Lumine Group Inc (LMN) AI Stock Analysis

• Market Cap: C$7.80B
• Dividend Yield: N/A
• Average Volume (3M): 97.36K
• Price to Earnings (P/E): 56.6
• Beta (1Y): 1.00
• Revenue Growth: 21.17%
• EPS Growth: N/A
• Country: CA
• Employees: 2,300
• Sector: Services
• Sector Strength: N/A
• Industry: Software - Application
• EPS (TTM): 0.14
• Shares Outstanding: 256,620,400
• 10 Day Avg. Volume: 79,946
• 30 Day Avg. Volume: 97,355
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• 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$49.00
• Price Target Upside: 73.33% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 55 Neutral
• Price Target: C$31.00 ▲(9.66% Upside)

Lumine Group Inc. shows strong financial performance with significant revenue growth and improving profitability. However, the stock is currently facing bearish technical indicators and appears overvalued with a high P/E ratio and no dividend yield. These factors contribute to a moderate overall stock score.

Lumine Group Inc Business Overview & Revenue Model

Company Description

Lumine Group Inc. offers communications and media software worldwide. The company was founded in 2022 and is headquartered in Mississauga, Canada.

How the Company Makes Money

Lumine Group Inc generates revenue primarily through a subscription-based model for its software solutions, which allows clients to access its platforms and tools on a recurring basis. Key revenue streams include licensing fees from the use of its software, consulting services for implementation and customization, and ongoing support and maintenance contracts. The company also benefits from strategic partnerships with major telecom providers and technology firms, enabling it to expand its market reach and enhance service offerings. Additionally, revenue is bolstered by the increasing demand for digital transformation services in the telecommunications and media industries.

Lumine Group Inc Financial Statement Overview

Summary

Lumine Group Inc. shows strong revenue growth and improving profitability, with a significant increase in net profit margin and consistent positive cash flows. However, historical volatility in profitability and balance sheet risks require careful management.

Income Statement

Lumine Group Inc. shows strong revenue growth, with a significant increase from $166.4M in 2020 to $705.9M in TTM (Trailing-Twelve-Months) 2025. The gross profit margin remains robust at approximately 49.2% in TTM 2025, indicating efficient cost management. Net profit margin improved to 9.4% in TTM 2025 from a negative position in previous years, reflecting a turnaround in profitability. However, the volatility in EBIT and EBITDA margins, especially the negative EBITDA in recent years, suggests the company is still navigating operational challenges.

Balance Sheet

The balance sheet is stable, with an equity ratio of 53.1% in TTM 2025, indicating a strong capital base. The debt-to-equity ratio is manageable at 0.41, reflecting prudent leverage levels. Return on equity has improved significantly, turning positive in TTM 2025, indicating effective use of shareholder capital. However, the history of negative equity and liabilities exceeding assets in prior years presents a potential risk if financial conditions deteriorate.

Cash Flow

Cash flow metrics are strong, with consistent positive operating cash flow and free cash flow over the periods, supporting the company's liquidity. The operating cash flow to net income ratio is favorable at 1.83 in TTM 2025, suggesting strong cash generation relative to net income. Free cash flow growth has been steady, providing the company with flexibility for investments and debt servicing. However, fluctuations in investing cash flows indicate variability in capital expenditures and investment activities.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	727.09M	668.37M	499.67M	255.75M	228.36M	166.37M
Gross Profit	368.81M	324.22M	233.69M	121.43M	108.26M	153.76M
EBITDA	257.31M	-102.06M	-2.72B	73.60M	68.95M	47.17M
Net Income	92.00M	-258.91M	-2.83B	27.40M	27.47M	20.31M
Balance Sheet
Total Assets	1.33B	1.29B	1.15B	392.83M	328.41M	266.96M
Cash, Cash Equivalents and Short-Term Investments	289.67M	210.98M	146.51M	67.08M	27.11M	35.14M
Total Debt	251.65M	286.50M	165.99M	25.90M	4.62M	2.45M
Total Liabilities	591.43M	609.73M	4.99B	239.05M	155.26M	119.85M
Stockholders Equity	743.28M	678.72M	-3.84B	153.78M	173.15M	147.11M
Cash Flow
Free Cash Flow	185.61M	113.22M	107.09M	33.84M	85.33M	58.85M
Operating Cash Flow	189.62M	116.15M	108.23M	34.63M	86.03M	59.47M
Investing Cash Flow	-3.30M	-148.69M	-318.38M	-115.34M	-14.18M	-10.74M
Financing Cash Flow	-72.69M	100.04M	287.12M	120.80M	-79.64M	-32.54M

Lumine Group Inc Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 28.27
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Positive
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:LMN, the sentiment is Negative. The current price of 28.27 is below the 20-day moving average (MA) of 34.74, below the 50-day MA of 40.76, and below the 200-day MA of 43.52, indicating a bearish trend. The MACD of -3.02 indicates Positive momentum. The RSI at 15.14 is Positive, neither overbought nor oversold. The STOCH value of 9.36 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for TSE:LMN.

Lumine Group Inc Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
KXS	71 Outperform	C$4.72B	136.84	8.24%	―	15.11%	75.40%
ENGH	71 Outperform	$1.13B	15.11	12.56%	6.38%	0.03%	-10.21%
DSG	67 Neutral	$10.38B	50.15	10.54%	―	15.63%	18.47%
OTEX	67 Neutral	$13.64B	20.11	12.32%	2.76%	-5.01%	13.21%
LSPD	61 Neutral	C$2.15B	-2.48	-36.64%	―	18.75%	-386.84%
Sector *	55 Neutral	$13.29B	17.42	10.03%	0.93%	7.13%	-12.93%
LMN	55 Neutral	C$7.80B	56.63	14.07%	―	21.17%	―