events

Lachlan Star to court investors at Resources Rising Stars conference
Feb 9, 2026

Lachlan Star Limited said its chief executive, Andrew Tyrrell, will present at the Resources Rising Stars Summer Series conferences in Sydney on 10 February and Brisbane on 12 February 2026. The appearances will give the gold and copper explorer an opportunity to showcase its Western Australian and New South Wales exploration portfolio to an audience of investors and shareholders, potentially broadening market awareness and support for its projects.

The Sydney leg will be held at the Four Seasons Hotel with Tyrrell scheduled to speak in the afternoon session, while the Brisbane event will take place at the InterContinental Brisbane with his presentation set around midday. By participating in this investor-focused forum, Lachlan Star is positioning itself to highlight the potential of its Norseman and Lachlan Fold Belt assets, which could influence capital markets interest and stakeholder engagement as exploration advances.

The most recent analyst rating on (AU:LSA) stock is a Hold with a A$0.08 price target. To see the full list of analyst forecasts on Lachlan Star stock, see the AU:LSA Stock Forecast page.

Lachlan Star Leverages Norseman Acquisition to Drive High-Grade Gold Exploration
Feb 8, 2026

Lachlan Star has outlined its strategy around a transformational acquisition in the Norseman district, highlighting high-grade gold potential at the New Waverley and Killaloe projects. The company is leveraging recent and planned drilling campaigns, together with historical exploration data from other operators, to build confidence in the scale and continuity of mineralisation.

The release reiterates that exploration results referenced are drawn from prior ASX announcements and remain current, reinforcing the company’s technical disclosures and compliance. By emphasising high-grade intercepts and ongoing work programs, Lachlan Star signals a push to enhance its exploration credentials and attract investor interest in a competitive Australian gold sector.

The most recent analyst rating on (AU:LSA) stock is a Hold with a A$0.08 price target. To see the full list of analyst forecasts on Lachlan Star stock, see the AU:LSA Stock Forecast page.

Lachlan Star Announces Resignation of Joint Company Secretary
Feb 5, 2026

Lachlan Star Limited has announced the immediate resignation of joint company secretary Lisa Wynne, with the board expressing its thanks for her contribution. Andrea Betti will continue as the sole company secretary and will remain responsible for managing communications between Lachlan Star and the ASX, ensuring continuity in the company’s corporate governance and regulatory liaison.

The most recent analyst rating on (AU:LSA) stock is a Hold with a A$0.08 price target. To see the full list of analyst forecasts on Lachlan Star stock, see the AU:LSA Stock Forecast page.

Lachlan Star touts New Waverley gold acquisition
Feb 4, 2026

The company has released an investor presentation detailing its acquisition of the high-grade New Waverley Gold Project, positioning the deal as transformational for its exploration pipeline. Management underscores the strategic fit of New Waverley with prior drilling successes at Killaloe and highlights the project’s potential to elevate Lachlan Star’s standing among emerging gold developers, though the release is largely promotional and accompanied by customary legal disclaimers.

The most recent analyst rating on (AU:LSA) stock is a Hold with a A$0.08 price target. To see the full list of analyst forecasts on Lachlan Star stock, see the AU:LSA Stock Forecast page.

Lachlan Star Schedules Webinar on New Waverley Gold Acquisition
Feb 4, 2026

Lachlan Star will host a live investor webinar on 5 February 2026, led by CEO Andrew Tyrrell, to brief stakeholders on the proposed 90% acquisition of the New Waverley Gold Project in Western Australia’s Norseman district and outline near-term exploration plans and milestones. The session aims to deepen market understanding of how the project could expand the company’s portfolio and influence forthcoming exploration workflows, with a recording to be made available for broader access.

The most recent analyst rating on (AU:LSA) stock is a Hold with a A$0.08 price target. To see the full list of analyst forecasts on Lachlan Star stock, see the AU:LSA Stock Forecast page.

Lachlan Star Plans 133 Million-Share Placement to Boost Capital
Feb 4, 2026

Lachlan Star plans to issue up to 133.3 million new fully paid ordinary shares via an ASX placement scheduled for 4 May 2026, signalling a move to bolster its capital base for ongoing corporate or project needs. The sizeable equity raise indicates an effort to strengthen liquidity and could influence shareholder dilution and funding flexibility as the company positions itself for future exploration or development activity.

The most recent analyst rating on (AU:LSA) stock is a Hold with a A$0.08 price target. To see the full list of analyst forecasts on Lachlan Star stock, see the AU:LSA Stock Forecast page.

Lachlan Star Buys High-Grade New Waverley Gold Project in Norseman Push
Feb 4, 2026

Lachlan Star has signed a binding agreement to acquire a 90% interest in the high-grade New Waverley Gold Project in Western Australia’s Norseman mining district from local prospector David “Golly” Pascoe, consolidating its land position between its existing Killaloe Gold Project and Pantoro Gold’s large Norseman operation. The project area, which includes two mining leases over the north-eastern continuation of the Woolyeenyer Formation, has seen little modern systematic exploration despite historic high-grade drill intercepts, and Lachlan Star plans to begin reverse circulation and diamond drilling in March, supported by detailed structural mapping and sampling of pits and historical surface dumps. The company has also strengthened its technical capability by appointing former Pantoro non-executive director and ex-Kambalda mine manager Colin McIntyre as technical advisor, positioning Lachlan Star to systematically test and potentially extend known mineralisation in a well-serviced, infrastructure-rich gold district.

The most recent analyst rating on (AU:LSA) stock is a Hold with a A$0.08 price target. To see the full list of analyst forecasts on Lachlan Star stock, see the AU:LSA Stock Forecast page.

Lachlan Star Requests ASX Trading Halt Ahead of Proposed Acquisition Announcement
Feb 2, 2026

Lachlan Star Limited has requested a trading halt on its securities on the ASX pending the release of an announcement regarding a proposed acquisition. The halt will remain in place until either the announcement is released or normal trading commences on 4 February 2026, with the company stating it is unaware of any reasons the halt should not be granted or any additional information required to inform the market, signaling that a potentially significant transaction is in progress that could affect shareholders once details are disclosed.

The most recent analyst rating on (AU:LSA) stock is a Hold with a A$0.08 price target. To see the full list of analyst forecasts on Lachlan Star stock, see the AU:LSA Stock Forecast page.

Lachlan Star Extends Shallow Gold System at Killaloe and Advances North Cobar Drilling
Jan 29, 2026

Lachlan Star’s latest quarterly report highlights intensified exploration at its flagship Killaloe Gold Project, driven by stronger gold prices and encouraging drill results that extend a broad, shallow gold system at the Duke Main prospect. Recent reverse circulation drilling has confirmed the down-dip continuity of mineralisation at Duke Main, with the system remaining open along strike and at depth, while heritage clearance surveys now grant access to key structural corridors at Duke East and Duchess for follow-up step-out and infill drilling along a 1km strike length. The company also completed maiden drilling at its North Cobar Project in New South Wales, intersecting hydrothermal alteration associated with trace base and precious metals, and is reassessing geophysical data to refine targets, supported by a grant of up to $118,000 under Western Australia’s Exploration Incentive Scheme to co-fund diamond drilling of priority structural positions at Killaloe.

The most recent analyst rating on (AU:LSA) stock is a Hold with a A$0.08 price target. To see the full list of analyst forecasts on Lachlan Star stock, see the AU:LSA Stock Forecast page.

Lachlan Star Limited Announces Changes in Company Secretary Positions
Dec 8, 2025

Lachlan Star Limited, a company listed on the Australian Securities Exchange, has announced changes in its company secretary positions. Andrea Betti has been appointed as the new Company Secretary, while Lisa Wynne will serve as Joint Company Secretary. Both appointees bring extensive experience in accounting, corporate governance, and finance, enhancing the company’s leadership team. The outgoing Company Secretary, Russell Hardwick, has been thanked for his contributions. These changes are expected to strengthen Lachlan Star’s corporate governance and communication with the ASX.

Lachlan Star Director Increases Stake in Company
Dec 3, 2025

Lachlan Star Limited has announced a change in the director’s interest in securities, specifically involving Anastasia (Stacey) Apostolou. The director has increased her indirect interest in the company by acquiring 300,000 ordinary shares through participation in a Tranche 2 placement, following shareholder approval. This change reflects a significant increase in her holdings, from 250,000 to 550,000 shares, valued at $15,000. This move could potentially impact the company’s governance and shareholder dynamics, indicating a strengthened commitment from the director.

Lachlan Star Completes Second Tranche of Share Placement
Dec 1, 2025

Lachlan Star Limited, an ASX-listed company, announced the completion of Tranche two of its placement, issuing 6.6 million fully paid ordinary shares at $0.05 per share. This move, initially announced in August 2025, was conducted without disclosure under Part 6D.2 of the Corporations Act, and the company confirmed compliance with relevant provisions of the Act, indicating no excluded information needed disclosure.

Lachlan Star Limited Issues New Securities on ASX
Dec 1, 2025

Lachlan Star Limited has announced the issuance of 6,600,000 fully paid ordinary securities, which will be quoted on the Australian Securities Exchange (ASX) under the code LSA. This move is part of a previously announced transaction, potentially impacting the company’s market presence and offering new opportunities for stakeholders.

Lachlan Star Secures Strong Shareholder Support at 2025 AGM
Nov 26, 2025

Lachlan Star Limited announced the successful results of its 2025 Annual General Meeting, where all resolutions were passed by a significant majority. The resolutions included the adoption of the remuneration report, re-election of directors, and approval of share issuances under various placements and mandates. This outcome reflects strong shareholder support and positions the company for continued strategic initiatives and growth.

Lachlan Star Expands Exploration Efforts with Promising Drilling Results
Nov 26, 2025

Lachlan Star Limited, listed on the ASX under the ticker LSA, has released a presentation detailing its exploration activities at various projects, including Killaloe and North Cobar. The company is focused on gold and copper exploration, with recent drilling confirming significant gold zones and high-potential targets. This announcement underscores Lachlan Star’s strategic focus on expanding its exploration efforts, which could enhance its market position and provide potential value for its stakeholders.

Lachlan Star Unveils Promising Gold Assay Results at Killaloe Project
Nov 23, 2025

Lachlan Star Limited has announced promising assay results from its recent drilling program at the Killaloe Gold Project in Western Australia. The results confirm the presence of wide gold zones, particularly at the Duke Main prospect, and highlight the potential for further exploration to the east and north. The company plans additional drilling early next year, supported by a grant from the Western Australian Government’s Exploration Incentive Scheme. This development underscores the under-explored nature of the Killaloe project and its potential for significant gold discoveries, which could enhance Lachlan Star’s position in the gold exploration sector.

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.Date of analysis: Feb 17, 2026