Reviewing Electra Battery Materials (NASDAQ:ELBM) & Enovix (NASDAQ:ENVX)

Enovix (NASDAQ:ENVX) and Electra Battery Materials (NASDAQ:ELBM) are both small-cap oils/energy companies, but which is the superior business? We will contrast the two companies based on the strength of their analyst recommendations, risk, earnings, dividends, institutional ownership, valuation and profitability.

Earnings and Valuation

This table compares Enovix and Electra Battery Materials’ gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Enovix	$7.64 million	147.77	-$214.07 million	($1.53)	-4.38
Electra Battery Materials	N/A	N/A	$9.65 million	($0.38)	-1.14

Electra Battery Materials has lower revenue, but higher earnings than Enovix. Enovix is trading at a lower price-to-earnings ratio than Electra Battery Materials, indicating that it is currently the more affordable of the two stocks.

Volatility and Risk

Enovix has a beta of 1.62, indicating that its share price is 62% more volatile than the S&P 500. Comparatively, Electra Battery Materials has a beta of 2.69, indicating that its share price is 169% more volatile than the S&P 500.

Analyst Ratings

This is a summary of recent recommendations for Enovix and Electra Battery Materials, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Enovix	0	1	5	0	2.83
Electra Battery Materials	0	0	2	0	3.00

Enovix presently has a consensus target price of $28.29, suggesting a potential upside of 322.17%. Electra Battery Materials has a consensus target price of $1.93, suggesting a potential upside of 342.53%. Given Electra Battery Materials’ stronger consensus rating and higher possible upside, analysts clearly believe Electra Battery Materials is more favorable than Enovix.

Profitability

This table compares Enovix and Electra Battery Materials’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Enovix	-2,800.51%	-77.74%	-41.01%
Electra Battery Materials	N/A	-7.87%	-4.79%

Insider and Institutional Ownership

50.9% of Enovix shares are held by institutional investors. Comparatively, 32.9% of Electra Battery Materials shares are held by institutional investors. 17.3% of Enovix shares are held by insiders. Comparatively, 22.7% of Electra Battery Materials shares are held by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company will outperform the market over the long term.

Summary

Electra Battery Materials beats Enovix on 10 of the 13 factors compared between the two stocks.

About Enovix

Enovix Corporation designs, develops, and manufactures lithium-ion batteries. It serves wearables and IoT, smartphone, laptops and tablets, industrial and medical, and electric vehicles industries. The company was founded in 2007 and is headquartered in Fremont, California.

About Electra Battery Materials

Electra Battery Materials Corporation engages in the acquisition and exploration of resource properties in the United States and Canada. It primarily explores for cobalt and silver deposits. The company's flagship project is the Iron Creek cobalt-copper project located in Lemhi County, Idaho. It also operates a cobalt refinery for producing battery materials for the electric vehicle supply chain. The company was formerly known as First Cobalt Corp. and changed its name to Electra Battery Materials Corporation in December 2021. Electra Battery Materials Corporation was incorporated in 2011 and is headquartered in Toronto, Canada.