Head-To-Head Analysis: Electra Battery Materials (NASDAQ:ELBM) & TMC the metals (NASDAQ:TMC)

Electra Battery Materials (NASDAQ:ELBM) and TMC the metals (NASDAQ:TMC) are both basic materials companies, but which is the better business? We will contrast the two businesses based on the strength of their analyst recommendations, earnings, risk, valuation, profitability, institutional ownership and dividends.

Valuation & Earnings

This table compares Electra Battery Materials and TMC the metals”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Electra Battery Materials	N/A	N/A	-$21.49 million	($1.23)	-1.04
TMC the metals	N/A	N/A	-$81.94 million	($0.37)	-19.11

TMC the metals 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.

Volatility & Risk

Electra Battery Materials has a beta of 2.53, indicating that its share price is 153% more volatile than the S&P 500. Comparatively, TMC the metals has a beta of 1.7, indicating that its share price is 70% more volatile than the S&P 500.

Profitability

This table compares Electra Battery Materials and TMC the metals’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Electra Battery Materials	N/A	-41.78%	-16.56%
TMC the metals	N/A	-1,240.46%	-90.71%

Analyst Recommendations

This is a summary of current ratings for Electra Battery Materials and TMC the metals, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Electra Battery Materials	1	0	1	0	2.00
TMC the metals	2	0	3	0	2.20

Electra Battery Materials currently has a consensus target price of $2.20, indicating a potential upside of 71.88%. TMC the metals has a consensus target price of $7.33, indicating a potential upside of 3.72%. Given Electra Battery Materials’ higher possible upside, equities analysts clearly believe Electra Battery Materials is more favorable than TMC the metals.

Insider & Institutional Ownership

32.9% of Electra Battery Materials shares are owned by institutional investors. Comparatively, 4.4% of TMC the metals shares are owned by institutional investors. 22.7% of Electra Battery Materials shares are owned by company insiders. Comparatively, 27.6% of TMC the metals shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock is poised for long-term growth.

Summary

Electra Battery Materials beats TMC the metals 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 TMC the metals

TMC the metals company Inc., a deep-sea minerals exploration company, focuses on the collection, processing, and refining of polymetallic nodules found on the seafloor in California. It primarily explores for nickel, cobalt, copper, and manganese products. The company holds exploration and commercial rights in three polymetallic nodule contract areas in the Clarion Clipperton Zone of the Pacific Ocean. Its products are used in electric vehicles (EV), renewable energy storage markets, EV wiring, energy transmission, manganese alloy production required for steel production, and other applications. The company was formerly known as Sustainable Opportunities Acquisition Corporation and changed its name to TMC the metals company Inc. TMC the metals company Inc. was founded in 2011 and is based in Vancouver, Canada.