Lake Area Corn Processors, LLC (LKCRU)
For informational purposes only. Not financial advice. Analysis by Sedat ANAK, Founder & Editor-in-Chief | AI-powered analysis. Data sourced from SEC filings and institutional-grade financial providers. Editorially reviewed. Not financial advice.
Lake Area Corn Processors, LLC (LKCRU) trades at $7.26 with AI Score 42/100 (Grade C). Lake Area Corn Processors, LLC operates Dakota Ethanol, L. L. C. Market cap: $215.04M, Sector: Basic materials.
Price live · AI analysis from Mar 18, 2026Analyst Coverage for LKCRU: LKCRU does not currently have published analyst price targets in our coverage universe. This is common for smaller-cap names with limited Wall Street coverage. In the absence of analyst consensus, our AI model evaluates LKCRU against Basic Materials peers across nine fundamental dimensions and assigns an underweight signal based on the underlying data.
LKCRU: the 1 perspectives are evenly split.
How is this calculated? →Lake Area Corn Processors, LLC (LKCRU) Materials & Commodity Exposure
Lake Area Corn Processors, through Dakota Ethanol, produces fuel-grade ethanol and co-products like distiller grains and corn oil. Serving North America, the company plays a role in both the fuel and animal feed markets, with a focus on octane enhancement and emissions reduction.
What Is the Investment Thesis for LKCRU?
Lake Area Corn Processors presents an investment opportunity within the renewable fuels sector, evidenced by a P/E ratio of 5.6 and a profit margin of 15.1%. Growth catalysts include increasing demand for ethanol as a fuel additive and rising prices for distiller grains. The company's low beta of 0.36 suggests lower volatility compared to the broader market. Key risks include fluctuations in corn prices and changes in government regulations regarding ethanol production and blending mandates. Investors should monitor these factors to assess the company's long-term profitability and sustainability.
Based on FMP financials and quantitative analysis
LKCRU Key Highlights
- Market capitalization of $215.04M indicates the company's size and market value.
- P/E ratio of 5.6 suggests the company may be undervalued compared to its earnings.
- Profit margin of 15.1% demonstrates the company's ability to generate profit from its revenue.
- Gross margin of 15.2% reflects the company's efficiency in managing production costs.
- Beta of 0.36 indicates lower volatility compared to the overall market, potentially appealing to risk-averse investors.
Who Are LKCRU's Competitors?
LKCRU is benchmarked below against 8 industry peers on price, market cap, and our AI MoonshotScore.
| Company | Price | Change | Market Cap | AI Score |
|---|---|---|---|---|
| BADG Badger State Ethanol, LLC | $4300.00 | +8.86% | $85.02M | 46 |
| CRDE Cardinal Ethanol, LLC | $19000.00 | +0.00% | $277.51M | 37 |
| CURUF Consolidated Uranium Inc. | $1.42 | +2.90% | $183.98M | 44 |
| DCCNF Dacian Gold Limited | $0.15 | -14.29% | $182.52M | 38 |
| HGRAF HydroGraph Clean Power Inc. | $3.43 | -3.11% | $1.20B | 69 |
| LWLG Lightwave Logic, Inc. | $7.46 | +1.29% | $1.15B | 69 |
| COOSF Carbios SAS | $6.50 | -9.09% | $109.66M | 69 |
| NVZMY Novozymes A/S | $63.45 | -2.53% | $29.58B | 62 |
AI Score by Stock Expert AI · Price data: FMP / Yahoo Finance
What Are LKCRU's Key Strengths?
- Established ethanol production facility.
- Production of valuable co-products.
- Strategic location in a corn-producing region.
- Existing relationships with North American fuel distributors.
What Are LKCRU's Weaknesses?
- Reliance on corn prices.
- Vulnerability to changes in government regulations.
- Limited geographic diversification.
- Dependence on a single ethanol plant.
What Could Drive LKCRU Stock Higher?
- Government support for renewable fuels through blending mandates.
- Increasing demand for ethanol as a gasoline additive.
- Potential expansion of the Dakota Ethanol plant.
- Development of new co-product applications.
- Fluctuations in corn prices impacting profitability.
What Are the Key Risks for LKCRU?
- Changes in government regulations regarding ethanol blending mandates.
- Fluctuations in corn prices affecting production costs.
- Competition from other ethanol producers.
- Technological advancements in alternative fuels.
- Limited liquidity due to OTC market trading.
What Are the Growth Opportunities for LKCRU?
- Expansion of Ethanol Production Capacity: Increasing the production capacity of the Dakota Ethanol plant could allow Lake Area Corn Processors to capitalize on growing demand for ethanol. The global ethanol market is projected to reach $127.47 billion by 2029, growing at a CAGR of 4.15%. This expansion would require capital investment but could significantly increase revenue and market share.
- Diversification into Higher-Value Co-Products: Investing in technology to extract and refine higher-value co-products from the ethanol production process, such as high-protein animal feed or specialty chemicals, could enhance profitability. The market for high-protein animal feed is growing due to increasing demand for livestock products, offering a potential revenue stream.
- Strategic Partnerships with Fuel Distributors: Forming strategic partnerships with fuel distributors to secure long-term contracts for ethanol sales could provide a stable revenue base and reduce reliance on spot market prices. This would ensure consistent demand for the company's ethanol production and improve revenue predictability.
- Geographic Expansion within North America: Expanding the company's customer base beyond its current North American market could open up new revenue opportunities. Identifying regions with high demand for ethanol and establishing distribution channels in those areas could drive sales growth. This expansion would require market research and investment in logistics.
- Adoption of Advanced Biofuel Technologies: Investing in research and development to adopt advanced biofuel technologies, such as cellulosic ethanol production, could provide a competitive advantage and access to new markets. Cellulosic ethanol, produced from non-food biomass, is considered a more sustainable alternative to corn-based ethanol and may qualify for government incentives.
What Opportunities Does LKCRU Have?
- Expansion of ethanol production capacity.
- Diversification into higher-value co-products.
- Strategic partnerships with fuel distributors.
- Adoption of advanced biofuel technologies.
What Threats Does LKCRU Face?
- Fluctuations in corn prices.
- Changes in government regulations regarding ethanol blending.
- Competition from other ethanol producers.
- Technological advancements in alternative fuels.
What Are LKCRU's Competitive Advantages?
- Established ethanol production facility with existing infrastructure.
- Access to corn supply in South Dakota.
- Relationships with fuel distributors in North America.
- Production of valuable co-products like distiller grains and corn oil.
What Does LKCRU Do?
Lake Area Corn Processors, LLC, established in 1999 and based in Wentworth, South Dakota, operates through its subsidiary, Dakota Ethanol, L.L.C. The company owns and manages an ethanol plant that produces and distributes fuel grade ethanol, a product primarily utilized as an octane enhancer in fuels. This ethanol also serves as an oxygenated fuel additive, reducing ozone and carbon monoxide vehicle emissions, and as a non-petroleum-based gasoline substitute. In addition to ethanol, Lake Area Corn Processors generates co-products, including distiller grains, a valuable animal feed supplement for the dairy and beef industries, and corn oil, which finds applications in animal feed, industrial processes, and biodiesel production. The company's market reach extends across North America, where it sells its ethanol and related products. With a focus on sustainable fuel alternatives and agricultural co-products, Lake Area Corn Processors plays a role in the renewable energy and animal feed sectors.
What Products and Services Does LKCRU Offer?
- Produces fuel-grade ethanol for use as an octane enhancer.
- Distributes ethanol as an oxygenated fuel additive to reduce emissions.
- Offers ethanol as a non-petroleum-based gasoline substitute.
- Produces distiller grains as an animal feed supplement.
- Supplies corn oil for animal feed, industrial use, and biodiesel production.
- Manages an ethanol plant in South Dakota.
How Does LKCRU Make Money?
- Generates revenue from the sale of fuel-grade ethanol.
- Sells distiller grains as a co-product for animal feed.
- Markets corn oil for various industrial applications and biodiesel production.
- Operates an ethanol plant, managing production and distribution.
What Industry Does LKCRU Operate In?
Lake Area Corn Processors operates within the specialty chemicals industry, specifically focusing on ethanol production. The industry is influenced by government mandates, such as the Renewable Fuel Standard (RFS), which drives demand for ethanol. The competitive landscape includes companies like BADG, CRDE, CURUF, DCCNF, and DCHCF, as well as larger agricultural companies. Market trends include increasing demand for biofuels and growing interest in sustainable agricultural practices. The ethanol market is subject to fluctuations in corn prices and regulatory changes.
Who Are LKCRU's Key Customers?
- Fuel distributors and blenders in North America.
- Animal feed manufacturers and suppliers.
- Industrial companies using corn oil in their processes.
- Biodiesel producers.
F-Score 5/9Financial Health
Lake Area Corn Processors, LLC's Piotroski F-Score is 5/9, a 9-point checklist of profitability, leverage and efficiency — a middling fundamental profile. Its Altman Z-Score of 9.13 places it in the safe zone, indicating low near-term bankruptcy risk.
ROE 35%Key Financial Metrics
Return on equity for Lake Area Corn Processors, LLC stands at 34.8%, a gauge of how efficiently it converts shareholder capital into profit. Return on assets is 21.9%, showing how much profit it generates from its asset base. LKCRU trades at a trailing price-to-earnings ratio of 5.59, below the Basic Materials sector average of ~22x. Its free cash flow yield is 24.7%, a gauge of the cash the business throws off relative to its market value. A current ratio of 1.62 indicates the company holds enough short-term assets to cover its near-term obligations. Its earnings yield is 17.9%, the inverse of the P/E and a quick read on earnings relative to price.
Lake Area Corn Processors, LLC (LKCRU) Valuation Context
Valued at $215.04M, LKCRU is classified as a micro-cap stock. Relative to its peer group, LKCRU's quantitative score of 42/100 is roughly in line with the peer average of 47/100.
Net buyingInsider Activity
The most recent 9 insider filings for Lake Area Corn Processors, LLC break down as 0 sales and 9 purchases. On net that is roughly 51K shares acquired (about $149K) — insiders putting money in tends to read as conviction.
LKCRU Financials
Bull Case vs Bear Case
Bull Case
- Recent insider buying suggests confidence in the company's direction, signaling potential upside.
- The community seems optimistic about LKCRU's ability to navigate current market conditions and maintain profitability.
- Positive market perception could drive increased investor interest, potentially leading to higher valuation.
- LKCRU's focus on corn processing aligns with growing demand for agricultural products, offering long-term growth prospects.
Bear Case
- Limited publicly available information makes it difficult to assess the company's true financial health and future prospects.
- Community sentiment, while generally positive, shows some concern about potential supply chain disruptions affecting LKCRU's operations.
- Negative market perception of the agricultural sector could negatively impact LKCRU's stock performance, regardless of its fundamentals.
- Lack of diversification in its business model makes LKCRU vulnerable to fluctuations in corn prices and demand.
AI-generated arguments based on insider flow, news sentiment and technicals — not financial advice · April 2026
LKCRU Latest News
No recent news available for LKCRU.
LKCRU Analyst Consensus
Consensus Rating
Aggregated Buy/Hold/Sell recommendations from Benzinga, Yahoo Finance, and Finnhub for LKCRU.
Price Targets
Wall Street price target analysis for LKCRU.
LKCRU MoonshotScore
What does this score mean?
The MoonshotScore rates LKCRU's growth potential on a scale of 0-100 across multiple factors including innovation, market disruption, financial health, and momentum.
Leadership: Scott A. Mundt
Managing Director
Scott A. Mundt serves as the Managing Director of Lake Area Corn Processors, LLC. His background includes experience in agricultural operations and management. He is responsible for overseeing the overall operations of the company, including ethanol production, sales, and distribution. His leadership is crucial in navigating the challenges and opportunities within the renewable fuels sector.
Track Record: Under Scott A. Mundt's leadership, Lake Area Corn Processors has maintained a consistent level of ethanol production and profitability. He has focused on optimizing operational efficiency and managing costs to ensure the company's competitiveness. His strategic decisions have contributed to the company's stability in a volatile market.
LKCRU OTC Market Information
The OTC Other tier represents the lowest tier of the OTC market, indicating that Lake Area Corn Processors may not meet the minimum financial standards or disclosure requirements of higher tiers like OTCQX or OTCQB. Companies in this tier may have limited regulatory oversight and may not be required to file regular financial reports with the SEC, leading to less transparency for investors compared to companies listed on major exchanges like the NYSE or NASDAQ.
- OTC Tier: OTC Other
- Disclosure Status: Unknown
- Limited financial disclosure increases the risk of investing due to lack of transparency.
- Lower liquidity can lead to difficulty in buying or selling shares at desired prices.
- Potential for price manipulation due to less regulatory oversight.
- Higher volatility compared to stocks listed on major exchanges.
- Risk of delisting or suspension from the OTC market.
- Verify the company's registration and legal standing.
- Attempt to obtain and review any available financial statements or reports.
- Assess the company's business model and competitive landscape.
- Research the background and experience of the company's management team.
- Understand the risks associated with investing in OTC stocks.
- Consult with a financial advisor before investing.
- Check for any regulatory actions or legal issues involving the company.
- Established ethanol production facility.
- Production of valuable co-products.
- Operational history since 1999.
- Presence in the North American fuel and animal feed markets.
Lake Area Corn Processors, LLC Basic Materials Stock: Key Questions Answered
What does Lake Area Corn Processors, LLC do?
Lake Area Corn Processors, through its Dakota Ethanol subsidiary, produces and distributes fuel-grade ethanol, primarily used as an octane enhancer and oxygenated fuel additive. They also generate co-products like distiller grains for animal feed and corn oil for various industrial applications. The company operates an ethanol plant in South Dakota and sells its products across North America, playing a role in both the renewable fuel and agricultural sectors.
What are the main risks for LKCRU?
The primary risks for Lake Area Corn Processors include fluctuations in corn prices, which directly impact production costs and profitability. Changes in government regulations regarding ethanol blending mandates could also significantly affect demand. Competition from other ethanol producers and technological advancements in alternative fuels pose additional threats. As an OTC-traded stock, LKCRU faces risks related to limited liquidity and regulatory oversight.
What are the key factors to evaluate for LKCRU?
Lake Area Corn Processors, LLC (LKCRU) holds an AI score of 42/100 (low). P/E: 5.6x vs the S&P 500's ~20-25x. Not financial advice.
How frequently does LKCRU data refresh on this page?
LKCRU prices update in real time during U.S. market hours. Fundamentals refresh after quarterly filings; analyst ratings and AI insights update daily; news is aggregated continuously.
What has driven LKCRU's recent stock price performance?
Lake Area Corn Processors, LLC (LKCRU) moves on earnings results, analyst revisions, sector rotation, and market sentiment. Notable catalyst: Established ethanol production facility. See the News tab for the latest drivers. Past performance does not predict future results.
Should investors consider LKCRU overvalued or undervalued right now?
Lake Area Corn Processors, LLC (LKCRU) trades at 5.6x earnings. Compare P/E, P/S, and EV/EBITDA against sector peers for a full view.
What research should beginners do before buying LKCRU?
Before investing in Lake Area Corn Processors, LLC (LKCRU), research these four areas: (1) the company's revenue model and competitive position (see Company Overview), (2) financial health through revenue growth, margins, and cash flow (see MoonshotScore), (3) what Wall Street analysts recommend and their price targets (see Analyst tab), and (4) specific risk factors that could impact the stock (see Risk Factors section).
Why might investors consider adding LKCRU to a portfolio?
Key strength of Lake Area Corn Processors, LLC (LKCRU): Established ethanol production facility. Weigh rewards against risks and diversify. Not financial advice.
Disclaimer: This content is for informational purposes only and does not constitute investment advice. Always do your own research and consult a financial advisor.
Official Resources
Data provided for informational purposes only.
- OTC data may be limited or unaudited.
- AI analysis is pending.
- Financial data is based on available information and may not be comprehensive.