Critical Review: Santa Fe Gold (OTCMKTS:SFEG) versus Atlas Lithium (NASDAQ:ATLX)

Santa Fe Gold (OTCMKTS:SFEG) and Atlas Lithium (NASDAQ:ATLX) are both basic materials companies, but which is the superior business? We will compare the two businesses based on the strength of their analyst recommendations, dividends, risk, institutional ownership, profitability, valuation and earnings.

Analyst Recommendations

This is a breakdown of current recommendations and price targets for Santa Fe Gold and Atlas Lithium, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Santa Fe Gold	0	0	0	0	0.00
Atlas Lithium	1	0	1	0	2.00

Atlas Lithium has a consensus price target of $12.00, indicating a potential upside of 142.42%. Given Atlas Lithium’s stronger consensus rating and higher possible upside, analysts clearly believe Atlas Lithium is more favorable than Santa Fe Gold.

Profitability

This table compares Santa Fe Gold and Atlas Lithium’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Santa Fe Gold	N/A	N/A	N/A
Atlas Lithium	-9,881.20%	-120.64%	-51.32%

Institutional and Insider Ownership

18.4% of Atlas Lithium shares are owned by institutional investors. 3.7% of Santa Fe Gold shares are owned by insiders. Comparatively, 33.6% of Atlas Lithium shares are owned by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company is poised for long-term growth.

Valuation and Earnings

This table compares Santa Fe Gold and Atlas Lithium”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Santa Fe Gold	N/A	N/A	N/A	N/A	N/A
Atlas Lithium	$670,000.00	177.68	-$42.24 million	($1.93)	-2.56

Santa Fe Gold has higher earnings, but lower revenue than Atlas Lithium.

Summary

Atlas Lithium beats Santa Fe Gold on 6 of the 9 factors compared between the two stocks.

About Santa Fe Gold

Santa Fe Gold Corporation, a mining company, acquires, explores, develops, and produces mineral properties in the United States. The company primarily explores for precious metals, gold, and silver deposits. The company was founded in 1991 and is based in Albuquerque, New Mexico.

About Atlas Lithium

Atlas Lithium Corporation operates as a mineral exploration and development company in Brazil. It operates the Minas Gerais lithium project that consists of 54 mineral rights covering an area of 59,275 acres located within the Brazilian Eastern Pegmatitic Province; and Northeastern Brazil lithium project, which consists of 7 mineral rights covering an area of 16,266 acres in the States of Paraíba and Rio Grande do Norte in northeastern Brazil. The company also owns 100% interests in various mining concessions for gold, diamond, and industrial sand; and early-stage projects and properties in other minerals, such as nickel, copper, rare earths, graphite, and titanium; as well as participates in iron and quartzite projects. The company was formerly known as Brazil Minerals, Inc. and changed its name to Atlas Lithium Corporation in October 2022. Atlas Lithium Corporation was founded in 2011 and is based in Belo Horizonte, Brazil.