American Battery Technology (NASDAQ:ABAT – Get Free Report) and Largo (NYSE:LGO – Get Free Report) are both small-cap computer and technology companies, but which is the better stock? We will contrast the two businesses based on the strength of their risk, valuation, analyst recommendations, profitability, earnings, dividends and institutional ownership.
Profitability
This table compares American Battery Technology and Largo’s net margins, return on equity and return on assets.
Net Margins | Return on Equity | Return on Assets | |
American Battery Technology | N/A | -65.58% | -51.22% |
Largo | -35.10% | -22.61% | -14.29% |
Volatility and Risk
American Battery Technology has a beta of -2.81, suggesting that its share price is 381% less volatile than the S&P 500. Comparatively, Largo has a beta of 1.69, suggesting that its share price is 69% more volatile than the S&P 500.
Valuation & Earnings
Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
American Battery Technology | $545,460.00 | 316.74 | -$52.50 million | ($0.98) | -2.16 |
Largo | $144.82 million | 0.80 | -$30.34 million | ($0.80) | -2.25 |
Largo has higher revenue and earnings than American Battery Technology. Largo is trading at a lower price-to-earnings ratio than American Battery Technology, indicating that it is currently the more affordable of the two stocks.
Institutional & Insider Ownership
9.9% of American Battery Technology shares are owned by institutional investors. Comparatively, 64.1% of Largo shares are owned by institutional investors. 5.2% of American Battery Technology shares are owned by company insiders. Comparatively, 0.3% of Largo shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock will outperform the market over the long term.
Analyst Ratings
This is a breakdown of current ratings and target prices for American Battery Technology and Largo, as provided by MarketBeat.com.
Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
American Battery Technology | 0 | 0 | 1 | 0 | 3.00 |
Largo | 0 | 0 | 1 | 0 | 3.00 |
American Battery Technology presently has a consensus price target of $6.00, suggesting a potential upside of 183.02%. Largo has a consensus price target of $4.20, suggesting a potential upside of 133.33%. Given American Battery Technology’s higher possible upside, equities analysts plainly believe American Battery Technology is more favorable than Largo.
Summary
Largo beats American Battery Technology on 7 of the 12 factors compared between the two stocks.
About American Battery Technology
American Battery Technology Company operates as a battery materials company. The company explores for resources of battery metals, such as such as lithium, nickel, cobalt, and manganese; and develops and commercializes technologies for the extraction of battery metals, as well as commercializes integrated process for the recycling of lithium-ion batteries. The company was formerly known as American Battery Metals Corporation. American Battery Technology Company was incorporated in 2011 and is headquartered in Reno, Nevada.
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.
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