Comparing American Lithium Minerals (OTCMKTS:AMLM) and MP Materials (NYSE:MP)

American Lithium Minerals (OTCMKTS:AMLM) and MP Materials (NYSE:MP) are both basic materials companies, but which is the superior business? We will contrast the two companies based on the strength of their earnings, risk, analyst recommendations, dividends, institutional ownership, valuation and profitability.

Profitability

This table compares American Lithium Minerals and MP Materials’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
American Lithium Minerals	N/A	N/A	N/A
MP Materials	-32.24%	-6.78%	-3.39%

Analyst Ratings

This is a breakdown of recent recommendations for American Lithium Minerals and MP Materials, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
American Lithium Minerals	0	0	0	0	0.00
MP Materials	0	4	6	0	2.60

MP Materials has a consensus target price of $22.10, indicating a potential upside of 2.32%. Given MP Materials’ stronger consensus rating and higher possible upside, analysts plainly believe MP Materials is more favorable than American Lithium Minerals.

Volatility and Risk

American Lithium Minerals has a beta of -1.16, indicating that its share price is 216% less volatile than the S&P 500. Comparatively, MP Materials has a beta of 2.31, indicating that its share price is 131% more volatile than the S&P 500.

Institutional and Insider Ownership

52.6% of MP Materials shares are owned by institutional investors. 12.6% of MP Materials shares are owned by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock is poised for long-term growth.

Earnings & Valuation

This table compares American Lithium Minerals and MP Materials”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
American Lithium Minerals	N/A	N/A	N/A	N/A	N/A
MP Materials	$253.45 million	13.91	$24.31 million	($0.54)	-40.00

MP Materials has higher revenue and earnings than American Lithium Minerals.

Summary

MP Materials beats American Lithium Minerals on 7 of the 10 factors compared between the two stocks.

About American Lithium Minerals

American Lithium Minerals, Inc., engages in mineral exploration for lithium and rare earth minerals in the United States. The company's properties include Stonewall Flat Lithium project that covers an area of approximately 1,250 acres on Stonewall Playa in Nevada's Lida Valley Basin; and Kingman Rare Earth project comprising two individual properties, which include Kingman Feldspar Mine and the Mineral X property. It also holds interest in Silver Peak Lithium, a claystone lithium prospect comprising 24 lode mining claims located in Esmeralda County; and West End Lithium property that comprises 24 lode mining claims located in Nye County, Nevada. The company was formerly known as Nugget Resources Inc. and changed its name to American Lithium Minerals, Inc. in March 2009. The company was incorporated in 2005 and is based in Las Vegas, Nevada..

About MP Materials

MP Materials Corp., together with its subsidiaries, produces rare earth materials. The company owns and operates the Mountain Pass Rare Earth mine and processing facility in North America. It holds the mineral rights to the Mountain Pass mine and surrounding areas, as well as intellectual property rights related to the processing and development of rare earth minerals. The company was founded in 2017 and is headquartered in Las Vegas, Nevada.