Energy Fuels (NYSE:UUUU – Get Free Report) and Largo (NYSE:LGO – Get Free Report) are both small-cap basic materials companies, but which is the superior investment? We will contrast the two companies based on the strength of their valuation, earnings, profitability, risk, institutional ownership, analyst recommendations and dividends.
Risk & Volatility
Energy Fuels has a beta of 1.64, suggesting that its stock price is 64% more volatile than the S&P 500. Comparatively, Largo has a beta of 1.66, suggesting that its stock price is 66% more volatile than the S&P 500.
Institutional & Insider Ownership
48.2% of Energy Fuels shares are owned by institutional investors. Comparatively, 64.1% of Largo shares are owned by institutional investors. 1.9% of Energy Fuels shares are owned by insiders. Comparatively, 0.3% of Largo shares are owned by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock will outperform the market over the long term.
Earnings & Valuation
Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
Energy Fuels | $38.66 million | 27.21 | $99.86 million | ($0.22) | -24.32 |
Largo | $198.68 million | 0.56 | -$30.34 million | ($0.80) | -2.18 |
Energy Fuels has higher earnings, but lower revenue than Largo. Energy Fuels is trading at a lower price-to-earnings ratio than Largo, indicating that it is currently the more affordable of the two stocks.
Analyst Ratings
This is a summary of current ratings for Energy Fuels and Largo, as provided by MarketBeat.com.
Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
Energy Fuels | 0 | 2 | 2 | 0 | 2.50 |
Largo | 0 | 0 | 1 | 0 | 3.00 |
Energy Fuels currently has a consensus price target of $8.50, indicating a potential upside of 58.88%. Largo has a consensus price target of $4.20, indicating a potential upside of 141.38%. Given Largo’s stronger consensus rating and higher probable upside, analysts plainly believe Largo is more favorable than Energy Fuels.
Profitability
This table compares Energy Fuels and Largo’s net margins, return on equity and return on assets.
Net Margins | Return on Equity | Return on Assets | |
Energy Fuels | -90.40% | -9.16% | -8.67% |
Largo | -35.10% | -22.61% | -14.29% |
Summary
Energy Fuels beats Largo on 7 of the 13 factors compared between the two stocks.
About Energy Fuels
Energy Fuels Inc., together with its subsidiaries, engages in the extraction, recovery, recycling, exploration, permitting, evaluation, and sale of uranium mineral properties in the United States. The company produces and sells vanadium pentoxide, rare earth elements, and heavy mineral sands, such as ilmenite, rutile, zircon, and monazite. The company was formerly known as Volcanic Metals Exploration Inc. and changed its name to Energy Fuels Inc. in May 2006. Energy Fuels Inc. was incorporated in 1987 and is headquartered in Lakewood, Colorado.
About Largo
Largo Inc. engages in the development and sale of vanadium-based energy storage systems in Canada. The company operates through, Sales & Trading, Mine Properties, Corporate, Exploration and Evaluation Properties, and Largo Clean Energy and Largo Physical Vanadium Segments. Its products include VPURE+ vanadium flakes that are used in the production of master alloys and aerospace applications; VPURE vanadium flakes ferrovanadium and vanadium carbon nitride for the steel industry; and VPURE+ vanadium powder for catalyst applications. The company offers renewable energy storage solutions through Largo Clean Energy. Its products are sourced from vanadium deposits at the Maracás Menchen Mine in Brazil. The company was formerly known as Largo Resources Ltd. and changed its name to Largo Inc. in November 2021. The company was incorporated in 1988 and is headquartered in Toronto, Canada.
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