LPP S.A. (LPP.WA) stock analysis

In our weekly check, LPP S.A. is graded B (A to F). Of 25 checks on debt, profit, cash flow and trend: 18 pass, warnings: 3, red flags: 4.

About LPP S.A.

LPP S.A. is a Consumer Cyclical company (Apparel - Manufacturers), listed on WSE as LPP.WA.

What our checks show for LPP.WA

Red flags

• The gross margin fell by 7.3 points, to 50.5%: costs are rising faster than prices.
• The stock has fallen as much as 66% from a peak. Would you have held through that?
• Recovering from its deepest fall took about 3.4 years.
• Thinly traded (about 4 thousand shares a day): buying and selling can move the price.

Warning signs

• Net debt is 1.3x a year of EBITDA (debt/equity 1.48). That limits room in a downturn and raises refinancing risk.
• The net margin is only 7.9%: little room if costs rise.
• Beta 1.43: the stock usually moves more than the market, both up and down.

Strengths

• The net margin rose by 1.1 points over 5 years, to 7.9%.
• Operating cash flow is 3.1x net profit: the profit arrives as real cash.
• Analysts expect earnings per share to grow about 25.1% a year over the next years.
• Revenue grew 15.7% a year over the last 3 years.
• Earnings per share grew 20.9% a year over the last 3 years.
• Net profit grew 21% a year over the last 3 years.

Next earnings report: 2026-12-03

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Questions

What grade does LPP S.A. (LPP.WA) have?

In our weekly check, LPP S.A. is graded B (A to F). Of 25 checks on debt, profit, cash flow and trend: 18 pass, warnings: 3, red flags: 4. The grade is a risk check, not a buy or sell recommendation.

What are the main risks of LPP.WA stock?

This week's biggest flags for LPP S.A.: Gross margin falling, Deep past fall, Slow recovery after falls. In total 7 of 25 checks show a warning or a red flag.

What does LPP S.A. do?

LPP S.A. is a Consumer Cyclical company (Apparel - Manufacturers), listed on WSE as LPP.WA.

When does LPP S.A. report earnings next?

The next earnings report is expected on 2026-12-03. We re-run the checks every week, so the grade can change after it.

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 2026-10-24

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