American Lithium (NASDAQ:AMLI) versus Avalon Advanced Materials (OTCMKTS:AVLNF) Head-To-Head Analysis

Avalon Advanced Materials (OTCMKTS:AVLNF) and American Lithium (NASDAQ:AMLI) are both small-cap basic materials companies, but which is the better business? We will compare the two businesses based on the strength of their institutional ownership, analyst recommendations, valuation, profitability, risk, dividends and earnings.

Profitability

This table compares Avalon Advanced Materials and American Lithium’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Avalon Advanced Materials	1,728.81%	-2.34%	-2.25%
American Lithium	N/A	-21.89%	-21.50%

Analyst Ratings

This is a breakdown of current ratings for Avalon Advanced Materials and American Lithium, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Avalon Advanced Materials	0	0	0	0	N/A
American Lithium	0	0	0	0	N/A

Institutional and Insider Ownership

7.7% of American Lithium shares are held by institutional investors. 2.4% of Avalon Advanced Materials shares are held 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.

Risk and Volatility

Avalon Advanced Materials has a beta of 0.76, meaning that its share price is 24% less volatile than the S&P 500. Comparatively, American Lithium has a beta of 1.53, meaning that its share price is 53% more volatile than the S&P 500.

Earnings & Valuation

This table compares Avalon Advanced Materials and American Lithium’s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Avalon Advanced Materials	$90,000.00	313.94	-$2.46 million	$0.01	5.01
American Lithium	N/A	N/A	-$27.17 million	($0.16)	-4.56

Avalon Advanced Materials has higher revenue and earnings than American Lithium. American Lithium is trading at a lower price-to-earnings ratio than Avalon Advanced Materials, indicating that it is currently the more affordable of the two stocks.

Summary

Avalon Advanced Materials beats American Lithium on 8 of the 10 factors compared between the two stocks.

About Avalon Advanced Materials

Avalon Advanced Materials Inc., together with its subsidiaries, engages in the acquisition, exploration, evaluation, and development of rare metal and mineral properties primarily in Canada. The company focuses on exploring lithium, tantalum, cesium, indium, gallium, germanium, tin, yttrium, and zirconium deposits, as well as rare earth elements. Its flagship project is the 100% owned Separation Rapids Lithium Project consisting of nineteen mineral claims and one mining lease covering an area of approximately 4,414 hectares located in the Paterson Lake Area, Kenora Mining Division, Ontario. The company was formerly known as Avalon Rare Metals Inc. and changed its name to Avalon Advanced Materials Inc. in February 2016. Avalon Advanced Materials Inc. is headquartered in Toronto, Canada.

About American Lithium

American Lithium Corp., an exploration and development stage company, engages in the acquisition, exploration, and development of resource properties in the United States. It principally focuses on the TLC Lithium Project located in the town of Tonopah, Nevada; and the Falchani Lithium project and the Macusani Uranium project located in Puno, Peru. The company was formerly known as Menika Mining Ltd. and changed its name to American Lithium Corp. in April 2016. American Lithium Corp. was incorporated in 1974 and is based in Vancouver, Canada.