LITHIUM AMERICAS ARGENTINA C (LAAC.CA) Stock Fundamental Analysis
Canada • Toronto Stock Exchange • TSX:LAAC • CA53681K1003
3.17 CAD
+0.05 (+1.6%)
Last: Mar 12, 2025, 07:00 PM
Taking everything into account, LAAC scores 4 out of 10 in our fundamental rating. LAAC was compared to 820 industry peers in the Metals & Mining industry. The financial health of LAAC is average, but there are quite some concerns on its profitability. LAAC has a valuation in line with the averages, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
- LAAC had positive earnings in the past year.
- LAAC had a positive operating cash flow in the past year.
- The reported net income has been mixed in the past 5 years: LAAC reported negative net income in multiple years.
- LAAC had a negative operating cash flow in each of the past 5 years.
1.2 Ratios
- With an excellent Return On Assets value of 111.60%, LAAC belongs to the best of the industry, outperforming 99.51% of the companies in the same industry.
- LAAC has a better Return On Equity (150.66%) than 99.51% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 111.6% | ||
| ROE | 150.66% | ||
| ROIC | N/A |
ROA(3y)36.07%
ROA(5y)22.94%
ROE(3y)45.44%
ROE(5y)29.94%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
- LAAC does not have Profit Margin and Operating Margin and Gross Margin available, so we won't be analyzing them here.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | N/A |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
- LAAC has more shares outstanding than it did 1 year ago.
- The debt/assets ratio for LAAC has been reduced compared to a year ago.
2.2 Solvency
- LAAC has an Altman-Z score of -0.15. This is a bad value and indicates that LAAC is not financially healthy and even has some risk of bankruptcy.
- LAAC has a Altman-Z score of -0.15. This is comparable to the rest of the industry: LAAC outperforms 45.86% of its industry peers.
- The Debt to FCF ratio of LAAC is 0.85, which is an excellent value as it means it would take LAAC, only 0.85 years of fcf income to pay off all of its debts.
- The Debt to FCF ratio of LAAC (0.85) is better than 94.89% of its industry peers.
- LAAC has a Debt/Equity ratio of 0.25. This is a healthy value indicating a solid balance between debt and equity.
- LAAC's Debt to Equity ratio of 0.25 is on the low side compared to the rest of the industry. LAAC is outperformed by 66.42% of its industry peers.
- Even though the debt/equity ratio score it not favorable for LAAC, it has very limited outstanding debt, so we won't put too much weight on the DE evaluation.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.25 | ||
| Debt/FCF | 0.85 | ||
| Altman-Z | -0.15 |
ROIC/WACCN/A
WACCN/A
2.3 Liquidity
- LAAC has a Current Ratio of 4.72. This indicates that LAAC is financially healthy and has no problem in meeting its short term obligations.
- LAAC's Current ratio of 4.72 is fine compared to the rest of the industry. LAAC outperforms 76.40% of its industry peers.
- A Quick Ratio of 4.72 indicates that LAAC has no problem at all paying its short term obligations.
- LAAC's Quick ratio of 4.72 is fine compared to the rest of the industry. LAAC outperforms 76.89% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 4.72 | ||
| Quick Ratio | 4.72 |
3. Growth
3.1 Past
- LAAC shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 3214.89%, which is quite impressive.
EPS 1Y (TTM)3214.89%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-125%
Revenue 1Y (TTM)N/A
Revenue growth 3YN/A
Revenue growth 5YN/A
Sales Q2Q%N/A
3.2 Future
- The Earnings Per Share is expected to decrease by -66.06% on average over the next years. This is quite bad
- LAAC is expected to show a strong growth in Revenue. In the coming years, the Revenue will grow by 135.84% yearly.
EPS Next Y-100.43%
EPS Next 2Y-87.4%
EPS Next 3Y-66.06%
EPS Next 5YN/A
Revenue Next Year285.24%
Revenue Next 2Y240.78%
Revenue Next 3Y164.66%
Revenue Next 5Y135.84%
3.3 Evolution
4. Valuation
4.1 Price/Earnings Ratio
- LAAC is valuated cheaply with a Price/Earnings ratio of 0.28.
- 99.88% of the companies in the same industry are more expensive than LAAC, based on the Price/Earnings ratio.
- LAAC is valuated cheaply when we compare the Price/Earnings ratio to 28.30, which is the current average of the S&P500 Index.
- LAAC is valuated rather expensively with a Price/Forward Earnings ratio of 17.32.
- LAAC's Price/Forward Earnings ratio is rather cheap when compared to the industry. LAAC is cheaper than 90.63% of the companies in the same industry.
- LAAC is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 25.57, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 0.28 | ||
| Fwd PE | 17.32 |
4.2 Price Multiples
- Based on the Price/Free Cash Flow ratio, LAAC is valued cheaply inside the industry as 99.39% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 1.48 | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
- LAAC's earnings are expected to decrease with -66.06% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-87.4%
EPS Next 3Y-66.06%
5. Dividend
5.1 Amount
- No dividends for LAAC!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
LITHIUM AMERICAS ARGENTINA C / LAAC.CA FAQ
What is the fundamental rating for LAAC stock?
ChartMill assigns a fundamental rating of 4 / 10 to LAAC.CA.
What is the valuation status for LAAC stock?
ChartMill assigns a valuation rating of 5 / 10 to LITHIUM AMERICAS ARGENTINA C (LAAC.CA). This can be considered as Fairly Valued.
How profitable is LITHIUM AMERICAS ARGENTINA C (LAAC.CA) stock?
LITHIUM AMERICAS ARGENTINA C (LAAC.CA) has a profitability rating of 2 / 10.
Can you provide the financial health for LAAC stock?
The financial health rating of LITHIUM AMERICAS ARGENTINA C (LAAC.CA) is 6 / 10.