Lithium Americas (Argentina) (NYSE:LAR) & Avalon Rare Metals (OTCMKTS:AVLNF) Financial Comparison

Avalon Rare Metals (OTCMKTS:AVLNF) and Lithium Americas (Argentina) (NYSE:LAR) are both basic materials companies, but which is the superior investment? We will contrast the two companies based on the strength of their dividends, analyst recommendations, earnings, institutional ownership, valuation, profitability and risk.

Insider & Institutional Ownership

49.2% of Lithium Americas (Argentina) shares are held by institutional investors. 2.4% of Avalon Rare Metals shares are held by company insiders. Comparatively, 19.8% of Lithium Americas (Argentina) shares are held by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock will outperform the market over the long term.

Profitability

This table compares Avalon Rare Metals and Lithium Americas (Argentina)’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Avalon Rare Metals	-5,445.83%	-4.27%	-3.94%
Lithium Americas (Argentina)	N/A	-2.15%	-1.67%

Analyst Recommendations

This is a breakdown of current recommendations for Avalon Rare Metals and Lithium Americas (Argentina), as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Avalon Rare Metals	0	0	0	0	0.00
Lithium Americas (Argentina)	1	2	4	2	2.78

Lithium Americas (Argentina) has a consensus price target of $7.44, suggesting a potential upside of 7.23%. Given Lithium Americas (Argentina)’s stronger consensus rating and higher possible upside, analysts clearly believe Lithium Americas (Argentina) is more favorable than Avalon Rare Metals.

Earnings & Valuation

This table compares Avalon Rare Metals and Lithium Americas (Argentina)”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Avalon Rare Metals	$40,000.00	1,079.07	-$3.72 million	N/A	N/A
Lithium Americas (Argentina)	N/A	N/A	-$15.23 million	($0.50)	-13.88

Avalon Rare Metals has higher revenue and earnings than Lithium Americas (Argentina).

Summary

Lithium Americas (Argentina) beats Avalon Rare Metals on 9 of the 11 factors compared between the two stocks.

About Avalon Rare Metals

Avalon Advanced Materials Inc., together with its subsidiaries, engages in the acquisition, exploration, evaluation, and development of rare metal and mineral properties primarily in Canada. The company focuses on exploring lithium, tantalum, cesium, indium, gallium, germanium, tin, yttrium, and zirconium deposits, as well as rare earth elements. Its flagship project is the 100% owned Separation Rapids Lithium Project consisting of nineteen mineral claims and one mining lease covering an area of approximately 4,414 hectares located in the Paterson Lake Area, Kenora Mining Division, Ontario. The company was formerly known as Avalon Rare Metals Inc. and changed its name to Avalon Advanced Materials Inc. in February 2016. Avalon Advanced Materials Inc. is headquartered in Toronto, Canada.

About Lithium Americas (Argentina)

Lithium Argentina AG, a resource and materials company, focuses on advancing lithium projects in Argentina. The company owns interests in the Cauchari-Olaroz project located in Jujuy province; and the Pastos Grandes project located in Salta Province of Argentina. The company was formerly known as Lithium Americas (Argentina) Corp. and changed its name to Lithium Argentina AG in January 2025. Lithium Argentina AG was incorporated in 2007 is headquartered in Zug, Switzerland.