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Largo Inc T.LGO

Alternate Symbol(s):  LGO

Largo Inc. is a Canada-based producer and supplier of vanadium products. The Company’s segments include sales & trading, mine properties, corporate, exploration and evaluation properties (E&E properties), Largo Clean Energy and Largo Physical Vanadium. Its VPURE and VPURE+ products, which are sourced from one of the vanadium deposits at the Company's Maracas Menchen Mine in Brazil. The Company is also focused on the advancement of renewable energy storage solutions through Largo Clean Energy and its vanadium redox flow battery technology (VRFB). The Company is also engaged in the process of implementing a titanium dioxide pigment plant using feedstock sourced from its existing operations, in addition to advancing its United States-based clean energy division with its VCHARGE vanadium batteries. VPURE+ Flakes are used in the production of master alloys, where it provides high strength-to-weight ratios for the titanium alloy and aerospace industries.


TSX:LGO - Post by User

Comment by gltaisignlongson Mar 16, 2022 5:35pm
165 Views
Post# 34520043

RE:Will Largo meet the analyst annual revenue consensus?

RE:Will Largo meet the analyst annual revenue consensus?
kha341 wrote:

 


Q1-21 Revenue = US$39.8M

Q2-21 Revenue = US$54.3M

Q3-21 Revenue = US$53.9

Q1+2+3  Rev     = US$148M


Analyst Annual Revenue consensus = C$256.53 = US$205.2 (US$1 = C$1.25)


So Largo needs to realise US$57.2M (= 205.2 - 148) in sales in Q4 to meet the analyst annual revenue consensus.


Can they do it? 


Actual Q4-21 sales volume = 2,899 T = 6.4M lbs


Let’s assume that the average sales revenue per pound for Q4 = US$8.2/lb

Estimated Q4-21 Sales Revenue = US$8.2 x 6.4M lbs = ~US$52.5M


In this scenario the estimated Y-21 revenue = US$200.5M (= 148 + 52.5) or about $5M lower than the analyst consensus of US$205.2M. actual $198.3 million


Largo must realise an average sales revenue of ~US$9.0/lb in Q4-21 to meet the analyst annual revenue consensus. 





Excellent analysis!!

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