Loop Industries, Inc. (LOOP): fair value, margin of safety and Wheel Score

Is LOOP undervalued?

Loop Industries, Inc. (LOOP) closed at 0.3722 on 16 Oct 2026. None of the nine GLS valuation models produced a positive value for the stock - the company lost money over the last twelve months, EPS -0.25, it pays no dividend and its debts exceed what its assets would fetch - so there is no GLS average fair value and no margin of safety to report. The quality, option and event numbers below still apply; the Quote page's Wall Street View shows what analysts expect instead.

The nightly engine files LOOP under Speculative / Distressed - negative earnings or a Piotroski score of 3 or less - which caps its Wheel Score at 45 and keeps it out of the Sunday Scan.

Nine valuation models for LOOP

Each model turns the latest filed numbers into a value per share; the GLS fair value is the simple average of the ones that produce a positive number. The last two rows are shown for reference and never enter the average. The Quote page lets you switch any model off and add your own margin of safety.

Quality and financial health

Financial health is weak: LOOP passes 2 of the nine Piotroski tests. Our screens drop the stock at the health rule; a low score is often the reason a stock looks cheap on the valuation models. The GLS Moat score is low at 0.0 out of 10, which says the ten-year record of revenue, earnings, margins and returns on capital has been inconsistent - growth and shocks rather than steady compounding.

Returns on capital are high - ROIC 187.9%, ROE 128.4%, ROA -143.7% - with debt at -0.32 times equity and negative free cash flow.

Loop Industries, Inc. pays no dividend, so the DDM model does not apply and a covered-call holder earns only the premium and any price gain. Revenue comes mainly from Service 100% (quarter Q1 FY2027).

Institutional ownership scores 1/10, insider activity 10/10 and Congressional trading 5/10 on the GLS smart-money scales.

Wheel Score 29: Weak

LOOP scores 29 out of 100 on the Wheel Score, in the Weak band (under 50). Value 13/25, Health 4/20, Moat 0/15, Premium 5/20, Stability 7/20. The score is not a judgement on the company; it says the price, quality and premium do not line up for selling puts on it today.

Implied volatility is 332%, far above the range the wheel strategy is built for. The premium looks generous; the Wheel Score gives it only 5 of 20 Premium points because moves of that size can blow through any strike. Chain open interest is thin - 524 contracts across every expiry - so fills at a fair price are not guaranteed; a 30-45-day put may not exist at a usable strike.

Volume runs at 232k shares a day on a market cap of $18M, with a beta of 1.46 - a high beta, so the stock tends to move more than the market and a strike can be gapped through; the Stability part of the Wheel Score gives that 7 of 20.

The Wheel Score ranks ~7,400 US stocks for selling cash-secured puts and covered calls; it is updated nightly and is not a recommendation. The walkthrough lesson shows how the score fits into a trade, start to finish.

Upcoming events

Loop Industries, Inc. reports earnings on 21 Oct 2026 (after the close) - inside the 14-day window the Sunday Scan avoids, because a put sold now would carry the report's gap risk.

Earnings, dividend, IPO, split and economic calendars for the whole market, filterable to your watchlists.

Similar stocks in Chemicals - Specialty

The 12 companies below are the closest to Loop Industries, Inc. by market cap within the Chemicals - Specialty industry, each with its own fact sheet; the Compare page puts up to eight of them side by side.

⚖ Compare LOOP with 7 of them   All Basic Materials stocks →