Analyzing Electra Battery Materials (NASDAQ:ELBM) and NOVONIX (OTCMKTS:NVNXF)

Electra Battery Materials (NASDAQ:ELBM) and NOVONIX (OTCMKTS:NVNXF) are both small-cap basic materials companies, but which is the superior stock? We will compare the two companies based on the strength of their valuation, profitability, dividends, analyst recommendations, institutional ownership, earnings and risk.

Earnings and Valuation

This table compares Electra Battery Materials and NOVONIX”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Electra Battery Materials	N/A	N/A	-$47.90 million	($3.56)	-0.50
NOVONIX	$8.06 million	20.72	-$46.25 million	N/A	N/A

NOVONIX has higher revenue and earnings than Electra Battery Materials.

Insider & Institutional Ownership

32.9% of Electra Battery Materials shares are held by institutional investors. 22.7% of Electra Battery Materials shares are held by insiders. Comparatively, 6.6% of NOVONIX shares are held by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company is poised for long-term growth.

Profitability

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

	Net Margins	Return on Equity	Return on Assets
Electra Battery Materials	N/A	-39.33%	-19.52%
NOVONIX	N/A	N/A	N/A

Risk and Volatility

Electra Battery Materials has a beta of 2.58, meaning that its share price is 158% more volatile than the S&P 500. Comparatively, NOVONIX has a beta of 2.48, meaning that its share price is 148% more volatile than the S&P 500.

Analyst Ratings

This is a summary of current ratings for Electra Battery Materials and NOVONIX, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Electra Battery Materials	0	0	1	1	3.50
NOVONIX	0	0	0	0	0.00

Electra Battery Materials presently has a consensus price target of $5.20, indicating a potential upside of 193.45%. Given Electra Battery Materials’ stronger consensus rating and higher probable upside, equities analysts plainly believe Electra Battery Materials is more favorable than NOVONIX.

Summary

Electra Battery Materials beats NOVONIX on 7 of the 11 factors compared between the two stocks.

About Electra Battery Materials

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.

About NOVONIX

NOVONIX Limited provides battery materials and development technology for battery manufacturers, materials companies, automotive original equipment manufacturers (OEMs), and consumer electronics manufacturers in North America, Asia, Australia, and Europe. It operates through Battery Materials and Battery Technology segments. The Battery Materials segment develops and manufactures battery anode materials. The Battery Technology segment develops battery cell testing equipment, performs consulting services, and carries out research and development in battery development. The company is involved in the investment and real estate borrowing activities; and offers battery technology, battery testing hardware equipment, and battery testing and development consulting services. The company was formerly known as Graphitecorp Limited and changed its name to NOVONIX Limited in July 2017. NOVONIX Limited was incorporated in 2012 and is based in Brisbane, Australia.