Century Lithium (LCE) AI Stock Analysis

• Market Cap: C$56.81M
• Dividend Yield: N/A
• Average Volume (3M): 49.05K
• Price to Earnings (P/E): ―
• Beta (1Y): -0.02
• Revenue Growth: N/A
• EPS Growth: 30.08%
• Country: CA
• Employees: 183
• Sector: Real Estate
• Sector Strength: 79
• Industry: Industrial Materials
• EPS (TTM): -0.02
• Shares Outstanding: 149,499,540
• 10 Day Avg. Volume: 34,707
• 30 Day Avg. Volume: 49,048
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): 0.00
• Price to Cash Flow (P/CF): 0.00
• P/FCF Ratio: 0.00
• 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: C$1.50
• Price Target Upside: 294.74% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 0

Century Lithium faces significant financial challenges with persistent losses and negative cash flows, heavily impacting its overall score. While technical indicators suggest some positive market trends, the lack of profitability and absence of dividends weigh down the valuation. Recent corporate developments show promise but do not significantly alter the financial outlook at this time.

Century Lithium Business Overview & Revenue Model

Company Description

Century Lithium (LCE) is a company engaged in the exploration and development of lithium resources. It operates primarily within the mining and materials sector, focusing on the extraction and processing of lithium, which is a critical component in the production of batteries for electric vehicles, consumer electronics, and energy storage systems.

How the Company Makes Money

Century Lithium generates revenue through the extraction and sale of lithium. The company's primary revenue stream comes from selling lithium products to manufacturers in the automotive, electronics, and energy sectors, who use lithium in the production of batteries. Century Lithium may also engage in strategic partnerships and off-take agreements with battery manufacturers and other stakeholders in the supply chain, ensuring a consistent demand for its lithium products. Additionally, the company might invest in research and development to optimize extraction processes and reduce costs, thereby enhancing its profitability.

Century Lithium Financial Statement Overview

Summary

Century Lithium's financial health is hindered by a persistent lack of revenue, leading to continuous losses and negative cash flows. While the equity position is strong, the business faces challenges in operational efficiency and cash generation, posing significant risks to sustainability.

Income Statement

Century Lithium has consistently reported no revenue, which is a significant concern. EBIT, EBITDA, and Net Income have been negative for several years, indicating ongoing operational challenges and lack of profitability. The lack of revenue growth and persistent losses highlight a challenging financial position in terms of income generation.

Balance Sheet

The company's balance sheet shows a strong equity position with Stockholders' Equity consistently outweighing Total Liabilities, leading to a favorable Equity Ratio. However, the Debt-to-Equity ratio is low due to minimal use of debt, which may limit growth opportunities. The overall financial stability is somewhat supported by high equity, but absence of revenue generation remains a concern.

Cash Flow

Operating and Free Cash Flows have been negative, indicating challenges in cash generation from core operations. The negative Free Cash Flow growth rate reflects a worsening cash position, while consistent negative Operating Cash Flow to Net Income Ratio highlights inefficiencies in turning income into cash. Overall, cash flow management remains a critical area for improvement.

Breakdown
Dec 2023	Dec 2022	Dec 2021	Dec 2020	Dec 2019
Income Statement		Total Revenue
0.00	0.00	0.00	0.00	0.00
	Gross Profit
-2.64K	-2.05K	-526.00	0.00	-1.66K
	EBIT
-3.42M	-5.40M	-3.35M	-1.42M	-1.36M
	EBITDA
-3.42M	-5.02M	-2.85M	-862.94K	-1.60M
	Net Income Common Stockholders
-3.94M	-4.96M	-2.69M	-862.94K	-1.60M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
14.39M	27.27M	23.16M	2.12M	1.53M
	Total Assets
55.67M	58.32M	37.27M	6.86M	5.29M
	Total Debt
571.90K	811.25K	1.02M	0.00	0.00
	Net Debt
-13.80M	-25.74M	-22.12M	-2.10M	-1.52M
	Total Liabilities
1.02M	1.35M	1.37M	127.20K	87.42K
	Stockholders Equity
54.66M	56.97M	35.90M	6.74M	5.20M
Cash Flow		Free Cash Flow
-12.57M	-14.21M	-7.27M	-1.61M	-2.73M
	Operating Cash Flow
-2.44M	-2.64M	-1.56M	-639.12K	-1.16M
	Investing Cash Flow
-9.43M	-12.27M	-6.04M	-948.13K	-1.43M
	Financing Cash Flow
-55.42K	17.75M	28.63M	2.17M	2.49M

Century Lithium Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.38
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:LCE, the sentiment is Positive. The current price of 0.38 is above the 20-day moving average (MA) of 0.35, above the 50-day MA of 0.30, and above the 200-day MA of 0.29, indicating a bullish trend. The MACD of 0.02 indicates Positive momentum. The RSI at 53.54 is Neutral, neither overbought nor oversold. The STOCH value of 73.33 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TSE:LCE.

Century Lithium Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	60 Neutral	$2.95B	11.32	0.26%	8508.24%	6.34%	-14.00%
OCO	41 Neutral	C$86.36M	―	-4.45%	―	―	-26.76%
LCE	40 Underperform	C$56.81M	―	-5.17%	―	―	30.08%
LBNK	39 Underperform	C$11.64M	―	-41.75%	―	―	48.54%
NRM	37 Underperform	C$10.29M	―	-42.96%	―	―	72.76%
LIS	35 Underperform	C$11.02M	―	-41.60%	―	―	41.41%
LIT	31 Underperform	C$11.40M	―	-32.35%	―	―	62.18%

Century Lithium Corporate Events

Century Lithium Advances Angel Island Project Amid U.S. Policy Support

Century Lithium Corp. has provided an update on its Angel Island lithium project in Nevada, emphasizing its alignment with recent U.S. government initiatives to prioritize domestic mining and processing of critical minerals. The company is advancing through the permitting process with the Bureau of Land Management, aiming to support a secure U.S.-based lithium supply chain, which is crucial for battery production in energy storage and electric vehicles. The project is expected to yield an average of 34,000 tonnes per year of lithium carbonate over a 40-year mine life, positioning Century Lithium as a key player in the domestic lithium market.

Spark’s Take on TSE:LCE Stock

According to Spark, TipRanks’ AI Analyst, TSE:LCE is a Neutral.

Century Lithium faces significant financial challenges with persistent losses and negative cash flows, heavily impacting its overall score. While technical indicators suggest some positive market trends, the lack of profitability and absence of dividends weigh down the valuation. Recent corporate developments show promise but do not significantly alter the financial outlook at this time.

To see Spark’s full report on TSE:LCE stock, click here.

Century Lithium Reports Promising CAPEX Reductions at Angel Island Project

Century Lithium Corp. announced positive results from its Optimization Study at the Angel Island Lithium Project in Nevada, revealing potential CAPEX reductions of up to 25%. These improvements, if confirmed by an updated Feasibility Study, are expected to significantly enhance the project’s economics and position Angel Island as a key asset in the U.S. lithium strategy, despite current market challenges.