Head-To-Head Survey: Paladin Energy (OTCMKTS:PALAF) and Alpha Metallurgical Resources (NYSE:AMR)

Alpha Metallurgical Resources (NYSE:AMR) and Paladin Energy (OTCMKTS:PALAF) are both mid-cap basic materials companies, but which is the superior stock? We will contrast the two companies based on the strength of their valuation, analyst recommendations, earnings, institutional ownership, profitability, risk and dividends.

Analyst Ratings

This is a breakdown of recent ratings and price targets for Alpha Metallurgical Resources and Paladin Energy, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Alpha Metallurgical Resources	2	3	0	0	1.60
Paladin Energy	0	3	0	0	2.00

Alpha Metallurgical Resources presently has a consensus target price of $204.00, indicating a potential upside of 15.81%. Paladin Energy has a consensus target price of $9.05, indicating a potential downside of 3.83%. Given Alpha Metallurgical Resources’ higher possible upside, research analysts plainly believe Alpha Metallurgical Resources is more favorable than Paladin Energy.

Earnings and Valuation

This table compares Alpha Metallurgical Resources and Paladin Energy”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Alpha Metallurgical Resources	$2.96 billion	0.77	$187.58 million	($3.56)	-49.48
Paladin Energy	$177.68 million	23.80	-$44.64 million	($0.11)	-85.55

Alpha Metallurgical Resources has higher revenue and earnings than Paladin Energy. Paladin Energy is trading at a lower price-to-earnings ratio than Alpha Metallurgical Resources, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares Alpha Metallurgical Resources and Paladin Energy’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Alpha Metallurgical Resources	-2.09%	-2.88%	-1.95%
Paladin Energy	-16.42%	-4.89%	-3.48%

Institutional & Insider Ownership

84.3% of Alpha Metallurgical Resources shares are owned by institutional investors. Comparatively, 0.0% of Paladin Energy shares are owned by institutional investors. 16.0% of Alpha Metallurgical Resources shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company is poised for long-term growth.

Risk & Volatility

Alpha Metallurgical Resources has a beta of 0.78, indicating that its stock price is 22% less volatile than the S&P 500. Comparatively, Paladin Energy has a beta of 1.36, indicating that its stock price is 36% more volatile than the S&P 500.

Summary

Alpha Metallurgical Resources beats Paladin Energy on 9 of the 13 factors compared between the two stocks.

About Alpha Metallurgical Resources

Alpha Metallurgical Resources, Inc., a mining company, produces, processes, and sells met and thermal coal in Virginia and West Virginia. The company offers metallurgical coal products. It operates twenty-two active mines and nine coal preparation and load-out facilities. The company was formerly known as Contura Energy, Inc. and changed its name to Alpha Metallurgical Resources, Inc. in February 2021. Alpha Metallurgical Resources, Inc. was incorporated in 2016 and is headquartered in Bristol, Tennessee.

About Paladin Energy

Paladin Energy Ltd develops, explores for, owns, and operates uranium mines in Australia, Canada, and Africa. The company operates through Exploration, Namibia, and Australia segments. Its flagship project is the Langer Heinrich mine located in the Namib Desert in Namibia. The company was formerly known as Paladin Resources Ltd and changed its name to Paladin Energy Limited in November 2007. Paladin Energy Ltd was incorporated in 1993 and is headquartered in Perth, Australia.