Lucara Diamond Corp.
Lucara Diamond Corp. Fundamental Analysis
Lucara Diamond Corp. (LUCRF) shows weak financial fundamentals with a PE ratio of 15.67, profit margin of 7.89%, and ROE of 3.60%. The company generates $0.1B in annual revenue with weak year-over-year growth of -20.32%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 10.5/100 based on profitability, valuation, growth, and balance sheet metrics. The F grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze LUCRF's fundamental strength across five key dimensions:
Efficiency Score
WeakLUCRF struggles to generate sufficient returns from assets.
Valuation Score
ExcellentLUCRF trades at attractive valuation levels.
Growth Score
WeakLUCRF faces weak or negative growth trends.
Financial Health Score
ExcellentLUCRF maintains a strong and stable balance sheet.
Profitability Score
WeakLUCRF struggles to sustain strong margins.
Key Financial Metrics
Is LUCRF Expensive or Cheap?
P/E Ratio
LUCRF trades at 15.67 times earnings. This indicates a fair valuation.
PEG Ratio
When adjusting for growth, LUCRF's PEG of -0.29 indicates potential undervaluation.
Price to Book
The market values Lucara Diamond Corp. at 0.46 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at -0.93 times EBITDA. This is generally considered low.
How Well Does LUCRF Make Money?
Net Profit Margin
For every $100 in sales, Lucara Diamond Corp. keeps $7.89 as profit after all expenses.
Operating Margin
Core operations generate 14.23 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $3.60 in profit for every $100 of shareholder equity.
ROA
Lucara Diamond Corp. generates $1.23 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Lucara Diamond Corp. generates strong operating cash flow of $16.20M, reflecting robust business health.
Free Cash Flow
Lucara Diamond Corp. generates weak or negative free cash flow of $-26.18M, restricting financial flexibility.
FCF Per Share
Each share generates $-0.06 in free cash annually.
FCF Yield
LUCRF converts -91.24% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
15.67
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
-0.29
vs 25 benchmark
P/B Ratio
Price to book value ratio
0.46
vs 25 benchmark
P/S Ratio
Price to sales ratio
0.49
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.86
vs 25 benchmark
Current Ratio
Current assets to current liabilities
11.26
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.04
vs 25 benchmark
ROA
Return on assets percentage
0.01
vs 25 benchmark
ROCE
Return on capital employed
0.02
vs 25 benchmark
How LUCRF Stacks Against Its Sector Peers
| Metric | LUCRF Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 15.67 | 25.10 | Better (Cheaper) |
| ROE | 3.60% | 919.00% | Weak |
| Net Margin | 7.89% | -103116.00% (disorted) | Weak |
| Debt/Equity | 0.86 | 0.48 | Weak (High Leverage) |
| Current Ratio | 11.26 | 6.81 | Strong Liquidity |
| ROA | 1.23% | -6888.00% (disorted) | Weak |
LUCRF outperforms its industry in 2 out of 6 key metrics, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Lucara Diamond Corp.'s 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
13.38%
Industry Style: Cyclical, Commodity, Value
High GrowthEPS CAGR
188.40%
Industry Style: Cyclical, Commodity, Value
High GrowthFCF CAGR
3250.24%
Industry Style: Cyclical, Commodity, Value
High Growth