Loncor Resources Valuation
| LN Stock | CAD 0.48 0.02 4.35% |
Loncor Resources is overvalued. Loncor Resources secures a last-minute Real Value of C$0.38 per share. The latest price of the firm is C$0.48. Our model forecasts the value of Loncor Resources from analyzing the firm fundamentals such as Shares Owned By Insiders of 43.31 %, current valuation of 69 M, and Return On Equity of -0.69 as well as examining its technical indicators and probability of bankruptcy. Key fundamental drivers impacting Loncor Resources' valuation include:
Price Book 2.5076 | Enterprise Value 69 M | Enterprise Value Ebitda (14.63) |
Overvalued
Today
Please note that Loncor Resources' price fluctuation is abnormally volatile at this time. Calculation of the real value of Loncor Resources is based on 3 months time horizon. Increasing Loncor Resources' time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
Since Loncor Resources is currently traded on the exchange, buyers and sellers on that exchange determine the market value of Loncor Stock. However, Loncor Resources' intrinsic value may or may not be the same as its current market price, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value. | Historical | Market 0.48 | Real 0.38 | Hype 0.48 | Naive 0.47 |
The intrinsic value of Loncor Resources' stock can be calculated using various methods such as discounted cash flow analysis, price-to-earnings ratio, or price-to-book ratio. That value may differ from its current market price, which is determined by supply and demand factors such as investor sentiment, market trends, news, and other external factors that may influence Loncor Resources' stock price. It is important to note that the real value of any stock may change over time based on changes in the company's performance.
Estimating the potential upside or downside of Loncor Resources helps investors to forecast how Loncor stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of Loncor Resources more accurately as focusing exclusively on Loncor Resources' fundamentals will not take into account other important factors: Traditionally, analysts and sophisticated investors use multiple methods for valuing a cash-flow-generating entity or its stock. For example, some money managers use Loncor Resources' intrinsic value based on its ongoing forecasts of Loncor Resources' financial statements. In contrast, other private, professional wealth advisors use a multiplier approach by looking to relative value analysis against Loncor Resources' closest peers.
Loncor Resources Cash |
|
Loncor Valuation Trend
Knowing Loncor Resources' actual value is paramount for traders when making sound investment determinations. Using both Loncor Resources' enterprise value as well as its market capitalization is the best way to estimate the value of the company and is usually enough for investors to make market timing decisions.
Loncor Resources Total Value Analysis
Loncor Resources is now anticipated to have takeover price of 69 M with market capitalization of 70.35 M, debt of 332.87 K, and cash on hands of 182.18 K. Please note that takeover price may be misleading and is a subject to mistakes in financial statements. We encourage investors to thoroughly investigate all of the Loncor Resources fundamentals before making investing decisions based on enterprise value of the company| Takeover Price | Market Cap | Debt Obligations | Cash |
69 M | 70.35 M | 332.87 K | 182.18 K |
Loncor Resources Asset Utilization
One of the ways to look at asset utilization of Loncor is to check how much profit was generated for every dollar of assets it reports. Loncor Resources secures a negative usage of assets of -0.4 %, losing C$0.003951 for each dollar of assets held by the firm. Inadequate asset utilization conveys that the company is being less effective with each dollar of assets it secures. Strictly speaking, asset utilization of Loncor Resources shows how discouraging it operates for each dollar spent on its assets.Loncor Resources Ownership Allocation
Loncor Resources maintains a total of 154.61 Million outstanding shares. Loncor Resources holds significant amount of outstanding shares owned by insiders. An insider is usually defined as a CEO, other corporate executive, director, or institutional investor who own at least 10% of the company's outstanding shares. Since such a large part of the company is owned by insiders, it is advisable to analyze if each of these insiders have been buying or selling the stock in recent months. Please note that no matter how many assets the company has, if the real value of the firm is less than the current market value, you may not be able to make money on it.Loncor Resources Profitability Analysis
Net Loss for the year was (21.27 M) with profit before overhead, payroll, taxes, and interest of 0.About Loncor Resources Valuation
We use absolute and relative valuation methodologies to arrive at the intrinsic value of Loncor Resources. In general, an absolute valuation paradigm, as applied to this company, attempts to find the value of Loncor Resources based exclusively on its fundamental and basic technical indicators. By analyzing Loncor Resources's financials, quarterly and monthly indicators, and their related drivers, we attempt to find the most accurate representation of Loncor Resources's intrinsic value. As compared to an absolute model, our relative valuation model uses a comparative analysis of Loncor Resources. We calculate exposure to Loncor Resources's market risk, different technical and fundamental indicators, and relevant financial multiples and ratios and then compare them to those of Loncor Resources's related companies.| Last Reported | Projected for Next Year | ||
| Gross Profit | -69.6 K | -66.2 K | |
| Pretax Profit Margin | -1 K | -982 | |
| Operating Profit Margin | -1 K | -978 | |
| Net Loss | -1 K | -978 | |
| Gross Profit Margin | 0.79 | 0.65 |
Other Information on Investing in Loncor Stock
Loncor Resources financial ratios help investors to determine whether Loncor Stock is cheap or expensive when compared to a particular measure, such as profits or enterprise value. In other words, they help investors to determine the cost of investment in Loncor with respect to the benefits of owning Loncor Resources security.