Today, an analyst has provided a rating update for the Materials sector company, Largo Resources (LGO). The Materials company, Largo Resources (TSX: LGO) has just received a rating update from a Wall Street analyst.
Ihle commented:
“We maintain our Buy recommendation and slightly raise our price target to C$3.40 per share from C$3.30 per share. Our higher PT was the result of fewer dilutive shares outstanding amid a more advantageous USD/CAD exchange rate. Our valuation remains based on a DCF for the Maracás Menchen Mine, utilizing a 9.0% discount rate, which brings our estimated NAV to C$2.16 billion, or C$3.16 per share. With the recent retirement of outstanding debt, we now only add Largo’s cash of C$0.22 per share to arrive at our NAV of C$3.38 per share.”
According to TipRanks.com, Ihle is a 4-star analyst with an average return of 4.9% and a 48.2% success rate. Ihle covers the Basic Materials sector, focusing on stocks such as Solitario Exploration & Royalty, Americas Silver Corporation, and Golden Star Resources Ltd.
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Currently, the analyst consensus on Largo Resources is a Hold with an average price target of C$3.30.
The company has a one-year high of C$4.65 and a one-year low of C$1.45. Currently, Largo Resources has an average volume of 796.2K.
Largo Resources Ltd. engages in the exploration and development of vanadium and tungsten projects in Brazil and Canada. It focuses in the production of vanadium flake, purity vanadium flake and purity vanadium powder.
The company’s shares closed last Wednesday at C$1.66, close to its 52-week low of C$1.45.
