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IGO Ltd (IGO) Fair Value & Analysis

Basic Materials · AU · Market cap A$5.0B (≈ $3.6B) · ISIN AU000000IGO4

What is IGO Ltd really worth?

IL IGO Ltd IGO · AU
PriceA$8.30
Fair ValueA$1.94
Upside−76.6%
Quality49/100

Structural break: The valuation model sees a lasting decline in earnings power for this stock, the confidence band is broken. Treat the target with caution.

Below-average quality, and trading another 328% above our fair value of A$1.94.

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Strengths

Low debt · generates free cash flow

Risks

!Weak Growth (revenue 5y −1.9 %/yr)
!Loss-making · -47.2% net margin
!Trails peers (4/13)
!Narrow moat 12/100
!Evidence only low, so the estimate is less certain
Evidence: Low Range A$1.56 – A$2.34

Fair value as of: Sep 5, 2026

From 9 valuation models · updated today

Fair value updated Sep 5, 2026, revised from A$0.9700 to A$1.94 (+100.0%) since Aug 27, 2026. Share price +19.9% over the past month.

What runs behind every stock

69 individual criteria per stock, every one traceable See the method →

What matters now

  • The price sits above even our optimistic bull case (A$2.34). The favourable scenario is already priced in.
  • The large gap to fair value rests on thin data (low evidence): fewer applicable models and a shorter history. Read it with extra caution.
  • Solid but not exceptional quality (49/100) and above fair value, neither a clear bargain nor a standout compounder.

Price vs Fair Value (5 years)

A$15.12 A$3.12 Fair Value A$1.94 Jun 2021 Sep 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Sep 5, 2026.

How to read this chart

60‑month range A$3.12 – A$15.12 · fair‑value band A$1.56 – A$2.34 · the A$8.30 price screens above the A$1.94 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). 1 fiscal year is left out: there the valuation rested on only a fraction of the usual models. Dashed = 300-day average. As of Sep 5, 2026.

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Analysis

IGO Ltd (IGO) currently trades at A$8.30, while our model-based Fair Value estimate is A$1.94, implying the stock looks roughly 327.9% overvalued today. The Quality Score stands at 49/100 (below-average quality), in the Basic Materials sector. Bull case: the Dividend Discount group reads highest at a median of A$3.93 per share, and 0 of the 9 models we run sit above the A$8.30 price. Bear case: the Multiples group reads lowest at A$1.01, and 9 of the 9 models stay below the price. Evidence for this calculation is low.

Over the trailing twelve months, IGO Ltd generated revenue of A$438M at a net margin of −47.2%. Revenue declined 31.7% year over year. It earns a return on equity of −9.5%. The balance sheet holds a net cash position of A$248M. Fundamentals as of Sep 5, 2026

Our scenario range runs from A$1.56 (bear case) to A$2.34 (bull case); at A$8.30, the current price sits above that range. Bear and bull are the same models run on conservative and optimistic assumptions (margins, growth, valuation multiples), so a plausible valuation range, not a price target. The share trades about 17% below its 52-week high and 122% above its 52-week low, currently above its 200-day average. For context, the median of 10 Basic Materials peers we cover trades at −37% fair-value upside, at −77%, IGO screens richer than that median.

Fair Value models

Each model estimates fair value its own way; the Fair Value above is the evidence-weighted, family-balanced blend. Evidence (0–100) measures how completely this model’s inputs are available: well-fed models carry more weight in the blend. The spread across models is intentional, each one stresses a different value driver; dividend models, for instance, come out structurally low when payout is small. Every input is real reported data, nothing guessed.

Model Bear Bear = the cautious scenario: the same model computed with conservative anchors (lower growth, margins and valuation multiples). Together with Bull it frames a plausible valuation range, not a price target.BaseBull Bull = the optimistic scenario: the same model computed with favourable anchors (higher growth, margins and valuation multiples). Together with Bear it frames a plausible valuation range, not a price target. Evidence
Highest evidence
FCF DCF best evidence A$1.16 A$1.59 A$2.91 76
Growth DCF A$1.11 A$1.78 A$2.86 74
5Y Revenue Exit A$0.9500 A$1.36 A$2.20 69
All 9 models by family
DCF Models
FCF DCF best evidence A$1.16 A$1.59 A$2.91 76
5Y Revenue Exit A$0.9500 A$1.36 A$2.20 69
10Y Revenue Exit A$1.00 A$1.71 A$2.14 65
Dividend Discount
Gordon GGM A$2.28 A$4.55 A$6.89 64
DDM Multi-Stage A$2.28 A$3.93 A$4.80 65
Multiples
EV/Revenue A$0.8200 A$1.01 A$1.21 54
Asset-Based
NCAV (Graham) A$1.38 A$1.85 A$2.76 54
Growth DCF
Growth DCF A$1.11 A$1.78 A$2.86 74
Rev-Margin DCF A$1.01 A$1.50 A$2.52 69

Widest divergence: Dividend Discount (A$3.93) versus Multiples (A$1.01). Highest evidence: FCF DCF (76).

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Key figures & financial health

P/S ratio 11.5 TTM
EPS (TTM) A$−0.2700
Dividend yield 2.9%
Net margin −47.2% TTM
Return on equity −9.5% TTM
Return on assets (EBIT) −0.7% avg 5y
More key figures
Profitability
Operating margin −42.7% TTM
Growth
Revenue (TTM) A$438M TTM
Revenue growth (YoY) −31.7% 3y avg −14.5%
EPS growth (YoY) −52.9%
Balance sheet & cash flow
Free cash flow A$37.6M FY2025
Net cash A$248M FY2025

Figures from reported company fundamentals · as of Sep 5, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 49/100

Of which business quality 52 · Market factors (momentum, volatility) 64

Profitability 1
Margins and returns on capital today
Quality Growth 9
Are margins and returns improving?
Cashflow 55
Earnings quality: real cash, not paper profit
Fin. Strength 84
Balance sheet, leverage, solvency risk
Investment 100
Disciplined investing over empire-building
Low Volatility 51
Calm price path (market factor)
Momentum 60
Price trend over the last 3–12 months (market factor)
52W Momentum 85
Distance to the 52-week high (market factor)
Net Issuance 84
Buybacks instead of dilution

Non-valuation factor families (profitability, growth, cashflow, financial strength, momentum …), each academically grounded. Valuation itself sits in the Fair Value and is deliberately excluded here to avoid double-counting.

All values are scores from 0 to 100 (100 = best against fixed, research-based bands), not percentages. The three market factors (momentum, 52-week proximity, low volatility) are displayed but carry zero weight in the headline number: market sentiment is not a business property.

About the company

IGO Limited, together with its subsidiaries, discovers, develops, and delivers battery minerals in Australia. It operates through Nova Operation, Forrestania Operation, Cosmos Project, Lithium Business, and Growth segments. The company explores for nickel, lithium, copper, cobalt, and silver deposits.

Full company description

IGO Limited, together with its subsidiaries, discovers, develops, and delivers battery minerals in Australia. It operates through Nova Operation, Forrestania Operation, Cosmos Project, Lithium Business, and Growth segments. The company explores for nickel, lithium, copper, cobalt, and silver deposits. It is also involved in exploration, business development, and project evaluation activities, as well as sale of concentrates. The company was formerly known as Independence Group NL and changed its name to IGO Limited in January 2020. IGO Limited was incorporated in 2000 and is headquartered in Perth, Australia.

Company description, as reported by the company or data provider.

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

IGO Ltd reported revenue of A$528M in FY2025 versus A$620M in FY2021, a compound −3.9%/yr. Reported net income was −A$955M in FY2025.

Growth Quality 10/100
Revenue growth is weak, negative or inconsistent.
Latest Revenue (FY 2025)
A$528M
Latest YoY
−37.3%
Avg. revenue growth/yr (3Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
−14.5%
Avg. revenue growth/yr (5Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
−1.9%
Avg. revenue growth/yr (24Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+50.5%
Value creation/yr We only publish this rate when it is defensible. Reason: fiscal 2025 is a loss year, no rate is defined from a loss
not computed
Revenue −3.9%/yr
FY21 A$620M
FY22 A$845M
FY23 A$1.0B
FY24 A$841M
FY25 A$528M
Net income
FY21 A$164M
FY22 A$331M
FY23 A$549M
FY24 A$2.8M
FY25 −A$955M

IGO screens 328% overvalued. Compare with BHP Group →

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Cite: Fair Value Calculator (2026). "IGO Ltd Fair Value". https://www.fairvalue-calculator.com/stock/IGO

Peer Group

Other Industrial Metals & Mining · 469 stocks

How this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.

Quality Score 49 · Above median
Fair Value upside −77% · Bottom 25%
Return on assets −4% · Below median
Net margin (TTM) −47% · Bottom 25%
Operating margin (TTM) −43% · Bottom 25%
Revenue growth −32% · Bottom 25%
Dividend yield (TTM) 2.9% · Above median

Valuation Multiples vs Other Industrial Metals & Mining median · lower = cheaper

P/B 1.74× · Pricier than median
P/S (TTM) 8.30× · Pricier than median
P/FCF 96.6× · Pricier than 75% of peers
PEG 0.51× · Cheaper than median

Strength profile in five axes (Snowflake)

Five quick dimensions, each 0 to 100: VALUE (fair-value potential), FUTURE (revenue growth), PAST (return on equity), HEALTH (low debt), DIVIDEND (yield). Green = this stock, grey = typical sector peer.

VALUEFUTUREPASTHEALTHDIVIDEND
This stock
VALUEFUTUREPASTHEALTHDIVIDEND
Sector peers
VALUE0 · sector 0
FUTURE0 · sector 38
PAST0 · sector 0
HEALTH100 · sector 96
DIVIDEND58 · sector 38

VALUE 0: the price sits above our fair-value range.

Insider activity: 30/100

Values & ESG

Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.

None of the checked exposures detected

Similar stocks

10 more Other Industrial Metals & Mining stocks, each showing price versus our Fair Value estimate (as of Sep 5, 2026).

Stock Price Fair Value vs Fair Value
BHP Group BHP A$66.84 A$42.16 −37%
Vale S.A VALE $15.31 $8.95 −42%
Saudi Arabian Mining Company 1211 65.50 SAR 33.87 SAR −48%
CMOC Group 603993 ¥18.42 ¥16.15 −12%
Teck Resources Limited TECK $69.34 $32.02 −54%
Hindustan Zinc Limited HINDZINC ₹573.00 ₹508.34 −11%
China Tungsten And Hightech Materials Co 000657 ¥66.76 ¥9.55 −86%
China Northern Rare Earth (Group) High-Tech Co 600111 ¥41.02 ¥10.59 −74%
Western Mining Co 601168 ¥37.85 ¥25.99 −31%
Boliden AB BOL kr 527.80 kr 461.48 −13%

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Frequently asked questions

Is IGO Ltd (IGO) overvalued or undervalued?
As of Sep 5, 2026, our model estimates a fair value of A$1.94 versus a price of A$8.30, about −77% upside (overvalued).
What is the fair value of IGO?
Our model-based fair value for IGO Ltd is A$1.94 (as of Sep 5, 2026), built from audited fundamentals. The current price: A$8.30.
What is the quality score of IGO?
IGO Ltd has a Quality Score of 49/100. It measures business quality (profitability, growth, cash flow, balance-sheet strength, investment discipline, share issuance). Market factors such as price momentum and volatility do not enter the number; they are shown separately in the detail view.
What is the revenue of IGO Ltd (IGO)?
IGO Ltd reported trailing-twelve-month revenue of about A$438M (latest available figure, as of Sep 5, 2026).
What is the net profit margin of IGO?
The net profit margin of IGO Ltd is about −47.2%, meaning it is currently running at a net loss. Based on the latest reported figures.
Does IGO Ltd pay a dividend?
IGO Ltd currently shows a dividend yield of about 2.90% relative to its recent price (as of Sep 5, 2026).
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