A scary possibility
Largo stock is in the low teens while the benchmark V2O5 prices are above US$10/lb.
Can this scenario be possible: A single digit C$sp in early May which will get hammered even further down after the Earnings CC?
A scary thought that keeps me awake at night!
My back-of-the-envelope estimation indicates that we need the average price of V2O5 equivalent sold to be around US$7.30 for Largo to break even with regard to EBITDA (Earnings Before Interest, Tax, Depreciation and Amortization) in 2022. And I’m not even talking about the bottom line.