Energy Fuels (NYSE:UUUU) and 5E Advanced Materials (NASDAQ:FEAM) Critical Comparison

Energy Fuels (NYSE:UUUU) and 5E Advanced Materials (NASDAQ:FEAM) are both small-cap basic materials companies, but which is the better stock? We will compare the two businesses based on the strength of their institutional ownership, risk, valuation, earnings, analyst recommendations, profitability and dividends.

Institutional & Insider Ownership

48.2% of Energy Fuels shares are owned by institutional investors. 1.9% of Energy Fuels shares are owned by company insiders. Comparatively, 9.1% of 5E Advanced Materials shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company will outperform the market over the long term.

Analyst Ratings

This is a summary of current ratings and target prices for Energy Fuels and 5E Advanced Materials, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Energy Fuels	0	2	2	0	2.50
5E Advanced Materials	0	1	2	0	2.67

Energy Fuels currently has a consensus price target of $8.50, indicating a potential upside of 16.60%. 5E Advanced Materials has a consensus price target of $4.58, indicating a potential upside of 929.96%. Given 5E Advanced Materials’ stronger consensus rating and higher probable upside, analysts clearly believe 5E Advanced Materials is more favorable than Energy Fuels.

Profitability

This table compares Energy Fuels and 5E Advanced Materials’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Energy Fuels	-90.40%	-9.16%	-8.67%
5E Advanced Materials	N/A	-243.25%	-49.58%

Valuation & Earnings

This table compares Energy Fuels and 5E Advanced Materials”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Energy Fuels	$37.93 million	37.32	$99.86 million	($0.22)	-33.14
5E Advanced Materials	N/A	N/A	-$62.01 million	($1.12)	-0.40

Energy Fuels has higher revenue and earnings than 5E Advanced Materials. Energy Fuels is trading at a lower price-to-earnings ratio than 5E Advanced Materials, indicating that it is currently the more affordable of the two stocks.

Risk and Volatility

Energy Fuels has a beta of 1.6, suggesting that its share price is 60% more volatile than the S&P 500. Comparatively, 5E Advanced Materials has a beta of 1.92, suggesting that its share price is 92% more volatile than the S&P 500.

About Energy Fuels

Energy Fuels Inc., together with its subsidiaries, engages in the extraction, recovery, recycling, exploration, permitting, evaluation, and sale of uranium mineral properties in the United States. The company produces and sells vanadium pentoxide, rare earth elements, and heavy mineral sands, such as ilmenite, rutile, zircon, and monazite. The company was formerly known as Volcanic Metals Exploration Inc. and changed its name to Energy Fuels Inc. in May 2006. Energy Fuels Inc. was incorporated in 1987 and is headquartered in Lakewood, Colorado.

About 5E Advanced Materials

5E Advanced Materials, Inc. engages in the exploration and development of mineral properties in Australia and the United States. The company primarily explores for borates and lithium deposits. It holds 100% interest in the Fort Cady project located in the Mojave Desert region in eastern San Bernardino County, California. The company was formerly known as American Pacific Borates Limited. The company was incorporated in 2016 and is based in Hesperia, California.