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Lucas GC Limited (LGCL)
NASDAQ:LGCL
US Market
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Lucas GC Limited (LGCL) AI Stock Analysis

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LGCL

Lucas GC Limited

(NASDAQ:LGCL)

Rating:63Neutral
Price Target:
$1.00
▲(66.67%Upside)
Lucas GC Limited's overall stock score reflects a mixed financial performance with operational challenges and cash flow concerns. Technical analysis indicates bearish momentum, though valuation appears reasonable. The absence of earnings call data and corporate events limits additional insights.

Lucas GC Limited (LGCL) vs. SPDR S&P 500 ETF (SPY)

Lucas GC Limited Business Overview & Revenue Model

Company DescriptionLucas GC Limited, through its subsidiaries, provides online agent-centric human capital management services based on platform-as-a-service (PaaS) in the People's Republic of China. Its Star Career and Columbus platforms enables registered users to receive customized job recommendations and work as talent scouts to source suitable candidates for its corporate customers through their social network, as well as receive trainings and other value-added services. The company's platform provides permanent and flexible employment recruitment services; outsourcing services primarily for technology-related projects to design, develop, and deliver the projects within budget and on time with acceptable quality; information technology services to generate sales leads for its corporate customers; and training services comprising career-related certification programs. In addition, it engages in the media and entertainment business; and provides management consulting services. The company was founded in 2011 and is based in Beijing, China. Lucas GC Limited operates as a subsidiary of HTL Lucky Holding Limited.
How the Company Makes MoneyLGCL generates revenue through its primary business activities in construction and engineering projects. The company secures contracts from both private and public sector clients, which include government infrastructure projects, commercial real estate developments, and residential building contracts. Revenue streams include project fees, design and engineering consulting services, and long-term maintenance contracts. Key partnerships with suppliers and subcontractors, as well as strategic alliances with technology and equipment providers, enhance LGCL's operational efficiency and profitability. Additionally, LGCL may engage in property development ventures, creating value through the sale or leasing of developed properties.

Lucas GC Limited Financial Statement Overview

Summary
Lucas GC Limited has demonstrated significant revenue growth and a strong equity position, which are positives for the company's expansion plans. However, the profitability margins and cash flow management pose challenges. The company's low leverage and high return on equity are strengths, but operational efficiency needs improvement. Maintaining positive free cash flow will be crucial for future stability.
Income Statement
65
Positive
The company has shown strong revenue growth over the years, growing from $33.35M in 2020 to $1.47B in 2023, indicating significant scaling. However, the gross and net profit margins have seen volatility, with the latest annual gross profit margin at approximately 28.4% and net profit margin at 5.3%. Despite the growth, the EBIT and EBITDA margins are relatively low, with the latest EBIT margin at 1.9% and EBITDA margin at 2.5%, suggesting limited operational efficiency.
Balance Sheet
72
Positive
Lucas GC Limited has a strong equity base with a debt-to-equity ratio of approximately 0.26 in 2023, indicating low leverage. The return on equity has improved over the years, with the latest ROE at 40%, showcasing effective use of equity. The equity ratio is also healthy at around 66.5%, highlighting a strong capital structure. However, total liabilities have increased, which could pose future risks if not managed properly.
Cash Flow
58
Neutral
The company's free cash flow has been negative in recent years, with a significant drop from -$48.51M in 2023 to -$56.98M in 2024, highlighting cash management challenges. The operating cash flow to net income ratio was negative in 2023, improving to a positive 0.51 in 2024, indicating better cash conversion. However, the consistent negative free cash flow is concerning for long-term sustainability.
BreakdownDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue1.06B1.47B113.84M101.13M33.35M
Gross Profit357.40M418.55M31.96M27.77M8.38M
EBITDA36.86M72.02M34.97M38.64M3.23M
Net Income39.79M77.67M5.37M6.13M665.87K
Balance Sheet
Total Assets403.25M291.82M34.70M35.48M9.86M
Cash, Cash Equivalents and Short-Term Investments33.18M30.12M7.09M11.63M1.69M
Total Debt68.03M39.47M970.84K0.000.00
Total Liabilities137.67M95.23M17.76M22.74M7.26M
Stockholders Equity262.83M194.14M16.67M12.70M2.60M
Cash Flow
Free Cash Flow-56.98M-48.51M-4.28M5.66M-766.71K
Operating Cash Flow20.19M-36.41M-2.25M9.40M352.20K
Investing Cash Flow-79.95M-12.10M2.50M-7.42M-1.78M
Financing Cash Flow60.75M29.42M507.60K4.11M1.84M

Lucas GC Limited Technical Analysis

Technical Analysis Sentiment
Negative
Last Price0.60
Price Trends
50DMA
0.80
Negative
100DMA
0.64
Negative
200DMA
0.71
Negative
Market Momentum
MACD
<0.01
Positive
RSI
23.14
Positive
STOCH
19.98
Positive
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For LGCL, the sentiment is Negative. The current price of 0.6 is below the 20-day moving average (MA) of 1.02, below the 50-day MA of 0.80, and below the 200-day MA of 0.71, indicating a bearish trend. The MACD of <0.01 indicates Positive momentum. The RSI at 23.14 is Positive, neither overbought nor oversold. The STOCH value of 19.98 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for LGCL.

Lucas GC Limited Peers Comparison

Overall Rating
UnderperformOutperform
Sector (56)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
67
Neutral
$48.59M198.560.75%9.18%
63
Neutral
$92.64M11.7140.01%
57
Neutral
$49.14M-16.05%-9.72%25.68%
56
Neutral
$6.25B22.13-28.61%6.05%10.73%-32.66%
48
Neutral
$40.65M32.63-2.82%-36.35%-153.77%
44
Neutral
$23.73M40.01%
$21.26M
* General Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
LGCL
Lucas GC Limited
0.60
-1.83
-75.31%
AWRE
Aware
2.24
0.24
12.00%
NTWK
Netsol Technologies
4.44
1.53
52.58%
MTC
MMTec
0.94
-1.59
-62.85%
HKIT
Hitek Global
1.40
-0.09
-6.04%
STEC
Santech Holdings
0.74
0.43
138.71%
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: Jul 28, 2025