LS Telcom (LSX) AI Stock Analysis

LS Telcom

(XETRA:LSX)

Select Model

Rating:55Neutral

Price Target:EUR 3.50▼(-0.57% Downside)

Action:reiterated

Date:08/20/26

The overall score reflects a company that is stabilizing financially but still carries notable execution and earnings-quality risk, as seen in a recent return to profitability alongside declining revenue and volatile free cash flow. The stock’s valuation is rich relative to its track record, with a high P/E and no dividend, which limits upside despite the ongoing price uptrend. Technicals are constructive, with the price above key moving averages and momentum indicators in supportive but not extreme territory, providing a moderate near-term tailwind without fully offsetting the financial and valuation risks.

Positive Factors

Improved Capital StructureDebt-to-equity at 0.72 indicates a more balanced capital structure than previously, which can reduce financial strain and preserve flexibility for operations and investment. This provides a steadier base even though shareholder returns remain modest.

Negative Factors

Revenue DeclineMulti-year revenue contraction signals pressure on demand, customer activity, or the company’s ability to expand its business. A shrinking top line can reduce operating leverage, constrain investment capacity, and make future margin improvement harder to sustain.

LS Telcom (LSX) vs. iShares MSCI Germany ETF (EWG)

Market Cap: EUR 20.45M
Dividend Yield: ―
Average Volume (3M): 1,094
Price to Earnings (P/E): 58.8
Beta (1Y): 0.49
Revenue Growth: -2.97%
EPS Growth: ―
Country: Germany
Employees: 273
Sector: General
Sector Strength: 55
Industry: Telecommunications Services

LS Telcom Business Overview & Revenue Model

Company Description

LS telcom AG delivers comprehensive solutions, including software, IT systems, hardware, and consulting expertise, to clients worldwide, focusing on maximizing the efficiency of radio frequency spectrum utilization. The company's diverse offerings en...

How the Company Makes Money

LS telcom primarily generates revenue from (1) software products and related licenses for spectrum management, monitoring, and radio/network planning; (2) services such as consulting, project engineering, systems integration, and implementation work...

LS Telcom Financial Statement Overview

Summary

Financial performance is mid-range: the company has returned to a small profit after prior losses, operates with moderate and improving leverage, and shows solid operating cash generation, but faces three years of revenue decline, volatile profitability, and highly uneven free cash flow.

Income Statement

52Neutral

Balance Sheet

60Neutral

Cash Flow

46Neutral

Financial statement breakdown
Breakdown	TTM	Sep 2025	Sep 2024	Sep 2023	Sep 2022	Sep 2021
Income Statement
Total Revenue	33.97M	36.56M	36.90M	41.71M	47.27M	31.59M
Gross Profit	-8.07M	6.32M	33.36M	35.91M	6.99M	4.19M
EBITDA	6.24M	5.75M	3.55M	6.17M	8.75M	6.08M
Net Income	350.00K	782.00K	-3.60M	-213.00K	1.98M	-113.00K
Balance Sheet
Total Assets	36.47M	38.74M	41.17M	41.20M	42.96M	45.43M
Cash, Cash Equivalents and Short-Term Investments	2.77M	5.72M	7.09M	4.95M	6.75M	11.41M
Total Debt	10.36M	10.73M	12.36M	8.63M	8.61M	11.88M
Total Liabilities	23.19M	23.97M	26.85M	23.22M	24.62M	29.07M
Stockholders Equity	13.43M	14.90M	14.20M	17.90M	18.29M	16.18M
Cash Flow
Free Cash Flow	2.11M	887.00K	-327.00K	-1.19M	-895.00K	1.44M
Operating Cash Flow	6.81M	5.55M	5.74M	5.08M	4.68M	5.91M
Investing Cash Flow	-4.62M	-4.58M	-5.99M	-6.24M	-5.58M	-4.47M
Financing Cash Flow	-1.37M	-2.14M	2.43M	-350.00K	-4.02M	-1.86M

LS Telcom Technical Analysis

Technical Analysis SentimentNegative

Last Price3.52

Price Trends

50DMA3.68Negative

100DMA3.83Negative

200DMA3.76Negative

Market Momentum

MACD-0.04Negative

RSI43.30Neutral

STOCH65.57Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For DE:LSX, the sentiment is Negative. The current price of 3.52 is below the 20-day moving average (MA) of 3.57, below the 50-day MA of 3.68, and below the 200-day MA of 3.76, indicating a bearish trend. The MACD of -0.04 indicates Negative momentum. The RSI at 43.30 is Neutral, neither overbought nor oversold. The STOCH value of 65.57 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for DE:LSX.

LS Telcom Peers Comparison

Overall Rating

UnderperformOutperform

Sector (55)

Financial Indicators

DE:LSX against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
DE:DTE	70Outperform	EUR 124.78B	14.57	14.02%	3.83%	2.21%	-30.39%
Sector *	55Neutral	$6.65B	3.83	-15.92%	6.20%	10.91%	7.18%
DE:E4C	55Neutral	EUR 23.38M	132.00	0.87%	4.39%	14.52%	-89.47%
DE:LSX	55Neutral	EUR 20.45M	58.83	2.47%	―	-2.97%	―
DE:C1V0	48Neutral	EUR 12.77M	―	0.00%	―	―	―

* General Sector Average

Performance Comparison

DE:LSX and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
DE:LSX	LS Telcom	3.53	-0.29	-7.59%
DE:DTE	Deutsche Telekom AG (UK)	26.09	0.31	1.19%
DE:E4C	ecotel communication	6.60	-6.50	-49.62%
DE:O2D	Telefonica Deutschland Holding AG	1.88	-0.13	-6.25%
DE:C1V0	mVISE AG	6.00	0.65	12.15%
DE:TH51	TeleService Holding AG	0.36	-3.84	-91.43%

Glossary

BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.

Date of analysis: Aug 06, 2026

LS Telcom AI Stock Analysis