Snow Lake Resources (NASDAQ:LITM) vs. Alvopetro Energy (OTCMKTS:ALVOF) Critical Comparison

Alvopetro Energy (OTCMKTS:ALVOF) and Snow Lake Resources (NASDAQ:LITM) are both small-cap energy companies, but which is the superior business? We will compare the two companies based on the strength of their earnings, dividends, risk, institutional ownership, valuation, profitability and analyst recommendations.

Volatility and Risk

Alvopetro Energy has a beta of 0.05, indicating that its stock price is 95% less volatile than the S&P 500. Comparatively, Snow Lake Resources has a beta of 0.54, indicating that its stock price is 46% less volatile than the S&P 500.

Insider & Institutional Ownership

0.2% of Snow Lake Resources shares are owned by institutional investors. 13.4% of Snow Lake Resources shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company will outperform the market over the long term.

Profitability

This table compares Alvopetro Energy and Snow Lake Resources’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Alvopetro Energy	37.69%	22.24%	17.66%
Snow Lake Resources	N/A	N/A	N/A

Analyst Recommendations

This is a summary of recent ratings and price targets for Alvopetro Energy and Snow Lake Resources, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Alvopetro Energy	0	1	0	0	2.00
Snow Lake Resources	1	0	0	0	1.00

Valuation and Earnings

This table compares Alvopetro Energy and Snow Lake Resources”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Alvopetro Energy	$45.52 million	4.78	$16.30 million	$0.52	11.38
Snow Lake Resources	N/A	N/A	-$11.46 million	($3.90)	-0.78

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

Summary

Alvopetro Energy beats Snow Lake Resources on 8 of the 11 factors compared between the two stocks.

About Alvopetro Energy

Alvopetro Energy Ltd. operates as an independent upstream and midstream operator. It engages in the acquisition, exploration, development, and production of hydrocarbons. The company holds interests in the Caburé and Murucututu natural gas assets, Block 182 and 183 exploration assets, and Bom Lugar and Mãe-da-lua oil fields, which covers an area of approximately 22,166 acres in the Recôncavo basin onshore Brazil. Alvopetro Energy Ltd. was incorporated in 2013 and is headquartered in Calgary, Canada.

About Snow Lake Resources

Snow Lake Resources Ltd., a natural resource exploration company, engages in the exploration and development of mineral resources in Canada. The company explores for lithium mineral resources. Its flagship property is the Thomson Brothers and Grass River lithium projects located to Crowduck Bay Fault region. The company was incorporated in 2018 and is based in Winnipeg, Canada.