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Largo Ends Iron Ore Calcine Deal and Positions for U.S. Vanadium Market Shift After Tariff Ruling

Tipranks - Tue Feb 24, 8:20AM CST

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An announcement from Largo Resources ( (TSE:LGO) ) is now available.

Largo Inc., a major primary vanadium producer with integrated operations and additional interests in clean energy storage and tungsten assets, supplies critical materials such as vanadium and ilmenite to steel, aerospace, defense, chemical, and energy storage markets. Its shares trade on Nasdaq and the Toronto Stock Exchange under the symbol LGO, and its key production base is the Maracás Menchen Mine in Brazil.

On February 23, 2026, Largo announced it had terminated a previously agreed sale of up to 4.5 million tonnes of iron ore calcine after the counterparty failed to make a US$2.9 million initial payment, retaining full ownership of the inventory and seeking alternative buyers without expecting a material financial impact. The company is evaluating the implications of a recent U.S. Supreme Court ruling that struck down a 50% tariff on Brazilian vanadium, positioning bonded U.S. inventories to quickly serve a tightening U.S. market where ferrovanadium and V₂O₅ prices have risen sharply, potentially strengthening Largo’s competitive footing and role in U.S. supply security as tariff conditions evolve.

Largo is also assessing its operational flexibility, including use of bonded stocks in U.S. ports, to respond swiftly to any reconfigured tariff regime that might reintroduce duties at lower levels. With U.S. ferrovanadium prices now commanding a widening premium over Europe and structural supply constraints in the American market, the company sees an opportunity to expand its presence as a western-aligned supplier of primary vanadium units once trade barriers ease.

The most recent analyst rating on (TSE:LGO) stock is a Hold with a C$1.50 price target. To see the full list of analyst forecasts on Largo Resources stock, see the TSE:LGO Stock Forecast page.

Spark’s Take on TSE:LGO Stock

According to Spark, TipRanks’ AI Analyst, TSE:LGO is a Neutral.

The score is primarily held back by weak financial performance, including ongoing losses and cash flow challenges. Technicals are moderately supportive with positive trend signals, but overbought momentum readings raise near-term risk. Valuation remains constrained by negative earnings and the absence of a dividend yield.

To see Spark’s full report on TSE:LGO stock, click here.

More about Largo Resources

Largo Inc. is a globally recognized producer of high-quality vanadium and ilmenite, sourced from its Maracás Menchen Mine in Brazil, serving steel, aerospace, defense, chemical, and energy storage sectors. The company is vertically integrated, holds stakes in vanadium-based energy storage via Storion Energy in the U.S., and owns tungsten-molybdenum and tungsten projects in Canada and Brazil.

YTD Price Performance: 48.09%

Average Trading Volume: 149,549

Technical Sentiment Signal: Hold

Current Market Cap: C$165.7M

For detailed information about LGO stock, go to TipRanks’ Stock Analysis page.

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