MP Materials (NYSE:MP) versus Canadian Zeolite (OTCMKTS:IZCFF) Critical Survey

MP Materials (NYSE:MP) and Canadian Zeolite (OTCMKTS:IZCFF) are both basic materials companies, but which is the superior business? We will contrast the two companies based on the strength of their dividends, analyst recommendations, risk, valuation, institutional ownership, earnings and profitability.

Profitability

This table compares MP Materials and Canadian Zeolite’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
MP Materials	-28.00%	-2.27%	-1.13%
Canadian Zeolite	N/A	N/A	N/A

Risk and Volatility

MP Materials has a beta of 1.86, meaning that its stock price is 86% more volatile than the S&P 500. Comparatively, Canadian Zeolite has a beta of 0.45, meaning that its stock price is 55% less volatile than the S&P 500.

Insider & Institutional Ownership

52.6% of MP Materials shares are held by institutional investors. 8.2% of MP Materials shares are held by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company will outperform the market over the long term.

Analyst Recommendations

This is a breakdown of recent ratings for MP Materials and Canadian Zeolite, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
MP Materials	1	0	15	3	3.05
Canadian Zeolite	0	0	0	0	0.00

MP Materials currently has a consensus price target of $80.14, suggesting a potential upside of 37.54%. Given MP Materials’ stronger consensus rating and higher probable upside, research analysts plainly believe MP Materials is more favorable than Canadian Zeolite.

Earnings & Valuation

This table compares MP Materials and Canadian Zeolite”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
MP Materials	$224.44 million	46.22	-$85.87 million	($0.42)	-138.74
Canadian Zeolite	$450,000.00	N/A	-$370,000.00	($0.01)	N/A

Canadian Zeolite has lower revenue, but higher earnings than MP Materials. MP Materials is trading at a lower price-to-earnings ratio than Canadian Zeolite, indicating that it is currently the more affordable of the two stocks.

Summary

MP Materials beats Canadian Zeolite on 8 of the 13 factors compared between the two stocks.

About MP Materials

MP Materials Corp., together with its subsidiaries, produces rare earth materials. The company owns and operates the Mountain Pass Rare Earth mine and processing facility in North America. It holds the mineral rights to the Mountain Pass mine and surrounding areas, as well as intellectual property rights related to the processing and development of rare earth minerals. The company was founded in 2017 and is headquartered in Las Vegas, Nevada.

About Canadian Zeolite

International Zeolite Corp. explores for and develops mineral properties in Canada. It operates through two segments, Exploration and Development, and Retail and Commercial. The company markets and supplies natural zeolite and zeolite-infused products for agriculture, industrial, and home use; and develops, markets, and sells industrial commercial products from the production of its properties, as well as supplies raw materials from third party suppliers. It also has interests in the Bromley Creek zeolite project, which consists of one mineral lease and four mineral claims covering approximately 1,134.75 hectares located near Princeton, British Columbia; and the Sun Group zeolite project covering approximately 527.167 hectares located in British Columbia. The company was formerly known as Canadian Zeolite Corp. and changed its name to International Zeolite Corp. in March 2018. International Zeolite Corp. was incorporated in 1987 and is headquartered in Vancouver, Canada.