Analyzing Western Copper & Gold (NYSE:WRN) and American Lithium (OTCMKTS:LIACF)

Western Copper & Gold (NYSE:WRN) and American Lithium (OTCMKTS:LIACF) are both small-cap basic materials companies, but which is the superior stock? We will compare the two companies based on the strength of their earnings, valuation, analyst recommendations, risk, dividends, institutional ownership and profitability.

Volatility and Risk

Western Copper & Gold has a beta of 1.84, indicating that its stock price is 84% more volatile than the S&P 500. Comparatively, American Lithium has a beta of 1.48, indicating that its stock price is 48% more volatile than the S&P 500.

Insider and Institutional Ownership

22.0% of Western Copper & Gold shares are held by institutional investors. Comparatively, 0.0% of American Lithium shares are held by institutional investors. 4.6% of Western Copper & Gold shares are held by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock will outperform the market over the long term.

Valuation & Earnings

This table compares Western Copper & Gold and American Lithium”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Western Copper & Gold	N/A	N/A	-$2.47 million	($0.03)	-35.67
American Lithium	N/A	N/A	-$18.80 million	($0.11)	-7.12

Western Copper & Gold is trading at a lower price-to-earnings ratio than American Lithium, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares Western Copper & Gold and American Lithium’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Western Copper & Gold	N/A	-3.95%	-3.83%
American Lithium	N/A	-16.28%	-15.96%

Analyst Ratings

This is a summary of current ratings and recommmendations for Western Copper & Gold and American Lithium, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Western Copper & Gold	0	0	1	1	3.50
American Lithium	0	0	0	0	N/A

Western Copper & Gold currently has a consensus price target of $4.25, suggesting a potential upside of 297.20%. Given Western Copper & Gold’s higher probable upside, equities research analysts plainly believe Western Copper & Gold is more favorable than American Lithium.

Summary

Western Copper & Gold beats American Lithium on 10 of the 11 factors compared between the two stocks.

About Western Copper & Gold

Western Copper and Gold Corporation, an exploration stage company, engages in the exploration and development of mineral properties in Canada. The company explores for gold, copper, silver, and molybdenum deposits. Its principal property is the Casino mineral property that comprise 1,136 full and partial quartz claims, and 55 placer claims located in Yukon, Canada. The company was formerly known as Western Copper Corporation and changed its name to Western Copper and Gold Corporation in October 2011. Western Copper and Gold Corporation was incorporated in 2006 and is headquartered in Vancouver, Canada.

About American Lithium

American Lithium Corp., an exploration stage company, engages in the identification, acquisition, exploration, and development of resource properties in the United States. It principally focuses on the TLC Claystones project covering an area of approximately 5,052 hectares 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 headquartered in Vancouver, Canada.