Loncor Gold (LN) AI Stock Analysis

• Market Cap: C$101.20M
• Dividend Yield: N/A
• Average Volume (3M): 430.71K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.03
• Revenue Growth: N/A
• EPS Growth: 80.34%
• Country: CA
• Employees: 26
• Sector: Basic Materials
• Sector Strength: 67
• Industry: Gold
• EPS (TTM): N/A
• Shares Outstanding: 174,480,090
• 10 Day Avg. Volume: 475,327
• 30 Day Avg. Volume: 430,714
• PEG Ratio: N/A
• Price to Book (P/B): 2.06
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -17.37
• 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$1.56
• Price Target Upside: 169.62% 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 a lack of revenue and consistent operational losses. The balance sheet shows low leverage, but decreasing equity and negative cash flow highlight operational inefficiencies and financial instability.

Income Statement

Loncor Gold has consistently reported zero revenue over the years, indicating a lack of revenue generation. The company has significant negative net income and EBIT margins due to high operational losses. With no revenue growth, the financial health in terms of income is quite poor.

Balance Sheet

The company maintains a low level of debt compared to its equity, reflected in a favorable debt-to-equity ratio. However, the stockholders' equity has been decreasing. The equity ratio shows that the company is primarily financed through equity, which is a positive sign. Despite this, the overall asset base has declined significantly, indicating potential risks.

Cash Flow

Loncor Gold has a negative free cash flow, demonstrating cash outflows exceeding inflows. The operating cash flow is consistently negative, indicating operational challenges. The operating cash flow to net income ratio suggests inefficiencies in converting operations into cash. Improvement in cash flow management is essential.

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
	EBIT
-1.39M	-2.22M	-2.81M	-3.28M	-2.19M	-1.57M
	EBITDA
-21.47M	-2.29M	-2.66M	-3.11M	-2.01M	-1.37M
	Net Income Common Stockholders
-21.57M	-21.27M	-3.04M	-3.76M	-2.28M	-1.80M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
650.90K	639.68K	182.18K	154.15K	256.62K	77.70K
	Total Assets
29.07M	24.37M	42.89M	40.33M	32.67M	29.67M
	Total Debt
40.04K	332.87K	335.66K	166.29K	386.39K	618.46K
	Net Debt
-610.86K	-306.81K	153.48K	12.13K	129.77K	540.76K
	Total Liabilities
784.23K	2.80M	1.70M	1.99M	1.79M	2.39M
	Stockholders Equity
28.28M	21.57M	41.19M	38.33M	30.88M	27.29M
Cash Flow		Free Cash Flow
-2.60M	-2.56M	-5.24M	-9.66M	-4.20M	-1.11M
	Operating Cash Flow
-2.51M	-2.56M	-2.87M	-1.65M	-1.41M	-878.42K
	Investing Cash Flow
3.61M	1.71M	-2.37M	-8.02M	-2.94M	-324.61K
	Financing Cash Flow
-133.75K	1.31M	5.26M	9.56M	4.52M	629.83K

Loncor Gold Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.58
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Positive
• 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 0.58 is below the 20-day moving average (MA) of 0.70, below the 50-day MA of 0.65, and above the 200-day MA of 0.53, indicating a neutral trend. The MACD of -0.03 indicates Positive momentum. The RSI at 40.93 is Neutral, neither overbought nor oversold. The STOCH value of 16.88 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$93.73M	28.53	21.41%	―	―	-55.15%
Sector *	51 Neutral	$2.03B	-1.13	-21.36%	3.65%	2.87%	-30.54%
CBR	46 Neutral	$119.58M	―	-128.21%	―	―	-781.13%
LME	45 Neutral	C$82.05M	―	-36.90%	―	―	8.40%
LIO	41 Neutral	C$93.79M	―	-8.48%	―	3111.09%	-120.48%
ELO	36 Underperform	C$111.84M	―	-17.56%	―	―	13.39%
LN	33 Underperform	C$101.20M	―	-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.