Lumine Group Valuation

Is LMN undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

1/6

Valuation Score 1/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Sales vs Peers

  • Price-To-Sales vs Industry

  • Price-To-Sales vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of LMN when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: LMN (CA$41.1) is trading above our estimate of fair value (CA$10.37)

Significantly Below Fair Value: LMN is trading above our estimate of fair value.


Key Valuation Metric

Which metric is best to use when looking at relative valuation for LMN?

Key metric: As LMN is unprofitable we use its Price-To-Sales Ratio for relative valuation analysis.

The above table shows the Price to Sales ratio for LMN. This is calculated by dividing LMN's market cap by their current revenue.
What is LMN's PS Ratio?
PS Ratio12.1x
SalesUS$624.36m
Market CapUS$7.72b

Price to Sales Ratio vs Peers

How does LMN's PS Ratio compare to its peers?

The above table shows the PS ratio for LMN vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PSEstimated GrowthMarket Cap
Peer Average7.9x
TOI Topicus.com
5.5x13.7%CA$9.9b
DSG Descartes Systems Group
16.1x10.5%CA$13.6b
KXS Kinaxis
7.2x12.9%CA$4.7b
LSPD Lightspeed Commerce
2.7x16.2%CA$3.7b
LMN Lumine Group
12.1x23.6%CA$10.8b

Price-To-Sales vs Peers: LMN is expensive based on its Price-To-Sales Ratio (12.1x) compared to the peer average (7.9x).


Price to Sales Ratio vs Industry

How does LMN's PS Ratio compare vs other companies in the CA Software Industry?

27 CompaniesPrice / SalesEstimated GrowthMarket Cap
QUIS Quisitive Technology Solutions
0.6x6.2%US$69.52m
BTCW Bitcoin Well
0.5xn/aUS$26.53m
PLUR Plurilock Security
0.4xn/aUS$19.51m
NOW NowVertical Group
0.4x6.2%US$16.97m
LMN 12.1xIndustry Avg. 3.6xNo. of Companies27PS02.85.68.411.214+
27 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Sales vs Industry: LMN is expensive based on its Price-To-Sales Ratio (12.1x) compared to the Canadian Software industry average (3.6x).


Price to Sales Ratio vs Fair Ratio

What is LMN's PS Ratio compared to its Fair PS Ratio? This is the expected PS Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

LMN PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio12.1x
Fair PS Ratio18.4x

Price-To-Sales vs Fair Ratio: LMN is good value based on its Price-To-Sales Ratio (12.1x) compared to the estimated Fair Price-To-Sales Ratio (18.4x).


Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst LMN forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentCA$41.10
CA$41.50
+1.0%
1.2%CA$42.00CA$41.00n/a2
Nov ’25CA$34.17
CA$38.50
+12.7%
9.1%CA$42.00CA$35.00n/a2
Oct ’25CA$32.36
CA$38.50
+19.0%
9.1%CA$42.00CA$35.00n/a2
Sep ’25CA$32.50
CA$38.50
+18.5%
9.1%CA$42.00CA$35.00n/a2
Aug ’25CA$36.50
CA$40.00
+9.6%
10.0%CA$44.00CA$36.00n/a2
Jul ’25CA$36.93
CA$40.00
+8.3%
10.0%CA$44.00CA$36.00n/a2
Jun ’25CA$38.30
CA$40.00
+4.4%
10.0%CA$44.00CA$36.00n/a2
May ’25CA$38.20
CA$40.00
+4.7%
10.0%CA$44.00CA$36.00n/a2
Apr ’25CA$35.30
CA$40.00
+13.3%
10.0%CA$44.00CA$36.00n/a2

Analyst Forecast: Target price is less than 20% higher than the current share price.


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