(ALLGO) Largo SAS - Ratings and Ratios

Largo SAS (PA:ALLGO) is a French technology distributor specializing in the resale of refurbished digital devices, including smartphones, tablets, laptops, smartwatches, headphones, and earphones, operating a network of around 50 stores across France. Founded in 2016 and headquartered in Sainte-Luce-Sur-Loire, the company has established itself as a significant player in the refurbished electronics market.

From a business perspective, Largo SAS capitalizes on the growing demand for sustainable and affordable technology by offering certified pre-owned devices. This model not only appeals to environmentally conscious consumers but also provides a cost-effective alternative to purchasing new devices. The companys operational footprint, with approximately 50 stores, suggests a robust distribution network that enables it to reach a wide customer base across France.

Analyzing the stocks performance, we observe that Largo SAS is listed on the French stock exchange with the ticker symbol ALLGO. The stock is classified under the GICS Sub Industry: Technology Distributors, indicating its categorization within the tech sector, specifically in distribution. With a market capitalization of 9.11M EUR, the company is considered a small-cap entity, which may imply higher volatility and potential for growth.

Utilizing the available and , a forecast can be constructed. The stocks last price is 2.49 EUR, slightly below its 20-day Simple Moving Average (SMA20) of 2.52 EUR and significantly below its 50-day SMA of 2.60 EUR, indicating a bearish short-term trend. However, the 200-day SMA stands at 2.24 EUR, suggesting an overall upward trend in the longer term. The Average True Range (ATR) of 0.10 (4.02% of the last price) indicates moderate volatility. Given the absence of a P/E ratio and a negative Return on Equity (RoE) of -201.73, it is clear that the company is currently not profitable, which could be a challenge for investors seeking returns through earnings growth.

Forecasting the stocks future performance involves considering both technical and fundamental aspects. Technically, a break above the 52-week high of 2.81 EUR could signal a potential upward trajectory, while a failure to do so may result in continued consolidation or a decline towards the 52-week low of 1.71 EUR. Fundamentally, the companys growth will depend on its ability to expand its market share in the refurbished electronics sector, improve operational efficiencies, and ultimately achieve profitability. Investors should closely monitor Largo SASs financial performance, particularly its ability to turn around its negative RoE, and the overall trend in the technology distribution sub-industry.

Given the current data, a cautious outlook is warranted. While the long-term trend appears positive, the short-term indicators are bearish. Investors should weigh the potential for growth in the refurbished electronics market against the risks associated with the companys current lack of profitability and the stocks volatility.