Reviewing Hycroft Mining (NASDAQ:HYMC) and Alpha Metallurgical Resources (NYSE:AMR)

Alpha Metallurgical Resources (NYSE:AMR) and Hycroft Mining (NASDAQ:HYMC) are both mid-cap basic materials companies, but which is the superior stock? We will compare the two businesses based on the strength of their analyst recommendations, dividends, valuation, institutional ownership, earnings, profitability and risk.

Volatility & Risk

Alpha Metallurgical Resources has a beta of 0.79, indicating that its stock price is 21% less volatile than the S&P 500. Comparatively, Hycroft Mining has a beta of 2.58, indicating that its stock price is 158% more volatile than the S&P 500.

Profitability

This table compares Alpha Metallurgical Resources and Hycroft Mining’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Alpha Metallurgical Resources	-2.90%	-3.88%	-2.63%
Hycroft Mining	N/A	-80.76%	-20.72%

Institutional and Insider Ownership

84.3% of Alpha Metallurgical Resources shares are held by institutional investors. Comparatively, 7.4% of Hycroft Mining shares are held by institutional investors. 16.0% of Alpha Metallurgical Resources shares are held by insiders. Comparatively, 1.3% of Hycroft Mining shares are held by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company will outperform the market over the long term.

Earnings and Valuation

This table compares Alpha Metallurgical Resources and Hycroft Mining”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Alpha Metallurgical Resources	$2.13 billion	1.16	-$61.69 million	($4.74)	-40.90
Hycroft Mining	N/A	N/A	-$40.66 million	($1.62)	-18.49

Hycroft Mining has lower revenue, but higher earnings than Alpha Metallurgical Resources. Alpha Metallurgical Resources is trading at a lower price-to-earnings ratio than Hycroft Mining, indicating that it is currently the more affordable of the two stocks.

Analyst Recommendations

This is a summary of recent recommendations and price targets for Alpha Metallurgical Resources and Hycroft Mining, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Alpha Metallurgical Resources	2	4	0	0	1.67
Hycroft Mining	1	0	0	0	1.00

Alpha Metallurgical Resources presently has a consensus target price of $196.00, suggesting a potential upside of 1.11%. Given Alpha Metallurgical Resources’ stronger consensus rating and higher possible upside, equities analysts plainly believe Alpha Metallurgical Resources is more favorable than Hycroft Mining.

Summary

Alpha Metallurgical Resources beats Hycroft Mining on 7 of the 12 factors compared between the two stocks.

About Alpha Metallurgical Resources

Alpha Metallurgical Resources, Inc., a mining company, produces, processes, and sells met and thermal coal in Virginia and West Virginia. The company offers metallurgical coal products. It operates twenty-two active mines and nine coal preparation and load-out facilities. The company was formerly known as Contura Energy, Inc. and changed its name to Alpha Metallurgical Resources, Inc. in February 2021. Alpha Metallurgical Resources, Inc. was incorporated in 2016 and is headquartered in Bristol, Tennessee.

About Hycroft Mining

Hycroft Mining Holding Corporation, together with its subsidiaries, operates as a gold and silver development company in the United States. The company holds interests in the Hycroft mine that consists of 30 private parcels with patented claims comprising approximately 1,787 acres, and 3,247 unpatented mining claims that encompass approximately 62,298 acres located in the state of Nevada. Hycroft Mining Holding Corporation is based in Winnemucca, Nevada.