Lacroix Group SA (LACR) AI Stock Analysis

• Market Cap: €63.21M
• Dividend Yield: 5.91%
• Average Volume (3M): 9.74K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.12
• Revenue Growth: -29.10%
• EPS Growth: -173.56%
• Country: FR
• Employees: 3,032
• Sector: Technology
• Sector Strength: 88
• Industry: Hardware, Equipment & Parts
• EPS (TTM): -4.18
• Shares Outstanding: 4,829,096
• 10 Day Avg. Volume: 6,126
• 30 Day Avg. Volume: 9,740
• PEG Ratio: <0.01
• Price to Book (P/B): 0.32
• Price to Sales (P/S): 0.07
• P/FCF Ratio: 3.49
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 54 Neutral
• Price Target: €13.50 ▲(13.45% Upside)

The score is primarily weighed down by weak financial performance (declining revenue/margins and recent losses) and limited valuation support due to a negative P/E. Technicals are a partial offset, with price trending above key moving averages, but overbought signals (high RSI/Stoch) temper that strength.

Positive Factors

Cash Flow Resilience

Positive operating cash flow and a recent return to positive free cash flow indicate the business can generate internal funding for working capital and capex. Over 2-6 months this supports operational stability, funds program delivery, and reduces reliance on external financing despite earnings volatility.

Diversified B2B Business Model

A dual model—contract EMS production plus proprietary smart‑infrastructure products—provides multiple revenue channels and client types (OEMs, municipalities, industrials). Structural demand for connected infrastructure and long B2B programs supports revenue durability and customer stickiness over the medium term.

Adequate Equity Backing

Despite increasing leverage, an acceptable equity ratio means assets remain substantially funded by shareholders' equity. This provides a buffer against shocks, supports creditor confidence and preserves options to invest or restructure over the coming months if operational recovery initiatives are implemented.

Negative Factors

Declining Revenue

A steep revenue decline reduces scale benefits, weakens bargaining power with suppliers and customers, and pressures margins. If the top-line contraction persists, it undermines investment capacity and cash conversion, making medium-term recovery and program retention more difficult.

Margin Compression

Sustained declines in gross and operating margins point to either rising input costs, pricing pressure, or lower mix of higher-value work. Margin erosion reduces free cash generation and leaves less room for reinvestment in product development or capacity, risking competitiveness over the next several quarters.

Rising Leverage

Higher leverage increases interest and refinancing risk, limiting financial flexibility to fund growth or absorb further revenue shocks. In an environment of weaker profitability, elevated debt elevates the probability of capital constraints and may force operational trade-offs in the medium term.

Lacroix Group SA Business Overview & Revenue Model

Company Description

LACROIX Group SA develops, industrializes, produces, and integrates electronic assemblies and subassemblies for the automotive, aeronautics, home automation, industrial, and healthcare sectors in France, Germany, Poland, Italy, Spain, and Tunisia. It offers equipment for managing smart road infrastructures in the areas of street lighting, traffic signs, traffic management and regulation, and V2X; and equipment to remotely control, automate, and manage water and energy infrastructure. The company was founded in 1936 and is headquartered in Saint-Herblain, France. LACROIX Group SA operates as a subsidiary of Vinila Investissements.

How the Company Makes Money

Lacroix Group generates revenue through multiple key streams, primarily by selling electronic components and systems to various industries including automotive and industrial sectors. The company earns significant income from the production and sale of connected devices and smart solutions, which are increasingly in demand as industries adopt digital transformation and automation. Additionally, Lacroix Group may engage in strategic partnerships with other technology firms, enhancing its product offerings and expanding its market reach. This collaboration often leads to joint ventures or co-development projects that contribute to revenue growth. The company also benefits from ongoing maintenance and support services related to its products, creating a recurring revenue model that further stabilizes its earnings.

Lacroix Group SA Financial Statement Overview

Summary

Financials are pressured by declining revenue and weakening margins, with net income turning negative. Leverage has increased (higher debt-to-equity), raising risk, but operating cash flow remains positive and free cash flow has recently turned positive, providing some support.

Income Statement

The income statement shows a concerning trend with declining revenue and profitability. Gross profit margin is decreasing, and net income has turned negative in the latest year, indicating challenges in maintaining profitability. The EBIT and EBITDA margins have also weakened, reflecting operational inefficiencies.

Balance Sheet

The balance sheet reveals moderate financial stability but indicates increased leverage. The debt-to-equity ratio has risen, suggesting greater financial risk. However, the equity ratio remains acceptable, indicating adequate asset backing by equity. Return on equity is negatively impacted by recent losses.

Cash Flow

Cash flow analysis shows some resilience with positive operating cash flow, though it has decreased over time. Free cash flow has fluctuated, recently turning positive, which is a positive sign. The free cash flow to net income ratio is strong, suggesting efficient cash conversion despite earnings pressures.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	513.10M	635.52M	761.18M	707.76M	501.45M	566.33M
Gross Profit	95.72M	194.48M	21.63M	212.10M	161.72M	188.98M
EBITDA	20.35M	16.01M	40.55M	41.76M	36.34M	34.90M
Net Income	-40.06M	-33.76M	4.27M	11.88M	21.61M	11.01M
Balance Sheet
Total Assets	455.78M	537.73M	607.10M	591.44M	543.22M	374.73M
Cash, Cash Equivalents and Short-Term Investments	35.86M	43.20M	44.91M	24.89M	33.38M	54.39M
Total Debt	143.22M	169.50M	172.28M	174.61M	150.39M	95.61M
Total Liabilities	341.60M	397.34M	417.04M	397.55M	362.84M	266.74M
Stockholders Equity	110.85M	136.32M	177.91M	174.11M	154.06M	96.77M
Cash Flow
Free Cash Flow	27.61M	12.60M	19.45M	-18.05M	-25.62M	30.77M
Operating Cash Flow	39.33M	29.30M	36.30M	1.47M	4.87M	47.96M
Investing Cash Flow	-13.04M	-14.12M	-13.71M	-18.47M	-102.26M	-23.25M
Financing Cash Flow	-11.64M	-12.35M	10.15M	-2.37M	56.38M	18.51M

Lacroix Group SA Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 11.90
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For FR:LACR, the sentiment is Positive. The current price of 11.9 is below the 20-day moving average (MA) of 12.23, below the 50-day MA of 12.08, and above the 200-day MA of 9.55, indicating a bullish trend. The MACD of 0.23 indicates Negative momentum. The RSI at 79.23 is Negative, neither overbought nor oversold. The STOCH value of 90.24 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for FR:LACR.

Lacroix Group SA Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ALICA	66 Neutral	€50.15M	13.27	―	2.17%	14.84%	15.82%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
LACR	54 Neutral	€63.21M	-1.58	-4.96%	5.91%	-29.10%	-173.56%
ALPWG	44 Neutral	€27.51M	-21.80	―	―	-11.36%	92.25%