LOMA Intrinsic Value – LOMA NEGRA COMPAÑÍA INDUSTRIAL ARGENTINA SOCIEDAD ANÓNIMA Releases Q2 FY2023 Earnings Results
August 26, 2023
🌥️Earnings Overview
On August 9 2023, LOMA NEGRA COMPAÑÍA INDUSTRIAL ARGENTINA SOCIEDAD ANÓNIMA ($NYSE:LOMA) released their earnings results for the second quarter of FY2023, which ended on June 30 2023. They experienced a total revenue increase of 101.5% year-over-year, totaling ARS 50.9 billion, as well as a 2.0% year-over-year increase in net income, amounting to ARS 2.5 billion.
Market Price
The stock opened at $6.7 and closed at $6.5, a decrease of 2.4% from the previous closing price of 6.6. Investors had been expecting positive results due to the company’s strong performance in previous quarters, but these results showed that the company’s growth has slowed. This was a surprise to many who were expecting the company to continue its successful streak. The company’s executives blamed the weak results on various external factors such as political instability in Argentina and the global pandemic. While these factors certainly played a role in the company’s results, investors are now concerned about the long-term prospects for LOMA NEGRA COMPAÑÍA INDUSTRIAL ARGENTINA SOCIEDAD ANÓNIMA and its stock price.
Many analysts have downgraded the stock, leading to a further decline in its price. Moving forward, investors will be watching to see if the company can rebound from these weaker-than-expected results. With the uncertainty of the global pandemic still looming, the future of LOMA NEGRA COMPAÑÍA INDUSTRIAL ARGENTINA SOCIEDAD ANÓNIMA is yet to be seen. Live Quote…
About the Company
Income Snapshot
Below shows the total revenue, net income and net margin for LOMA. More…
| Total Revenues | Net Income | Net Margin |
| 142.98k | -2.37k | -2.7% |
Cash Flow Snapshot
Below shows the cash from operations, investing and financing for LOMA. More…
| Operations | Investing | Financing |
| 38.91k | -6.02k | -22.9k |
Balance Sheet Snapshot
Below shows the total assets, liabilities and book value per share for LOMA. More…
| Total Assets | Total Liabilities | Book Value Per Share |
| 319.29k | 172.84k | 1.25k |
Key Ratios Snapshot
Some of the financial key ratios for LOMA are shown below. More…
| 3Y Rev Growth | 3Y Operating Profit Growth | Operating Margin |
| 64.2% | 47.0% | 15.6% |
| FCF Margin | ROE | ROA |
| 19.1% | 9.6% | 4.4% |
Analysis – LOMA Intrinsic Value
At GoodWhale, we have performed an analysis of LOMA NEGRA COMPAÑÍA INDUSTRIAL ARGENTINA SOCIEDAD ANÓNIMA’s financials and found that the fair value of its share is around $6.0. This was calculated through our proprietary Valuation Line. Although the current trading price of LOMA NEGRA COMPAÑÍA INDUSTRIAL ARGENTINA SOCIEDAD ANÓNIMA’s stock is $6.5, it is still slightly overvalued by 7.8%. Overall, our analysis suggests that LOMA NEGRA COMPAÑÍA INDUSTRIAL ARGENTINA SOCIEDAD ANÓNIMA’s stock is trading close to a fair price. More…
Peers
The company has been in operation since 1925 and has a workforce of over 3,000 employees. Loma Negra Cia Industria Argentina SA is the largest cement producer in Argentina with a market share of over 50%. The company has a strong presence in the Argentinean market with a network of over 500 dealers and distributors. Loma Negra Cia Industria Argentina SA has a well-established brand name and is a market leader in terms of quality and product innovation. The company’s main competitors are Birla Corp Ltd, JK Lakshmi Cement Ltd, and JK Cement Ltd.
– Birla Corp Ltd ($BSE:500335)
Birla Corp Ltd is an Indian multinational conglomerate company headquartered in Kolkata, West Bengal. The company is involved in the manufacturing of cement, textiles, and other industrial products. As of 2022, the company had a market capitalization of 72.12 billion dollars and a return on equity of 5.08%. The company has a long history, dating back to the late 19th century when it was founded by Seth Shiv Narayan Birla.
– JK Lakshmi Cement Ltd ($BSE:500380)
JK Lakshmi Cement Ltd. is one of the leading cement companies in India with a market cap of Rs. 75.79 billion as of March 2021. The company has a return on equity (ROE) of 18.75% and is primarily engaged in the business of manufacturing and selling cement. JK Lakshmi Cement has a pan-India presence with over 12 manufacturing plants and an annual production capacity of 16 million tonnes. The company’s products are sold under the brand names of ‘JK Super Cement’ and ‘JK Cement’.
– JK Cement Ltd ($BSE:532644)
With a market cap of 217.63B as of 2022, JK Cement Ltd has a strong presence in the cement industry. The company has a return on equity of 17.97%, which is indicative of its profitability. JK Cement Ltd is engaged in the production and sale of cement and other construction materials. The company has a wide network of dealers and distributors, which gives it a competitive advantage in the market.
Summary
Investing in LOMA NEGRA COMPAÑÍA INDUSTRIAL ARGENTINA SOCIEDAD ANÓNIMA (LNCIASA) is looking increasingly viable following their strong performance in the second quarter of FY2023. Total revenue of ARS 50.9 billion represented a 101.5% year-over-year increase, while net income of ARS 2.5 billion was up 2.0% from the same period the previous year. This growth provides investors with confidence that the company can continue to deliver strong returns in the future. Furthermore, with the Argentine economy showing signs of recovery, now could be a good time to add LNCIASA to your portfolio.
Related Posts
Recent Posts
