tiprankstipranks
Literacy Capital PLC (GB:BOOK)
LSE:BOOK
Want to see GB:BOOK full AI Analyst Report?

Literacy Capital PLC (BOOK) AI Stock Analysis

8 Followers

Top Page

GB:BOOK

Literacy Capital PLC

(LSE:BOOK)

Select Model
Select Model
Select Model
Neutral 49 (OpenAI - Gpt-5.6Sol)
Rating:49Neutral
Price Target:
303.00 p
▼(-0.66% Downside)
Action:Reiterated
Date:09/06/26
The score is held back primarily by weak financial performance: highly volatile profitability and persistent negative operating/free cash flow through TTM increase earnings quality and funding risk, despite a relatively solid balance sheet. Technical indicators are moderately positive in the short term but longer-term trend measures remain weaker. Valuation is mixed, with a negative P/E and an unusually high dividend yield that is harder to underwrite given recent losses and cash burn.
Positive Factors
Diversified private-company portfolio
Exposure to multiple privately owned businesses across sectors reduces reliance on a single product, market, or operating model. Long-term ownership can allow Literacy Capital to support management teams patiently, while portfolio diversification may help moderate company-specific setbacks over the next several quarters.
Negative Factors
Persistent cash burn
Persistent negative operating and free cash flow indicates that reported results have not translated reliably into cash generation. Continued cash burn can reduce financial flexibility, increase reliance on liquidity or financing, and constrain the company’s ability to fund investments or distributions sustainably.
Read all positive and negative factors
Positive Factors
Negative Factors
Diversified private-company portfolio
Exposure to multiple privately owned businesses across sectors reduces reliance on a single product, market, or operating model. Long-term ownership can allow Literacy Capital to support management teams patiently, while portfolio diversification may help moderate company-specific setbacks over the next several quarters.
Read all positive factors

Literacy Capital PLC (BOOK) vs. iShares MSCI United Kingdom ETF (EWC)

Literacy Capital PLC Business Overview & Revenue Model

Company Description
Literacy Capital plc, a venture capital and private equity firm founded in 2017 and based in London, United Kingdom, employs a diverse set of investment strategies. These include early-stage funding, direct private equity deals, buyouts, growth ca...
How the Company Makes Money
Literacy Capital makes money primarily through investment returns generated by its portfolio of private companies. Its key economic outputs typically include: (1) value appreciation of its equity stakes in portfolio companies, which can be realise...

Literacy Capital PLC Financial Statement Overview

Summary
Financials are dominated by earnings volatility and weak cash conversion. Income statement performance swung from very strong profits (2021–2023) to losses in 2024 and a large loss on TTM, reducing predictability. The balance sheet is a relative strength with manageable leverage and a capital cushion, but cash flow is consistently negative across all periods (2021 through TTM), indicating persistent cash burn despite prior reported profits.
Income Statement
38
Negative
Balance Sheet
74
Positive
Cash Flow
22
Negative
BreakdownTTMDec 2025Dec 2024Dec 2023Dec 2022Dec 2021
Income Statement
Total Revenue-13.84M5.96M-312.52K21.72M70.23K85.57M
Gross Profit-14.84M3.27M-312.52K55.24M-2.42M85.57M
EBITDA0.00742.60K-4.24M49.71M61.20M81.05M
Net Income-22.51M742.60K-4.24M48.20M62.48M78.93M
Balance Sheet
Total Assets297.54M320.84M332.07M315.84M272.59M169.45M
Cash, Cash Equivalents and Short-Term Investments736.57K1.16M2.36M272.90K1.47M5.20M
Total Debt8.73M24.97M30.09M9.47M16.32M0.00
Total Liabilities12.94M29.03M35.10M14.75M19.90M5.47M
Stockholders Equity284.61M291.81M296.97M301.09M252.69M163.98M
Cash Flow
Free Cash Flow-8.86M-9.66M-6.14M-2.70M-3.93M-3.13M
Operating Cash Flow-8.86M-9.66M-6.14M-2.70M-3.93M-3.13M
Investing Cash Flow43.72M19.32M-11.80M8.00M-13.06M-1.40M
Financing Cash Flow-35.17M-10.87M20.04M-6.49M15.47M0.00

Literacy Capital PLC Technical Analysis

Technical Analysis Sentiment
Positive
Last Price305.00
Price Trends
50DMA
300.18
Positive
100DMA
307.88
Negative
200DMA
342.01
Negative
Market Momentum
MACD
1.04
Negative
RSI
62.94
Neutral
STOCH
70.54
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:BOOK, the sentiment is Positive. The current price of 305 is above the 20-day moving average (MA) of 301.25, above the 50-day MA of 300.18, and below the 200-day MA of 342.01, indicating a neutral trend. The MACD of 1.04 indicates Negative momentum. The RSI at 62.94 is Neutral, neither overbought nor oversold. The STOCH value of 70.54 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for GB:BOOK.

Literacy Capital PLC Peers Comparison

Overall Rating
UnderperformOutperform
Sector (55)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
78
Outperform
£528.87M12.5946.72%5.20%7.26%30.92%
72
Outperform
£28.23B5.1617.91%3.05%-25.49%3.34%
65
Neutral
£1.17B10.049.21%-78.12%30945.45%
55
Neutral
$6.65B3.83-15.92%6.20%10.91%7.18%
52
Neutral
£113.67M-13.30-4.78%3.59%-2.25%-350.00%
49
Neutral
£183.53M-8.03-7.81%32.79%
48
Neutral
£611.33M9.267.14%2.09%-35.12%
* General Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
GB:BOOK
Literacy Capital PLC
305.00
-61.13
-16.70%
GB:III
3i Group plc
2,771.00
-1,082.23
-28.09%
GB:GROW
Molten Ventures
683.00
313.60
84.89%
GB:IPO
IP Group plc
69.20
8.70
14.38%
GB:MERC
Mercia Asset Management
27.00
-5.00
-15.63%
GB:FSG
Foresight Group Holdings Ltd.
478.50
41.26
9.44%

Literacy Capital PLC Corporate Events

Business Operations and StrategyExecutive/Board Changes
Literacy Capital refreshes board with new audit chair
Positive
Sep 3, 2026
Literacy Capital plc has strengthened its board with the appointment of Nick Latner as an independent non-executive director, effective 22 October 2026. Latner, currently finance director at technology-focused private equity firm Hg Capital, bring...
Business Operations and StrategyFinancial Disclosures
Literacy Capital boosts cash realisations as NAV dips in tough UK market
Negative
Aug 24, 2026
Literacy Capital reported a 2.4% decline in diluted NAV per share to 472.6p for the six months to 30 June 2026, with diluted NAV falling to £284.4 million amid a tough trading backdrop for smaller UK businesses. Despite the modest NAV setback...
Business Operations and StrategyPrivate Placements and Financing
Literacy Capital Extends and Enhances £50m Revolving Credit Facility
Positive
Aug 3, 2026
Literacy Capital plc has secured a two-year extension of its Revolving Credit Facility with OakNorth Bank, pushing the expiry to September 2029 and increasing the committed element from £40 million to £50 million. The improved terms lowe...
Business Operations and StrategyDelistings and Listing ChangesFinancial DisclosuresM&A Transactions
Literacy Capital Q2 NAV Dips as Trust Prioritises Bolt-on Deals and Main Market Move
Neutral
Jul 27, 2026
Literacy Capital reported a Q2 2026 net asset value of £284.4m, or 472.6p per share, a 1.8% decline from the previous quarter, reflecting a challenging period for smaller U.K. businesses. Valuation movements were modest, with RCI Group and Li...
Business Operations and StrategyRegulatory Filings and Compliance
Literacy Capital insider share purchase underscores management confidence
Positive
Jun 29, 2026
Literacy Capital plc, an investment trust trading on the London Stock Exchange under the ticker BOOK, targets direct investments in UK private companies with strong growth prospects and a clear path to value creation. The trust is distinguished by...
Business Operations and StrategyExecutive/Board ChangesRegulatory Filings and Compliance
Literacy Capital grants long-term share warrants to senior investment team
Positive
Jun 15, 2026
Literacy Capital has granted a series of share warrants to several persons discharging managerial responsibilities and an employee of its investment manager, in a move that further ties key staff compensation to the company’s future equity p...
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: Sep 06, 2026