Reviewing Electra Battery Materials (NASDAQ:ELBM) & Electrovaya (NASDAQ:ELVA)

Electrovaya (NASDAQ:ELVA) and Electra Battery Materials (NASDAQ:ELBM) are both small-cap computer and technology companies, but which is the superior stock? We will compare the two businesses based on the strength of their analyst recommendations, risk, profitability, dividends, earnings, valuation and institutional ownership.

Risk & Volatility

Electrovaya has a beta of 1.94, indicating that its share price is 94% more volatile than the S&P 500. Comparatively, Electra Battery Materials has a beta of 2.46, indicating that its share price is 146% more volatile than the S&P 500.

Institutional & Insider Ownership

22.5% of Electrovaya shares are held by institutional investors. Comparatively, 32.9% of Electra Battery Materials shares are held by institutional investors. 22.7% of Electra Battery Materials shares are held by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock is poised for long-term growth.

Profitability

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

	Net Margins	Return on Equity	Return on Assets
Electrovaya	-3.88%	-15.42%	-4.24%
Electra Battery Materials	N/A	-39.33%	-19.52%

Analyst Ratings

This is a summary of recent ratings and target prices for Electrovaya and Electra Battery Materials, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Electrovaya	0	0	4	1	3.20
Electra Battery Materials	0	0	1	1	3.50

Electrovaya presently has a consensus target price of $6.10, indicating a potential upside of 141.11%. Electra Battery Materials has a consensus target price of $2.40, indicating a potential upside of 137.62%. Given Electrovaya’s higher possible upside, equities analysts plainly believe Electrovaya is more favorable than Electra Battery Materials.

Earnings & Valuation

This table compares Electrovaya and Electra Battery Materials”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Electrovaya	$43.67 million	2.32	-$1.49 million	($0.04)	-63.25
Electra Battery Materials	N/A	N/A	-$47.90 million	($3.56)	-0.28

Electrovaya has higher revenue and earnings than Electra Battery Materials. Electrovaya 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.

Summary

Electrovaya beats Electra Battery Materials on 7 of the 13 factors compared between the two stocks.

About Electrovaya

Electrovaya Inc. engages in the design, development, manufacture, and sale of lithium-ion batteries, battery management systems, and battery-related products for energy storage, clean electric transportation, and other specialized applications in North America. It offers lithium-ion batteries and systems for materials handling electric vehicles, including forklifts and automated guided vehicles, as well as battery chargers to charge the batteries; electromotive power products for electric trucks, electric buses, and other transportation applications; industrial products for energy storage; and power solutions, such as competencies in building systems for third parties. The company was formerly known as Electrofuel Inc. and changed its name to Electrovaya Inc. in March 2002. Electrovaya Inc. was incorporated in 1996 and is headquartered in Mississauga, Canada.

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.