Atlas Lithium (NASDAQ:ATLX) and Deep Yellow (OTCMKTS:DYLLF) Financial Review

Atlas Lithium (NASDAQ:ATLX) and Deep Yellow (OTCMKTS:DYLLF) are both small-cap basic materials companies, but which is the better stock? We will contrast the two businesses based on the strength of their dividends, profitability, risk, analyst recommendations, valuation, earnings and institutional ownership.

Volatility and Risk

Atlas Lithium has a beta of -0.76, meaning that its share price is 176% less volatile than the S&P 500. Comparatively, Deep Yellow has a beta of 0.77, meaning that its share price is 23% less volatile than the S&P 500.

Analyst Ratings

This is a breakdown of current ratings for Atlas Lithium and Deep Yellow, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Atlas Lithium	1	1	1	0	2.00
Deep Yellow	0	1	0	0	2.00

Atlas Lithium currently has a consensus price target of $12.00, suggesting a potential upside of 155.86%. Deep Yellow has a consensus price target of $1.85, suggesting a potential upside of 5.11%. Given Atlas Lithium’s higher probable upside, analysts plainly believe Atlas Lithium is more favorable than Deep Yellow.

Earnings and Valuation

This table compares Atlas Lithium and Deep Yellow”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Atlas Lithium	$670,000.00	168.35	-$42.24 million	($1.93)	-2.43
Deep Yellow	$7.51 million	227.13	$4.64 million	N/A	N/A

Deep Yellow has higher revenue and earnings than Atlas Lithium.

Profitability

This table compares Atlas Lithium and Deep Yellow’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Atlas Lithium	-9,881.20%	-120.64%	-51.32%
Deep Yellow	N/A	N/A	N/A

Institutional and Insider Ownership

18.4% of Atlas Lithium shares are held by institutional investors. 37.3% of Atlas Lithium shares are held by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company will outperform the market over the long term.

Summary

Deep Yellow beats Atlas Lithium on 7 of the 11 factors compared between the two stocks.

About Atlas Lithium

Atlas Lithium Corporation operates as a mineral exploration and development company in Brazil. It operates the Minas Gerais lithium project that consists of 54 mineral rights covering an area of 59,275 acres located within the Brazilian Eastern Pegmatitic Province; and Northeastern Brazil lithium project, which consists of 7 mineral rights covering an area of 16,266 acres in the States of Paraíba and Rio Grande do Norte in northeastern Brazil. The company also owns 100% interests in various mining concessions for gold, diamond, and industrial sand; and early-stage projects and properties in other minerals, such as nickel, copper, rare earths, graphite, and titanium; as well as participates in iron and quartzite projects. The company was formerly known as Brazil Minerals, Inc. and changed its name to Atlas Lithium Corporation in October 2022. Atlas Lithium Corporation was founded in 2011 and is based in Belo Horizonte, Brazil.

About Deep Yellow

Deep Yellow Limited, together with its subsidiaries, operates as a uranium exploration company in Namibia. The company holds a 100% interest in the Reptile project, which covers an area of 896 square kilometers (km2); 65% interest in the Nova Joint Venture covering an area of 599 km2; and 85% interest in the Yellow Dune Joint Venture covering an area of 190 km2. It is involved in the iron ore exploration and property investment businesses. The company was incorporated in 1985 and is headquartered in Subiaco, Australia.