📊 LTCHW Key Takeaways
Is Latch, Inc. (LTCHW) a Good Investment?
Latch is burning cash at an unsustainable rate with -$35.9M operating cash flow against just $34.6M in cash reserves, implying less than one year of runway. Despite 23.8% revenue growth, the company loses $0.76 on every revenue dollar with no improvement in losses YoY, indicating fundamental business model dysfunction rather than a typical growth-stage company trajectory.
Revenue is growing at a mid-20% clip, but the business remains deeply unprofitable with large operating losses and negative free cash flow, while gross margin visibility is unclear (gross profit not reported). Despite decent liquidity and minimal leverage, the current cash burn implies a limited runway absent rapid cost reduction or a clear path to sustainable margins.
Why Buy Latch, Inc. Stock? LTCHW Key Strengths
- Revenue growth of 23.8% YoY demonstrates market demand
- Strong balance sheet liquidity with 2.30x current ratio and $34.6M cash
- Minimal debt burden at $4.6M with 0.08x debt-to-equity ratio
- Healthy liquidity with low leverage (current ratio 2.3x, D/E 0.08x)
- Mid-20% YoY revenue growth (~24%)
- Low capex intensity supports potential for opex-driven turnaround
LTCHW Stock Risks: Latch, Inc. Investment Risks
- Catastrophic cash burn: -$35.9M operating cash flow exhausts $34.6M cash in <1 year at current rate
- Margins severely negative across the board: -75.2% operating margin and -76.7% net margin indicate core business unprofitability
- No profitability inflection visible: net losses flat YoY despite 23.8% revenue growth, suggesting revenue growth is not translating to financial improvement
- Persistent deep losses and negative FCF (FCF margin -51%)
- Limited cash runway relative to burn; dilution/going-concern risk
- Unclear/possibly weak gross margin profile (gross profit N/A)
Key Metrics to Watch
- Operating cash flow trend (critical - current -$35.9M is unsustainable)
- Gross margin expansion (currently N/A but essential to track if disclosed)
- Cash runway runway duration based on burn rate
- Gross margin trajectory and COGS mix
- Quarterly operating cash burn and months of runway
Latch, Inc. (LTCHW) Financial Metrics & Key Ratios
💡 AI Analyst Insight
Strong liquidity with a 2.30x current ratio provides a solid financial cushion.
LTCHW Profit Margin, ROE & Profitability Analysis
LTCHW vs Market Sector: How Latch, Inc. Compares
How Latch, Inc. compares to Market sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is Latch, Inc. Stock Overvalued? LTCHW Valuation Analysis 2026
Based on fundamental analysis, Latch, Inc. has mixed fundamental signals relative to the Market sector in 2026.
Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.
Latch, Inc. Balance Sheet: LTCHW Debt, Cash & Liquidity
LTCHW Revenue & Earnings Growth: 5-Year Financial Trend
5-Year Trend Summary: Latch, Inc.'s revenue has grown significantly by 70% over the 5-year period, indicating strong business expansion. The most recent EPS of $-0.37 indicates the company is currently unprofitable.
LTCHW Revenue Growth, EPS Growth & YoY Performance
LTCHW Quarterly Earnings & Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q3 2025 | $14.9M | -$6.6M | $-0.04 |
| Q2 2025 | $12.9M | -$7.8M | $-0.05 |
| Q1 2025 | $12.0M | -$11.3M | $-0.07 |
| Q3 2024 | $9.7M | -$13.6M | $-0.11 |
| Q2 2024 | $10.2M | -$13.6M | $-0.11 |
| Q1 2024 | $11.2M | -$13.6M | $-0.09 |
| Q3 2023 | $8.8M | -$27.3M | $-0.16 |
| Q2 2023 | $9.8M | -$30.9M | $-0.21 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
Latch, Inc. Dividends, Buybacks & Capital Allocation
LTCHW SEC Filings: Latest 10-K & 10-Q Analysis
Access official SEC EDGAR filings for Latch, Inc. (CIK: 0001826000)
📋 Recent SEC Filings
❓ Frequently Asked Questions about LTCHW
What is the AI rating for LTCHW?
Latch, Inc. (LTCHW) has a Combined AI Rating of SELL from Claude (STRONG SELL) and ChatGPT (SELL) with 84% combined confidence, based on fundamental analysis of SEC EDGAR filings.
What are LTCHW's key strengths?
Claude: Revenue growth of 23.8% YoY demonstrates market demand. Strong balance sheet liquidity with 2.30x current ratio and $34.6M cash. ChatGPT: Healthy liquidity with low leverage (current ratio 2.3x, D/E 0.08x). Mid-20% YoY revenue growth (~24%).
What are the risks of investing in LTCHW?
Claude: Catastrophic cash burn: -$35.9M operating cash flow exhausts $34.6M cash in <1 year at current rate. Margins severely negative across the board: -75.2% operating margin and -76.7% net margin indicate core business unprofitability. ChatGPT: Persistent deep losses and negative FCF (FCF margin -51%). Limited cash runway relative to burn; dilution/going-concern risk.
What is LTCHW's revenue and growth?
Latch, Inc. reported revenue of $70.1M.
Does LTCHW pay dividends?
Latch, Inc. does not currently pay dividends.
Where can I find LTCHW SEC filings?
Official SEC filings for Latch, Inc. (CIK: 0001826000) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is LTCHW's EPS?
Latch, Inc. has a diluted EPS of $-0.34.
How is the AI analysis conducted?
Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined rating reflects both perspectives for balanced insights.
Is LTCHW a good stock to buy right now?
Based on our AI fundamental analysis in April 2026, Latch, Inc. has a SELL rating with 84% confidence. Review the strengths and risks sections above before making a decision. This is not investment advice.
Is LTCHW stock overvalued or undervalued?
Valuation metrics for LTCHW: ROE of -92.6% (sector avg: 15%), net margin of -76.7% (sector avg: 12%). Compare these metrics with sector averages to assess valuation.
Should I buy LTCHW stock in 2026?
Our dual AI analysis gives Latch, Inc. a combined SELL rating for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.
What is LTCHW's free cash flow?
Latch, Inc.'s operating cash flow is $-35.9M, with capital expenditures of $79.0K. FCF margin is -51.3%.
How does LTCHW compare to other Market stocks?
Vs Default sector averages: Net margin -76.7% (avg: 12%), ROE -92.6% (avg: 15%), current ratio 2.30 (avg: 1.8).