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Contrasting Snow Lake Resources (NASDAQ:LITM) & Nouveau Monde Graphite (NYSE:NMG)

Financial News Live ·  Jan 19, 2023 02:41

Snow Lake Resources (NASDAQ:LITM – Get Rating) and Nouveau Monde Graphite (NYSE:NMG – Get Rating) are both small-cap oils/energy companies, but which is the superior stock? We will contrast the two businesses based on the strength of their dividends, institutional ownership, earnings, valuation, profitability, analyst recommendations and risk.

Insider & Institutional Ownership

8.2% of Snow Lake Resources shares are owned by institutional investors. Comparatively, 8.0% of Nouveau Monde Graphite shares are owned by institutional investors. 13.4% of Snow Lake Resources shares are owned by company insiders. Comparatively, 22.7% of Nouveau Monde Graphite shares are owned by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock is poised for long-term growth.

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Analyst Recommendations

This is a summary of current ratings and target prices for Snow Lake Resources and Nouveau Monde Graphite, as reported by MarketBeat.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Snow Lake Resources 0 0 0 0 N/A
Nouveau Monde Graphite 0 0 1 0 3.00
Nouveau Monde Graphite has a consensus price target of $7.00, suggesting a potential upside of 39.44%. Given Nouveau Monde Graphite's higher possible upside, analysts clearly believe Nouveau Monde Graphite is more favorable than Snow Lake Resources.

Volatility & Risk

Snow Lake Resources has a beta of 3.17, meaning that its stock price is 217% more volatile than the S&P 500. Comparatively, Nouveau Monde Graphite has a beta of 0.59, meaning that its stock price is 41% less volatile than the S&P 500.

Valuation & Earnings

This table compares Snow Lake Resources and Nouveau Monde Graphite's top-line revenue, earnings per share (EPS) and valuation.

Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio
Snow Lake Resources N/A N/A -$7.46 million N/A N/A
Nouveau Monde Graphite N/A N/A -$31.83 million ($0.81) -6.20

Profitability

This table compares Snow Lake Resources and Nouveau Monde Graphite's net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Snow Lake Resources N/A N/A N/A
Nouveau Monde Graphite N/A -59.47% -48.38%

Summary

Snow Lake Resources beats Nouveau Monde Graphite on 5 of the 8 factors compared between the two stocks.

About Snow Lake Resources

(Get Rating)

Snow Lake Resources Ltd., a natural resource exploration company, engages in the exploration and development of mineral resources in Canada. The company explores for lithium mineral resources. It holds interest in the Thompson Brothers Lithium property covering an area of 55,318 acres; and a 100% interest in Snow Lake Lithium property comprising 122 mineral claims covering an area of 22,386.30 hectares located in north central Manitoba. The company was incorporated in 2018 and is based in Winnipeg, Canada.

About Nouveau Monde Graphite

(Get Rating)

Nouveau Monde Graphite Inc. engages in the acquisition, exploration, development, and evaluation of mineral properties in Canada. It primarily explores for graphite. The company's flagship project is the Matawinie property that includes 392 mining claims covering an area of 21,750 hectares situated to the north of Montreal, Quebec. It also engages in the real estate and trading businesses. The company was formerly known as Nouveau Monde Mining Enterprises Inc. and changed its name to Nouveau Monde Graphite Inc. in February 2017. Nouveau Monde Graphite Inc. was founded in 2011 and is headquartered in Saint-Michel-des-Saints, Canada.

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