Largo (NYSE:LGO – Get Rating) and Centrus Energy (NYSE:LEU – Get Rating) are both small-cap oils/energy companies, but which is the better stock? We will compare the two companies based on the strength of their profitability, institutional ownership, valuation, earnings, dividends, analyst recommendations and risk.
49.0% of Centrus Energy shares are held by institutional investors. 14.0% of Centrus Energy shares are held by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock is poised for long-term growth.
Centrus Energy has higher revenue and earnings than Largo. Centrus Energy is trading at a lower price-to-earnings ratio than Largo, indicating that it is currently the more affordable of the two stocks.
Largo presently has a consensus price target of $20.33, suggesting a potential upside of 147.06%. Given Largo’s higher probable upside, research analysts clearly believe Largo is more favorable than Centrus Energy.
Summary
Centrus Energy beats Largo on 7 of the 12 factors compared between the two stocks.
About Largo
Largo Inc. engages in the development and sale of vanadium-based utility scale electrical energy storage systems in Canada. The company operates in five segments: Sales & Trading, Mine Properties, Corporate, Exploration and Evaluation Properties, and Largo Clean Energy. 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 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. Largo Inc. was incorporated in 1988 and is headquartered in Toronto, Canada.
About Centrus Energy
Centrus Energy Corp. supplies nuclear fuel and services for the nuclear power industry in the United States, Japan, Belgium, and internationally. The company operates through two segments, Low-Enriched Uranium (LEU) and Technical Solutions. The LEU segment sells separative work units (SWU) component of LEU; SWU and natural uranium components of LEU; and natural uranium for utilities that operate nuclear power plants. The Technical Solutions segment offers technical, manufacturing, engineering, procurement, construction, and operations services to public and private sector customers, including the American Centrifuge engineering and testing activities. The company was formerly known as USEC Inc. and changed its name to Centrus Energy Corp. in September 2014. Centrus Energy Corp. was incorporated in 1998 and is headquartered in Bethesda, Maryland.
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