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Linkage Global Inc (LGCB)
NASDAQ:LGCB
US Market

Linkage Global Inc (LGCB) AI Stock Analysis

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Linkage Global Inc

(NASDAQ:LGCB)

42Neutral
Linkage Global Inc is currently facing severe financial and operational challenges. The company's declining revenue and negative profit margins are significant concerns. Technical indicators suggest a strong downward trend with no immediate signs of reversal. Valuation metrics are poor, highlighting potential overvaluation issues. Overall, the stock presents a high-risk profile with no clear catalysts for improvement.

Linkage Global Inc (LGCB) vs. S&P 500 (SPY)

Linkage Global Inc Business Overview & Revenue Model

Company DescriptionLinkage Global Inc, through its subsidiaries, operates as a cross-border e-commerce integrated services provider in Japan, Mainland China, and internationally. It provides cross-border product sales; digital marketing services; and e-commerce operation training and software support services. Linkage Global Inc was founded in 2011 and is headquartered in Tokyo, Japan.
How the Company Makes Money

Linkage Global Inc Financial Statement Overview

Summary
Linkage Global Inc is facing significant financial challenges, characterized by declining revenues, negative margins, and operational inefficiencies. While the balance sheet reflects manageable leverage, the negative cash flows point towards potential liquidity issues. The company needs to address its profitability and cash management to improve its financial health.
Income Statement
35
Negative
The company has experienced a significant decline in revenue over the past year with a negative revenue growth rate. Both gross profit margin and net profit margin are negative, indicating poor profitability. EBIT and EBITDA margins are also negative, showing operational challenges.
Balance Sheet
60
Neutral
The debt-to-equity ratio is moderate, suggesting manageable leverage levels. However, the return on equity is negative due to ongoing losses. The equity ratio indicates a stable proportion of equity in the asset base, which is a positive sign.
Cash Flow
40
Negative
The company shows negative free cash flow with a deterioration over the past year. The operating cash flow to net income ratio is negative, reflecting operational inefficiencies. Free cash flow to net income is also negative.
Breakdown
TTMSep 2024Sep 2023Sep 2022Sep 2021
Income StatementTotal Revenue
12.73M10.29M12.73M22.03M15.47M
Gross Profit
1.86M4.17M1.86M3.70M2.54M
EBIT
-696.75K-76.56K-696.75K1.22M881.00K
EBITDA
-350.63K235.51K-431.75K1.61M914.37K
Net Income Common Stockholders
-652.73K-439.34K-652.73K1.07M751.67K
Balance SheetCash, Cash Equivalents and Short-Term Investments
3.50M2.00M1.11M3.69M1.78M
Total Assets
11.12M12.69M10.63M9.29M7.58M
Total Debt
3.57M2.94M3.16M3.34M4.24M
Net Debt
72.07K938.69K2.05M-343.35K2.46M
Total Liabilities
6.36M5.67M7.14M6.56M5.86M
Stockholders Equity
4.76M7.02M3.50M2.73M1.73M
Cash FlowFree Cash Flow
-3.90M-1.64M-3.90M687.54K-1.85M
Operating Cash Flow
-3.88M-1.64M-3.88M1.17M1.22M
Investing Cash Flow
1.83M-365.43K1.83M743.73K-3.21M
Financing Cash Flow
-398.39K2.88M-398.39K45.74K2.02M

Linkage Global Inc Technical Analysis

Technical Analysis Sentiment
Neutral
Last Price1.66
Price Trends
50DMA
2.19
Negative
100DMA
2.59
Negative
200DMA
9.42
Negative
Market Momentum
MACD
-0.02
Positive
RSI
28.75
Positive
STOCH
17.38
Positive
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For LGCB, the sentiment is Neutral. The current price of 1.66 is below the 20-day moving average (MA) of 1.72, below the 50-day MA of 2.19, and below the 200-day MA of 9.42, indicating a neutral trend. The MACD of -0.02 indicates Positive momentum. The RSI at 28.75 is Positive, neither overbought nor oversold. The STOCH value of 17.38 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for LGCB.

Linkage Global Inc Risk Analysis

Linkage Global Inc disclosed 71 risk factors in its most recent earnings report. Linkage Global Inc reported the most risks in the “Finance & Corporate” category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks

Linkage Global Inc Peers Comparison

Overall Rating
UnderperformOutperform
Sector (54)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
75
Outperform
$10.49B48.2020.49%15.96%31.76%
70
Outperform
$56.13B50.1449.69%12.35%22.28%
66
Neutral
$72.60B65.9126.13%13.48%0.66%
66
Neutral
$27.15B45.3110.03%12.11%14.35%
63
Neutral
$66.29B30.0916.27%-1.19%48.33%
54
Neutral
$4.00B-17.16-14.99%6.34%25.52%-80.16%
42
Neutral
$5.11M-8.42%-25.83%50.00%
* General Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
LGCB
Linkage Global Inc
1.92
-31.78
-94.30%
ANSS
Ansys
296.50
-37.70
-11.28%
ADSK
Autodesk
256.92
19.94
8.41%
CDNS
Cadence Design
254.02
-51.83
-16.95%
SNPS
Synopsys
406.89
-150.27
-26.97%
PCTY
Paylocity
183.78
15.71
9.35%
Glossary
OutperformA stock rated as "Outperform" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock is likely to deliver higher returns compared to the average returns of other stocks in the same sector or market index. Investors might consider this stock a good buying opportunity.
NeutralA stock rated as "Neutral" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly attractive nor unattractive for investment. Investors may consider holding onto the stock, as it is not expected to either significantly outperform or underperform the market.
UnderperformA stock rated as "Underperform" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock may deliver lower returns compared to the average returns of other stocks in the same sector or market index. Investors might consider selling the stock or avoiding it as an investment.

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.