Loncor Gold (LN) AI Stock Analysis

• Market Cap: $91.23M
• Dividend Yield: N/A
• Average Volume (3M): 386.03K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.19
• Revenue Growth: N/A
• EPS Growth: 80.34%
• Country: CA
• Employees: 26
• Sector: Basic Materials
• Sector Strength: 63
• Industry: Gold
• EPS (TTM): N/A
• Shares Outstanding: 175,445,080
• 10 Day Avg. Volume: 240,241
• 30 Day Avg. Volume: 386,032
• PEG Ratio: 0.39
• Price to Book (P/B): 0.82
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -6.48
• Enterprise Value/Market Cap: 0.37
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: -410.51
• Enterprise Value/Ebitda: -0.50
• 1Y Price Target: $1.56
• Price Target Upside: 200.73% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 0

• Rating: 33 Underperform
• Price Target: ―

Loncor Gold's stock score is primarily impacted by its financial instability, characterized by no revenue, rising losses, and negative cash flows. While technical analysis shows some potential for positive momentum, the company's valuation remains poor with a negative P/E ratio. Notable corporate events highlight future growth potential but do not offset current financial challenges.

Loncor Gold Business Overview & Revenue Model

Company Description

Loncor Gold Inc. is a Canadian-based mineral exploration company primarily engaged in the acquisition, exploration, and development of gold properties in the Democratic Republic of the Congo (DRC). The company focuses on advancing its flagship projects, including the Ngayu Gold Project and the Imbo Project, which are situated in the highly prospective and underexplored Ngayu Greenstone Belt. Loncor Gold aims to unlock significant value through strategic exploration initiatives and partnerships to expand its gold resource base.

How the Company Makes Money

Loncor Gold generates revenue primarily through the exploration and development of its gold mining properties. The company makes money by identifying and developing gold resources to a stage where they can be economically extracted. Revenue streams include selling gold extracted from its mining operations, entering into joint ventures or partnerships where it may receive funding or share profits from the development of its properties, and potentially through the sale of mining rights or properties to larger mining companies. Key factors contributing to Loncor's earnings include successful exploration results leading to increased resource estimates, securing funding or partnerships for project development, and favorable gold market conditions that increase the value of its assets.

Loncor Gold Financial Statement Overview

Summary

Loncor Gold faces significant financial challenges with no revenue, increasing losses, and negative cash flows, impacting its profitability and sustainability. Despite a low debt-to-equity ratio, declining assets and equity suggest weakening financial stability.

Income Statement

Loncor Gold reported no revenue across multiple periods, with increasing losses as indicated by negative EBIT and net income. This highlights significant financial challenges and inefficiencies in operations or market conditions, reflecting poor profitability and growth trajectory.

Balance Sheet

The company maintains a relatively low level of total debt compared to equity, indicating low financial leverage, which is generally positive. However, the consistent decline in total assets and equity over time could indicate a weakening financial position. The company’s equity ratio remains favorable, suggesting some level of financial stability despite the negative trends.

Cash Flow

Negative operating cash flows and free cash flow indicate cash outflows exceeding inflows, highlighting liquidity concerns. The company's reliance on financing activities to support operations is unsustainable in the long term, reflecting potential cash flow instability.

Breakdown	TTM	Dec 2023	Dec 2022	Dec 2021	Dec 2020	Dec 2019
Income Statement
Total Revenue	0.00	0.00	0.00	0.00	0.00	0.00
Gross Profit	-82.99K	0.00	-151.36K	-175.07K	-185.35K	-196.69K
EBITDA	-3.93M	-2.29M	-2.66M	-3.11M	-2.01M	-1.37M
Net Income	-4.16M	-21.27M	-3.04M	-3.76M	-2.28M	-1.80M
Balance Sheet
Total Assets	19.54M	24.37M	42.89M	40.33M	32.67M	29.67M
Cash, Cash Equivalents and Short-Term Investments	1.50M	639.68K	182.18K	154.15K	256.62K	77.70K
Total Debt	101.50K	332.87K	335.66K	166.29K	386.39K	618.46K
Total Liabilities	1.29M	2.80M	1.70M	1.99M	1.79M	2.39M
Stockholders Equity	18.25M	21.57M	41.19M	38.33M	30.88M	27.29M
Cash Flow
Free Cash Flow	-1.09M	-2.56M	-5.24M	-9.66M	-4.20M	-1.11M
Operating Cash Flow	-3.01M	-2.56M	-2.87M	-1.65M	-1.41M	-878.42K
Investing Cash Flow	4.00M	1.71M	-2.37M	-8.02M	-2.94M	-324.61K
Financing Cash Flow	-127.26K	1.31M	5.26M	9.56M	4.52M	629.83K

Loncor Gold Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.52
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:LN, the sentiment is Negative. The current price of 0.52 is below the 20-day moving average (MA) of 0.55, below the 50-day MA of 0.63, and below the 200-day MA of 0.54, indicating a bearish trend. The MACD of -0.04 indicates Negative momentum. The RSI at 43.26 is Neutral, neither overbought nor oversold. The STOCH value of 19.17 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for TSE:LN.

Loncor Gold Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
XTG	61 Neutral	C$95.10M	28.95	21.41%	―	―	-55.15%
CBR	46 Neutral	C$95.28M	―	-128.21%	―	―	-781.13%
LME	45 Neutral	C$115.09M	―	-36.90%	―	―	8.40%
Sector *	44 Neutral	C$953.01M	-6.70	-13.31%	2.75%	17.55%	-32.28%
LIO	41 Neutral	C$86.35M	―	-8.48%	―	3111.09%	-120.48%
ELO	36 Underperform	C$119.36M	―	-17.56%	―	―	13.39%
LN	33 Underperform	$91.23M	―	-22.65%	―	―	80.34%

Loncor Gold Corporate Events

Loncor Gold Launches C$5 Million Private Placement for DRC Project

Loncor Gold Inc. has announced a brokered private placement agreement with Red Cloud Securities Inc. to raise up to C$5 million through the sale of units consisting of common shares and warrants. The proceeds will be used for the exploration and advancement of the Imbo Project in the DRC and for general corporate purposes. The offering is expected to close on May 23, 2025, subject to necessary approvals.

Spark’s Take on TSE:LN Stock

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

Loncor Gold’s overall score reflects significant financial challenges, including no revenue and rising losses, which heavily impact its stock evaluation. Technical indicators show some positive momentum, but valuation issues persist with a negative P/E ratio and no dividend yield. Despite positive corporate events suggesting potential future growth, the current financial instability remains a critical concern.

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

Loncor Gold Unveils Promising Deep Drilling Results at Adumbi

Loncor Gold has announced promising results from its deep drilling program at the Adumbi deposit, revealing multiple gold intersections in its deepest drill hole, LADD029. These results indicate significant underground mineral resource potential and extend the known gold mineralization deeper, enhancing the company’s prospects and positioning in the gold mining sector.

Spark’s Take on TSE:LN Stock

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

Loncor Gold’s overall score reflects significant financial challenges, including no revenue and rising losses, which heavily impact its stock evaluation. Technical indicators show some positive momentum, but valuation issues persist with a negative P/E ratio and no dividend yield. Despite positive corporate events suggesting potential future growth, the current financial instability remains a critical concern.

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

Loncor Gold Reports Promising Drilling Results at Adumbi Deposit

Loncor Gold Inc. announced promising results from its drilling program at the Adumbi deposit, revealing significant gold intersections. The results from borehole LADD028 include a notable intersection of 13.92 metres grading 6.01 g/t gold, with a section of 0.87 metres grading 82.97 g/t gold. These findings highlight the potential for further resource expansion and enhance the company’s position in the gold mining sector.

Loncor Gold Announces Promising Drilling Results at Adumbi

Loncor Gold has reported promising results from its deep drilling program at the Adumbi deposit, with notable high-grade gold intersections. The results suggest potential for an underground operation to complement the existing open pit, enhancing the project’s viability and potentially increasing the company’s resource base.