| Valuation method | Value, € | Upside, % |
|---|---|---|
| Artificial intelligence (AI) | 398.06 | 6859 |
| Intrinsic value (DCF) | n/a | |
| Graham-Dodd Method | n/a | |
| Graham Formula | n/a |
LightOn SAS is a pioneering generative AI company based in Paris, France, specializing in secure and customizable AI solutions designed to enhance business productivity and competitiveness. Founded in 2016 by Igor Carron, Laurent Daudet, Florent Krzakala, and Sylvain Gigan, LightOn operates in the Information Technology Services sector, leveraging cutting-edge AI technologies to provide tailored solutions for enterprises. The company's innovative approach focuses on addressing complex business challenges through AI-driven automation and data analysis. With a strong emphasis on security and customization, LightOn caters to industries seeking scalable and efficient AI applications. As a European leader in generative AI, LightOn is well-positioned to capitalize on the growing demand for AI-powered business solutions, making it a key player in the global technology landscape.
LightOn presents an intriguing investment opportunity in the rapidly expanding generative AI market, with strong revenue growth and profitability as evidenced by its 2023 financials (€7.97M revenue, €3.74M net income). The company's high beta (13.84) indicates significant volatility, which may appeal to risk-tolerant investors seeking exposure to AI innovation. LightOn's robust operating cash flow (€3.97M) and healthy cash position (€4.59M) provide financial stability, while its zero debt and lack of dividends suggest reinvestment in growth. However, the company's small market cap (~€125M) and niche focus may limit liquidity and increase susceptibility to market shifts. Investors should weigh LightOn's technological potential against the competitive pressures in the AI sector.
LightOn competes in the specialized generative AI segment, differentiating itself through secure and customizable solutions tailored for enterprise productivity. The company's competitive advantage lies in its European base, offering GDPR-compliant AI solutions that may appeal to privacy-conscious clients. LightOn's academic-founder background suggests strong R&D capabilities, though its small scale compared to global AI leaders could limit resource allocation for innovation. The company's financial performance shows profitability (positive net income and operating cash flow), which is notable for an AI startup, indicating efficient operations. However, LightOn faces intense competition from well-funded US and Chinese AI firms with greater data access and cloud infrastructure. Its success will depend on maintaining technological differentiation while scaling its customer base. The lack of major debt is a strength, but the company may need additional capital to compete with deep-pocketed rivals in the long term.