Inversiones La Construcción S.A. (ILC.SN) stock analysis

In our weekly check, Inversiones La Construcción S.A. is graded C (A to F). Of 24 checks on debt, profit, cash flow and trend: 12 pass, warnings: 4, red flags: 8.

About Inversiones La Construcción S.A.

Inversiones La Construcción S.A. is a Financial Services company (Insurance - Diversified) based in Chile, listed on SGO as ILC.SN.

What our checks show for ILC.SN

Red flags

• Operating cash flow is negative while the company reports a profit: the profit does not arrive as cash.
• Free cash flow is negative (-3.3% of revenue): the business spends more cash than it brings in.
• The stock has fallen as much as 81% from a peak. Would you have held through that?
• Recovering from its deepest fall took about 3.7 years.
• Thinly traded (about 22 thousand shares a day): buying and selling can move the price.
• Return on capital (ROCE) is only 1.9%.
• Pay in shares equals 0% of free cash flow: it dilutes shareholders.

Warning signs

• Analysts expect earnings per share to shrink about 100% a year.
• Analysts expect only about 1.5% a year of growth in revenue.
• The net margin is only 7.5%: little room if costs rise.

Strengths

• The net margin rose by 3.2 points over 5 years, to 7.5%.
• The gross margin is 55.9% and has risen by 42 points: pricing power is holding.
• Revenue grew 27.1% a year over the last 3 years.
• Earnings per share grew 31.9% a year over the last 3 years.
• Net profit grew 31.2% a year over the last 3 years.
• The dividend takes 28% of profit: there is a cushion.

Similar companies

8795.T · 2881.TW · SBILIFE.NS · 7181.T · 2882.TW

Questions

What grade does Inversiones La Construcción S.A. (ILC.SN) have?

In our weekly check, Inversiones La Construcción S.A. is graded C (A to F). Of 24 checks on debt, profit, cash flow and trend: 12 pass, warnings: 4, red flags: 8. The grade is a risk check, not a buy or sell recommendation.

What are the main risks of ILC.SN stock?

This week's biggest flags for Inversiones La Construcción S.A.: Profits not backed by cash, Weak free cash flow, Deep past fall. In total 12 of 24 checks show a warning or a red flag.

What does Inversiones La Construcción S.A. do?

Inversiones La Construcción S.A. is a Financial Services company (Insurance - Diversified) based in Chile, listed on SGO as ILC.SN.

The grade is a risk check, not a price forecast, and not investment advice. In our 10-year test (S&P 500, 2016-2026), stocks we graded A or B fell more than 30% 2-3 times less often than D or F, without a lower average return.

Updated 2026-11-07

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