IGO Limited

ASX:IGO Stock Report

Market Cap: AU$3.6b

IGO Valuation

Is IGO undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

4/6

Valuation Score 4/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Sales vs Peers

  • Price-To-Sales vs Industry

  • Price-To-Sales vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of IGO when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: IGO (A$4.76) is trading below our estimate of fair value (A$8.81)

Significantly Below Fair Value: IGO is trading below fair value by more than 20%.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for IGO?

Key metric: As IGO is barely profitable we use its Price-To-Sales Ratio for relative valuation analysis.

The above table shows the Price to Sales ratio for IGO. This is calculated by dividing IGO's market cap by their current revenue.
What is IGO's PS Ratio?
PS Ratio4.3x
SalesAU$841.30m
Market CapAU$3.60b

Price to Sales Ratio vs Peers

How does IGO's PS Ratio compare to its peers?

The above table shows the PS ratio for IGO vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PSEstimated GrowthMarket Cap
Peer Average4.4x
ILU Iluka Resources
1.8x11.9%AU$2.2b
MIN Mineral Resources
1.3x6.4%AU$6.7b
LYC Lynas Rare Earths
13.1x32.2%AU$6.1b
NIC Nickel Industries
1.2x16.9%AU$3.6b
IGO IGO
4.3x-54.7%AU$3.6b

Price-To-Sales vs Peers: IGO is good value based on its Price-To-Sales Ratio (4.3x) compared to the peer average (4.4x).

Price to Sales Ratio vs Industry

How does IGO's PS Ratio compare vs other companies in the AU Metals and Mining Industry?

123 CompaniesPrice / SalesEstimated GrowthMarket Cap
Industry Avg.60.6x3.3%
IGO IGO
 4.3x-54.7%US$2.25b
BHP BHP Group
2.3x-3.1%US$126.12b
FMG Fortescue
1.9x-5.5%US$35.51b
IGO 4.3xIndustry Avg. 60.6xNo. of Companies123PS020406080100+
123 CompaniesEstimated GrowthMarket Cap
Industry Avg.60.6x10.6%
IGO IGO
 4.3x41.0%US$2.25b
No more companies

Price-To-Sales vs Industry: IGO is good value based on its Price-To-Sales Ratio (4.3x) compared to the Australian Metals and Mining industry average (60.6x).

Price to Sales Ratio vs Fair Ratio

What is IGO's PS Ratio compared to its Fair PS Ratio? This is the expected PS Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

IGO PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio4.3x
Fair PS Ratio0.3x

Price-To-Sales vs Fair Ratio: IGO is expensive based on its Price-To-Sales Ratio (4.3x) compared to the estimated Fair Price-To-Sales Ratio (0.3x).

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst IGO forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentAU$4.76
AU$5.80
+21.8%
19.9%AU$8.28AU$4.00n/a16
Dec ’25AU$4.85
AU$5.86
+20.7%
19.1%AU$8.28AU$4.00n/a16
Nov ’25AU$5.31
AU$5.86
+10.3%
19.1%AU$8.28AU$4.00n/a16
Oct ’25AU$5.75
AU$6.13
+6.6%
19.1%AU$8.50AU$4.60n/a16
Sep ’25AU$5.55
AU$6.19
+11.6%
19.0%AU$8.50AU$4.55n/a16
Aug ’25AU$5.58
AU$6.33
+13.5%
18.6%AU$8.50AU$4.60n/a16
Jul ’25AU$5.85
AU$7.29
+24.6%
18.1%AU$9.00AU$5.05n/a15
Jun ’25AU$6.99
AU$7.79
+11.5%
14.5%AU$9.82AU$6.00n/a15
May ’25AU$7.80
AU$7.79
-0.1%
14.5%AU$9.82AU$6.00n/a15
Apr ’25AU$7.07
AU$7.89
+11.6%
16.4%AU$10.50AU$5.50n/a15
Mar ’25AU$8.30
AU$8.04
-3.1%
14.3%AU$10.50AU$6.00n/a15
Feb ’25AU$7.24
AU$8.34
+15.2%
14.8%AU$10.50AU$6.00n/a15
Jan ’25AU$9.05
AU$10.23
+13.0%
18.9%AU$14.50AU$7.00n/a15
Dec ’24AU$8.34
AU$11.46
+37.4%
20.0%AU$16.00AU$8.00AU$4.8515
Nov ’24AU$9.36
AU$12.74
+36.1%
21.0%AU$19.33AU$9.25AU$5.3115
Oct ’24AU$12.66
AU$14.76
+16.6%
13.3%AU$19.33AU$11.60AU$5.7515
Sep ’24AU$13.84
AU$15.08
+8.9%
11.7%AU$19.33AU$12.80AU$5.5515
Aug ’24AU$14.24
AU$15.43
+8.3%
11.5%AU$19.33AU$13.25AU$5.5814
Jul ’24AU$15.20
AU$16.28
+7.1%
11.1%AU$19.33AU$13.90AU$5.8514
Jun ’24AU$13.75
AU$15.81
+15.0%
16.0%AU$20.00AU$10.50AU$6.9914
May ’24AU$13.58
AU$15.71
+15.7%
15.9%AU$20.00AU$10.50AU$7.8015
Apr ’24AU$12.77
AU$15.90
+24.5%
14.5%AU$19.00AU$10.20AU$7.0714
Mar ’24AU$13.57
AU$16.26
+19.8%
13.8%AU$20.00AU$11.30AU$8.3015
Feb ’24AU$14.71
AU$15.89
+8.0%
16.6%AU$20.00AU$10.10AU$7.2416
Jan ’24AU$13.46
AU$16.20
+20.4%
16.3%AU$21.00AU$10.10AU$9.0516
Dec ’23AU$16.01
AU$16.16
+0.9%
16.3%AU$21.00AU$10.50AU$8.3415

Analyst Forecast: Target price is more than 20% higher than the current share price, but analysts are not within a statistically confident range of agreement.

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Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2024/12/30 00:14
End of Day Share Price 2024/12/30 00:00
Earnings2024/06/30
Annual Earnings2024/06/30

Data Sources

The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.

PackageDataTimeframeExample US Source *
Company Financials10 years
  • Income statement
  • Cash flow statement
  • Balance sheet
Analyst Consensus Estimates+3 years
  • Forecast financials
  • Analyst price targets
Market Prices30 years
  • Stock prices
  • Dividends, Splits and Actions
Ownership10 years
  • Top shareholders
  • Insider trading
Management10 years
  • Leadership team
  • Board of directors
Key Developments10 years
  • Company announcements

* example for US securities, for non-US equivalent regulatory forms and sources are used.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.

Analysis Model and Snowflake

Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.

Learn about the world class team who designed and built the Simply Wall St analysis model.

Industry and Sector Metrics

Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on .

Analyst Sources

IGO Limited is covered by 33 analysts. 14 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
Russell WrightBarclay Pearce Capital Pty Limited
Daniel MorganBarrenjoey Markets Pty Limited
Mollie UrquhartBarrenjoey Markets Pty Limited