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Literacy Capital PLC (BOOK) AI Stock Analysis
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Literacy Capital PLC
(LSE:BOOK)
The score is primarily constrained by weak financial performance, led by persistent negative free cash flow and a recent TTM swing to losses, which raises earnings quality and funding risk. Technicals are also weak with price below key moving averages, only partially offset by oversold signals. Valuation is mixed: the negative P/E reflects unstable earnings, while the very high dividend yield is notable but hard to rely on given poor cash conversion.
Literacy Capital PLC (BOOK) vs. iShares MSCI United Kingdom ETF (EWC)
- Market Cap
- GBP 175.11M
- Dividend Yield
- 34.36%
- Average Volume (3M)
- 45.15K
- Price to Earnings (P/E)
- -7.7
- Beta (1Y)
- 0.40
- Revenue Growth
- ―
- EPS Growth
- ―
- Country
- UK
- Employees
- 5
- Sector
- General
- Sector Strength
- 55
- Industry
- Asset Management
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 capit...
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 realised t...
Literacy Capital PLC Financial Statement Overview
Summary
Income statement quality is weak due to very high volatility, including a swing to losses on TTM. The cash flow profile is a major negative with consistently negative operating cash flow and free cash flow across all periods shown. The balance sheet is a relative strength (low leverage and a meaningful equity cushion), but recent negative ROE and ongoing cash burn materially reduce overall financial strength.
Income Statement
38NegativeBalance Sheet
74PositiveCash Flow
22Negative| Breakdown | TTM | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | -13.84M | 10.52M | -15.81M | 21.72M | 70.23K | 4.10M |
| Gross Profit | -14.84M | 3.27M | 2.76M | 55.24M | -2.42M | 1.22M |
| EBITDA | 0 | 742.60K | -4.24M | 49.71M | 61.20M | 81.05M |
| Net Income | -22.51M | 742.60K | -4.24M | 48.20M | 62.48M | 78.93M |
Balance Sheet | ||||||
| Total Assets | 297.54M | 320.84M | 332.07M | 315.84M | 272.59M | 169.45M |
| Cash, Cash Equivalents and Short-Term Investments | 736.57K | 1.16M | 2.36M | 272.90K | 1.47M | 5.20M |
| Total Debt | 8.73M | 24.97M | 30.09M | 9.47M | 16.32M | 0 |
| Total Liabilities | 12.94M | 29.03M | 35.10M | 14.75M | 19.90M | 5.47M |
| Stockholders Equity | 284.61M | 291.81M | 296.97M | 301.09M | 252.69M | 163.98M |
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 Flow | 43.72M | 19.32M | -11.80M | 8.00M | -13.06M | -1.40M |
| Financing Cash Flow | -35.17M | -10.87M | 20.04M | -6.49M | 15.47M | 0 |
Literacy Capital PLC Technical Analysis
Price Trends
Market Momentum
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:BOOK, the sentiment is Neutral. The current price of 291.00 is above the 20-day moving average (MA) of 287.70, below the 50-day MA of 301.54, and below the 200-day MA of 326.04, indicating a neutral trend. The MACD of -3.52 indicates Negative momentum. The RSI at 46.34 is Neutral, neither overbought nor oversold. The STOCH value of 59.61 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for GB:BOOK.
Literacy Capital PLC Peers Comparison
Overall Rating
GB:III78Outperform
GB:FSG75Outperform
GB:GROW70Outperform
GB:IPO61Neutral
GB:MERC61Neutral- GB:BOOK46Neutral
Financial Indicators
| Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
| GB:III | 78Outperform | GBP 24.82B | 4.56 | 17.91% | 3.45% | -25.49% | 3.34% |
| GB:FSG | 75Outperform | GBP 519.70M | 12.41 | 46.72% | 5.75% | 7.26% | 30.92% |
| GB:GROW | 70Outperform | GBP 1.14B | 9.78 | 9.21% | ― | -78.12% | 30945.45% |
| GB:IPO | 61Neutral | GBP 644.90M | 4.70 | 14.25% | ― | -37.29% | ― |
| GB:MERC | 61Neutral | GBP 127.84M | -15.02 | -4.78% | 3.28% | -2.25% | -350.00% |
| Sector * | 55Neutral | $6.65B | 3.83 | -15.92% | 6.20% | 10.91% | 7.18% |
| GB:BOOK | 46Neutral | GBP 175.11M | -7.67 | -7.81% | 34.36% | ― | ― |
* General Sector Average
Performance Comparison
| Show on chart | Ticker | Company Name | Price | Change | % Change |
|---|---|---|---|---|---|
| GB:BOOK | Literacy Capital PLC | 291.00 | -79.03 | -21.36% | |
| GB:III | 3i Group plc | 2448.00 | -1797.33 | -42.34% | |
| GB:GROW | Molten Ventures Plc | 665.00 | 201.20 | 43.38% | |
| GB:IPO | IP Group plc | 73.00 | 12.10 | 19.87% | |
| GB:MERC | Mercia Asset Management Plc | 30.50 | 1.53 | 5.28% | |
| GB:FSG | Foresight Group Holdings Ltd. | 471.50 | 36.97 | 8.51% |
Literacy Capital PLC Corporate Events
Literacy Capital Flags Cubo Write-Down but Portfolio Remains Robust
NegativeLiteracy Capital plc reported a mixed third-quarter update, with strong trading and acquisition activity at key holdings such as RCI Group, Techpoint, Velociti and Red Sky Food Group supporting portfolio momentum and liquidity. The company’s re...
Literacy Capital gains full LSE main-market listing and refreshes board leadership
PositiveLiteracy Capital plc, a UK-listed closed-end investment trust under ticker BOOK, focuses on long-term investments in growing private businesses and channels 0.5% of annual NAV to children’s literacy charities. Co-founded by Paul and Richard Pin...
Literacy Capital refreshes board with new audit chair
PositiveLiteracy 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, brings m...
Literacy Capital boosts cash realisations as NAV dips in tough UK market
NegativeLiteracy 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, t...
Literacy Capital Extends and Enhances £50m Revolving Credit Facility
PositiveLiteracy 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 lower t...
Literacy Capital Q2 NAV Dips as Trust Prioritises Bolt-on Deals and Main Market Move
NeutralLiteracy 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 Live...
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: Oct 03, 2026