Western Uranium (OTCMKTS:WSTRF) vs. Electra Battery Materials (NASDAQ:ELBM) Critical Review

Western Uranium (OTCMKTS:WSTRFGet Free Report) and Electra Battery Materials (NASDAQ:ELBMGet Free Report) are both small-cap basic materials companies, but which is the better business? We will contrast the two businesses based on the strength of their profitability, earnings, risk, dividends, analyst recommendations, institutional ownership and valuation.

Institutional and Insider Ownership

14.4% of Western Uranium shares are held by institutional investors. Comparatively, 32.9% of Electra Battery Materials shares are held by institutional investors. 17.7% of Western Uranium shares are held by company insiders. Comparatively, 22.7% of Electra Battery Materials shares are held by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company will outperform the market over the long term.

Volatility and Risk

Western Uranium has a beta of 1.02, suggesting that its share price is 2% more volatile than the S&P 500. Comparatively, Electra Battery Materials has a beta of 2.58, suggesting that its share price is 158% more volatile than the S&P 500.

Analyst Recommendations

This is a summary of recent ratings and recommmendations for Western Uranium and Electra Battery Materials, as provided by MarketBeat.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Western Uranium 0 0 0 0 0.00
Electra Battery Materials 1 0 1 0 2.00

Electra Battery Materials has a consensus target price of $2.10, suggesting a potential upside of 143.90%. Given Electra Battery Materials’ stronger consensus rating and higher possible upside, analysts plainly believe Electra Battery Materials is more favorable than Western Uranium.

Valuation and Earnings

This table compares Western Uranium and Electra Battery Materials”s top-line revenue, earnings per share (EPS) and valuation.

Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio
Western Uranium $180,000.00 251.48 -$10.11 million ($0.13) -4.85
Electra Battery Materials N/A N/A -$21.49 million ($1.27) -0.68

Western Uranium has higher revenue and earnings than Electra Battery Materials. Western Uranium is trading at a lower price-to-earnings ratio than Electra Battery Materials, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares Western Uranium and Electra Battery Materials’ net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Western Uranium -1,944.85% -29.80% -26.04%
Electra Battery Materials N/A -48.57% -17.70%

Summary

Electra Battery Materials beats Western Uranium on 9 of the 13 factors compared between the two stocks.

About Western Uranium

(Get Free Report)

Western Uranium & Vanadium Corp. engages in exploring, developing, mining, and production of uranium and vanadium resource properties in the United States. The company holds interests in the San Rafael uranium project located in Emery County, Utah; the Sunday Mine Complex situated in western San Miguel County, Colorado; the Van 4 mine located in western Montrose County, Colorado; the Sage mine project situated in San Juan County, Utah, and San Miguel County, Colorado; and the Dunn Project located in San Juan County, Utah. It also has interests in the Hansen, North Hansen, High Park, and Hansen Picnic Tree projects located in Fremont and Teller Counties, Colorado; the Keota uranium project situated in Weld County, Colorado; and the Ferris Haggerty project located in Carbon County, Wyoming. The company was formerly known as Western Uranium Corporation and changed its name to Western Uranium & Vanadium Corp. in October 2018. Western Uranium & Vanadium Corp. is headquartered in Toronto, Canada.

About Electra Battery Materials

(Get Free Report)

Electra Battery Materials Corporation engages in the acquisition and exploration of resource properties in the United States and Canada. It primarily explores for cobalt and silver deposits. The company's flagship project is the Iron Creek cobalt-copper project located in Lemhi County, Idaho. It also operates a cobalt refinery for producing battery materials for the electric vehicle supply chain. The company was formerly known as First Cobalt Corp. and changed its name to Electra Battery Materials Corporation in December 2021. Electra Battery Materials Corporation was incorporated in 2011 and is headquartered in Toronto, Canada.

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