Analyzing ArcelorMittal (NYSE:MT) & Lifezone Metals (NYSE:LZM)

ArcelorMittal (NYSE:MT – Get Free Report) and Lifezone Metals (NYSE:LZM – Get Free Report) are both materials companies, but which is the better investment? We will contrast the two businesses based on the strength of their valuation, risk, institutional ownership, dividends, earnings, analyst recommendations and profitability.

Earnings and Valuation

This table compares ArcelorMittal and Lifezone Metals”s top-line revenue, earnings per share and valuation.

Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio
ArcelorMittal $61.35 billion 0.81 $3.15 billion $2.36 27.14
Lifezone Metals $1.06 million 270.47 -$13.63 million ($4.67) -0.73

ArcelorMittal has higher revenue and earnings than Lifezone Metals. Lifezone Metals is trading at a lower price-to-earnings ratio than ArcelorMittal, indicating that it is currently the more affordable of the two stocks.

Volatility & Risk

ArcelorMittal has a beta of 1.54, indicating that its share price is 54% more volatile than the S&P 500. Comparatively, Lifezone Metals has a beta of 1.35, indicating that its share price is 35% more volatile than the S&P 500.

Analyst Recommendations

This is a breakdown of recent recommendations and price targets for ArcelorMittal and Lifezone Metals, as provided by MarketBeat.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
ArcelorMittal 0 5 6 0 2.55
Lifezone Metals 1 1 1 0 2.00

ArcelorMittal presently has a consensus price target of $74.55, suggesting a potential upside of 16.39%. Lifezone Metals has a consensus price target of $7.00, suggesting a potential upside of 105.58%. Given Lifezone Metals’ higher probable upside, analysts plainly believe Lifezone Metals is more favorable than ArcelorMittal.

Profitability

This table compares ArcelorMittal and Lifezone Metals’ net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
ArcelorMittal 2.88% 4.20% 2.42%
Lifezone Metals N/A N/A N/A

Insider and Institutional Ownership

9.3% of ArcelorMittal shares are held by institutional investors. 0.1% of ArcelorMittal shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock will outperform the market over the long term.

Summary

ArcelorMittal beats Lifezone Metals on 12 of the 14 factors compared between the two stocks.

About ArcelorMittal

(Get Free Report)

ArcelorMittal S.A., together with its subsidiaries, operates as integrated steel and mining companies in the United States, Europe, and internationally. It offers semi-finished flat products, including slabs; finished flat products comprising plates, hot- and cold-rolled coils and sheets, hot-dipped and electro-galvanized coils and sheets, tinplate, and color coated coils and sheets; semi-finished long products, such as blooms and billets; finished long products consisting of bars, wire-rods, structural sections, rails, sheet piles, and wire-products; and seamless and welded pipes and tubes. The company also provides mining products, such as iron ore lumps, fines, concentrates, pellets, and sinter feeds; and coking coal. It sells its products to various customers in the automotive, appliance, engineering, construction, energy, and machinery industries through a centralized marketing organization, as well as distributors. The company has iron ore mining activities in Brazil, Bosnia, Canada, Liberia, Mexico, South Africa, and Ukraine. ArcelorMittal S.A. was founded in 1976 and is headquartered in Luxembourg City, Luxembourg.

About Lifezone Metals

(Get Free Report)

Lifezone Metals Limited engages in the extraction and refining of metals. It supplies lower-carbon and sulfur dioxide emission metals to the battery storage, EV, and hydrogen markets. The company’s products include nickel, copper, and cobalt. Its flagship project is the Kabanga nickel project in North-West Tanzania. The company is based in Ramsey, Isle of Man.

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