Largo Resources Stock Analysis
| LGO Stock | CAD 1.65 0.07 4.43% |
Largo Resources holds a debt-to-equity ratio of 0.11. With a high degree of financial leverage come high-interest payments, which usually reduce Largo Resources' Earnings Per Share (EPS).
Asset vs Debt
Equity vs Debt
Largo Resources' liquidity is one of the most fundamental aspects of both its future profitability and its ability to meet different types of ongoing financial obligations. Largo Resources' cash, liquid assets, total liabilities, and shareholder equity can be utilized to evaluate how much leverage the Company is using to sustain its current operations. For traders, higher-leverage indicators usually imply a higher risk to shareholders. In addition, it helps Largo Stock's retail investors understand whether an upcoming fall or rise in the market will negatively affect Largo Resources' stakeholders.
For most companies, including Largo Resources, marketable securities, inventories, and receivables are the most common assets that could be converted to cash. However, for Largo Resources, the most critical issue when managing liquidity is ensuring that current assets are properly aligned with current liabilities. If they are not, Largo Resources' management will need to obtain alternative financing to ensure there are always enough cash equivalents on the balance sheet to meet obligations.
Given that Largo Resources' debt-to-equity ratio measures a Company's obligations relative to the value of its net assets, it is usually used by traders to estimate the extent to which Largo Resources is acquiring new debt as a mechanism of leveraging its assets. A high debt-to-equity ratio is generally associated with increased risk, implying that it has been aggressive in financing its growth with debt. Another way to look at debt-to-equity ratios is to compare the overall debt load of Largo Resources to its assets or equity, showing how much of the company assets belong to shareholders vs. creditors. If shareholders own more assets, Largo Resources is said to be less leveraged. If creditors hold a majority of Largo Resources' assets, the Company is said to be highly leveraged.
Largo Resources is overvalued with Real Value of 1.5 and Hype Value of 1.64. The main objective of Largo Resources stock analysis is to determine its intrinsic value, which is an estimate of what Largo Resources is worth, separate from its market price. There are two main types of Largo Resources' stock analysis: fundamental analysis and technical analysis. Fundamental analysis focuses on the financial and economic factors that affect Largo Resources' performance, such as revenue growth, earnings, and financial stability. Technical analysis, on the other hand, focuses on the price and volume data of Largo Resources' stock to identify patterns and trends that may indicate its future price movements.
The Largo Resources stock is traded in Canada on Toronto Exchange, with the market opening at 09:30:00 and closing at 16:00:00 every Mon,Tue,Wed,Thu,Fri except for officially observed holidays in Canada. Largo Resources is usually not traded on Civic Holiday, Labour Day, Thanksgiving Day, Christmas Day, Boxing Day, New Year 's Day, Family Day, Good Friday, Victoria Day, Canada Day. Largo Stock trading window is adjusted to America/Toronto timezone.
Largo |
Largo Stock Analysis Notes
About 56.0% of the company shares are owned by institutional investors. The company has price-to-book ratio of 0.67. Typically companies with comparable Price to Book (P/B) are able to outperform the market in the long run. Largo Resources recorded a loss per share of 1.35. The entity had not issued any dividends in recent years. The firm had 1:10 split on the 8th of March 2021. Largo Resources Ltd., a natural resource company, engages in the acquisition, exploration, development, and operation of mining and exploration properties in Brazil and Canada. Largo Resources Ltd. was incorporated in 1988 and is headquartered in Toronto, Canada. LARGO RESOURCES operates under Other Industrial Metals Mining classification in Canada and is traded on Toronto Stock Exchange. It employs 379 people. To find out more about Largo Resources contact Jesus Arias at 416 861 9797 or learn more at https://www.largoinc.com.Largo Resources Investment Alerts
| Largo Resources generated a negative expected return over the last 90 days | |
| Largo Resources has high historical volatility and very poor performance | |
| Largo Resources may become a speculative penny stock | |
| The company reported the revenue of 124.92 M. Net Loss for the year was (50.56 M) with profit before overhead, payroll, taxes, and interest of 779 K. | |
| About 56.0% of the company shares are owned by institutional investors |
Largo Market Capitalization
The company currently falls under 'Small-Cap' category with a current market capitalization of 131.63 M. Market capitalization usually refers to the total value of a company's stock within the entire market. To calculate Largo Resources's market, we take the total number of its shares issued and multiply it by Largo Resources's current market price. To manage market risk and economic uncertainty, many investors today build portfolios that are diversified across equities with different market capitalizations. However, as a general rule, conservative investors tend to hold large-cap stocks, and those looking for more risk prefer small-cap and mid-cap equities.Largo Profitablity
Largo Resources' profitability indicators refer to fundamental financial ratios that showcase Largo Resources' ability to generate income relative to its revenue or operating costs. If, let's say, Largo Resources is currently losing money, the management's focus should be on how to reverse that trend. However, when revenue exceeds expenses, Largo Resources' executives or investors may be in less hurry to break that information down - which is where profitability analysis comes into play. Gaining a greater understanding of Largo Resources' profitability requires more research than a typical breakdown of Largo Resources' financial statements. By doing a profitability analysis, companies can identify areas needing attention, and investors can make a profitable trade.
The company has Profit Margin (PM) of (0.57) %, which may suggest that it does not properly executes on its current pricing strategies or is unable to control all of the operational costs. This is way below average. Similarly, it shows Operating Margin (OM) of (0.07) %, which suggests for every $100 dollars of sales, it generated a net operating loss of $0.07. Technical Drivers
As of the 6th of January, Largo Resources secures the Mean Deviation of 4.42, risk adjusted performance of (0.03), and Standard Deviation of 7.68. In connection with fundamental indicators, the technical analysis model lets you check existing technical drivers of Largo Resources, as well as the relationship between them.Largo Resources Price Movement Analysis
Incorrect Input. Please change your parameters or increase the time horizon required for running this function. The output start index for this execution was zero with a total number of output elements of zero. The Double Exponential Moving Average indicator was developed by Patrick Mulloy. It consists of a single exponential moving average and a double exponential moving average. This indicator is more responsive to Largo Resources changes than the simple moving average.
Largo Resources Outstanding Bonds
Largo Resources issues bonds to finance its operations. Corporate bonds make up one of the largest components of the U.S. bond market, which is considered the world's largest securities market. Largo Resources uses the proceeds from bond sales for a wide variety of purposes, including financing ongoing mergers and acquisitions, buying new equipment, investing in research and development, buying back their own stock, paying dividends to shareholders, and even refinancing existing debt. Most Largo bonds can be classified according to their maturity, which is the date when Largo Resources has to pay back the principal to investors. Maturities can be short-term, medium-term, or long-term (more than ten years). Longer-term bonds usually offer higher interest rates but may entail additional risks.
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Largo Resources Predictive Daily Indicators
Largo Resources intraday indicators are useful technical analysis tools used by many experienced traders. Just like the conventional technical analysis, daily indicators help intraday investors to analyze the price movement with the timing of Largo Resources stock daily movement. By combining multiple daily indicators into a single trading strategy, you can limit your risk while still earning strong returns on your managed positions.
| Accumulation Distribution | 6012.29 | |||
| Daily Balance Of Power | 0.5833 | |||
| Rate Of Daily Change | 1.04 | |||
| Day Median Price | 1.59 | |||
| Day Typical Price | 1.61 | |||
| Price Action Indicator | 0.095 | |||
| Period Momentum Indicator | 0.07 |
Largo Resources Forecast Models
Largo Resources' time-series forecasting models are one of many Largo Resources' stock analysis techniques aimed at predicting future share value based on previously observed values. Time-series forecasting models ae widely used for non-stationary data. Non-stationary data are called the data whose statistical properties e.g. the mean and standard deviation are not constant over time but instead, these metrics vary over time. These non-stationary Largo Resources' historical data is usually called time-series. Some empirical experimentation suggests that the statistical forecasting models outperform the models based exclusively on fundamental analysis to predict the direction of the market movement and maximize returns from investment trading.Largo Resources Debt to Cash Allocation
Largo Resources has accumulated 17.5 M in total debt with debt to equity ratio (D/E) of 0.11, which may suggest the company is not taking enough advantage from borrowing. Largo Resources has a current ratio of 3.01, suggesting that it is liquid and has the ability to pay its financial obligations in time and when they become due. Debt can assist Largo Resources until it has trouble settling it off, either with new capital or with free cash flow. So, Largo Resources' shareholders could walk away with nothing if the company can't fulfill its legal obligations to repay debt. However, a more frequent occurrence is when companies like Largo Resources sell additional shares at bargain prices, diluting existing shareholders. Debt, in this case, can be an excellent and much better tool for Largo to invest in growth at high rates of return. When we think about Largo Resources' use of debt, we should always consider it together with cash and equity.Largo Resources Assets Financed by Debt
Typically, companies with high debt-to-asset ratios are said to be highly leveraged. The higher the ratio, the greater risk will be associated with the Largo Resources' operation. In addition, a high debt-to-assets ratio may indicate a low borrowing capacity of Largo Resources, which in turn will lower the firm's financial flexibility.Largo Resources Corporate Bonds Issued
About Largo Stock Analysis
Stock analysis is the technique used by a trader or investor to examine and evaluate how Largo Resources prices is reacting to, or reflecting on a current market direction and economic conditions. It can be used to make informed decisions about market timing, and when buying or selling Largo shares will generate the highest return on investment. We also built our stock analysis module to help investors to gain an insight into the world economy as a whole, the stock market, thematic ideas. a specific sector, or an individual Stock such as Largo Resources. By using and applying Largo Stock analysis, traders can create a robust methodology for identifying Largo entry and exit points for their positions.
Largo Resources Ltd., a natural resource company, engages in the acquisition, exploration, development, and operation of mining and exploration properties in Brazil and Canada. Largo Resources Ltd. was incorporated in 1988 and is headquartered in Toronto, Canada. LARGO RESOURCES operates under Other Industrial Metals Mining classification in Canada and is traded on Toronto Stock Exchange. It employs 379 people.
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Check out Correlation Analysis to better understand how to build diversified portfolios, which includes a position in Largo Resources. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in employment. To learn how to invest in Largo Stock, please use our How to Invest in Largo Resources guide.You can also try the Positions Ratings module to determine portfolio positions ratings based on digital equity recommendations. Macroaxis instant position ratings are based on combination of fundamental analysis and risk-adjusted market performance.