Contrasting Energy Fuels (NYSE:UUUU) and Largo (NYSE:LGO)

Largo (NYSE:LGO) and Energy Fuels (NYSE:UUUU) are both small-cap oils/energy companies, but which is the better business? We will contrast the two businesses based on the strength of their earnings, profitability, analyst recommendations, valuation, risk, dividends and institutional ownership.

Analyst Recommendations

This is a breakdown of recent ratings and recommmendations for Largo and Energy Fuels, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Largo	0	0	1	0	3.00
Energy Fuels	0	2	2	0	2.50

Largo currently has a consensus target price of $4.20, indicating a potential upside of 147.06%. Energy Fuels has a consensus target price of $8.50, indicating a potential upside of 60.38%. Given Largo’s stronger consensus rating and higher probable upside, analysts clearly believe Largo is more favorable than Energy Fuels.

Institutional & Insider Ownership

64.1% of Largo shares are owned by institutional investors. Comparatively, 48.2% of Energy Fuels shares are owned by institutional investors. 0.3% of Largo shares are owned by company insiders. Comparatively, 1.9% of Energy Fuels shares are owned by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock is poised for long-term growth.

Valuation & Earnings

This table compares Largo and Energy Fuels”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Largo	$144.82 million	0.75	-$30.34 million	($0.80)	-2.13
Energy Fuels	$38.66 million	26.96	$99.86 million	($0.22)	-24.09

Energy Fuels has lower revenue, but higher earnings than Largo. Energy Fuels is trading at a lower price-to-earnings ratio than Largo, indicating that it is currently the more affordable of the two stocks.

Risk & Volatility

Largo has a beta of 1.66, meaning that its share price is 66% more volatile than the S&P 500. Comparatively, Energy Fuels has a beta of 1.64, meaning that its share price is 64% more volatile than the S&P 500.

Profitability

This table compares Largo and Energy Fuels’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Largo	-35.10%	-22.61%	-14.29%
Energy Fuels	-90.40%	-9.16%	-8.67%

About Largo

Largo Inc. engages in the development and sale of vanadium-based energy storage systems in Canada. The company operates through, Sales & Trading, Mine Properties, Corporate, Exploration and Evaluation Properties, and Largo Clean Energy and Largo Physical Vanadium Segments. 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 storage 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. The company was incorporated in 1988 and is headquartered in Toronto, Canada.

About Energy Fuels

Energy Fuels Inc., together with its subsidiaries, engages in the extraction, recovery, recycling, exploration, permitting, evaluation, and sale of uranium mineral properties in the United States. The company produces and sells vanadium pentoxide, rare earth elements, and heavy mineral sands, such as ilmenite, rutile, zircon, and monazite. The company was formerly known as Volcanic Metals Exploration Inc. and changed its name to Energy Fuels Inc. in May 2006. Energy Fuels Inc. was incorporated in 1987 and is headquartered in Lakewood, Colorado.