Analyzing Lithium Americas (Argentina) (LAAC) & Its Rivals

Lithium Americas (Argentina) (NYSE:LAAC) is one of 89 publicly-traded companies in the “Metal mining” industry, but how does it contrast to its competitors? We will compare Lithium Americas (Argentina) to similar companies based on the strength of its profitability, institutional ownership, valuation, earnings, risk, analyst recommendations and dividends.

Earnings & Valuation

This table compares Lithium Americas (Argentina) and its competitors gross revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Lithium Americas (Argentina)	N/A	-$93.57 million	25.87
Lithium Americas (Argentina) Competitors	$7.61 billion	$1.66 billion	3.27

Lithium Americas (Argentina)’s competitors have higher revenue and earnings than Lithium Americas (Argentina). Lithium Americas (Argentina) is trading at a higher price-to-earnings ratio than its competitors, indicating that it is currently more expensive than other companies in its industry.

Analyst Recommendations

This is a summary of current recommendations for Lithium Americas (Argentina) and its competitors, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Lithium Americas (Argentina)	0	2	3	0	2.60
Lithium Americas (Argentina) Competitors	1007	2116	2583	83	2.30

Lithium Americas (Argentina) presently has a consensus target price of $12.20, indicating a potential upside of 99.35%. As a group, “Metal mining” companies have a potential upside of 57.24%. Given Lithium Americas (Argentina)’s stronger consensus rating and higher possible upside, equities research analysts plainly believe Lithium Americas (Argentina) is more favorable than its competitors.

Profitability

This table compares Lithium Americas (Argentina) and its competitors’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Lithium Americas (Argentina)	N/A	-0.05%	-0.04%
Lithium Americas (Argentina) Competitors	-361.16%	-3.43%	-4.17%

Insider & Institutional Ownership

27.3% of Lithium Americas (Argentina) shares are owned by institutional investors. Comparatively, 20.1% of shares of all “Metal mining” companies are owned by institutional investors. 19.8% of Lithium Americas (Argentina) shares are owned by insiders. Comparatively, 12.9% of shares of all “Metal mining” companies are owned by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock is poised for long-term growth.

Risk and Volatility

Lithium Americas (Argentina) has a beta of 1.46, indicating that its stock price is 46% more volatile than the S&P 500. Comparatively, Lithium Americas (Argentina)’s competitors have a beta of 0.41, indicating that their average stock price is 59% less volatile than the S&P 500.

Summary

Lithium Americas (Argentina) beats its competitors on 10 of the 13 factors compared.

About Lithium Americas (Argentina)

Lithium Americas (Argentina) Corp. operates as a resource company. The company explores for lithium deposits. It owns interests in the Cauchari-Olaroz project located in Jujuy province of Argentina; and Pastos Grandes project located in the Salta province of Argentina. Lithium Americas (Argentina) Corp. is headquartered in Vancouver, Canada.