Analyzing Alpha Metallurgical Resources (NYSE:AMR) and Coeur Mining (NYSE:CDE)

Alpha Metallurgical Resources (NYSE:AMR) and Coeur Mining (NYSE:CDE) are both materials companies, but which is the superior business? We will contrast the two businesses based on the strength of their valuation, profitability, dividends, risk, institutional ownership, earnings and analyst recommendations.

Institutional & Insider Ownership

84.3% of Alpha Metallurgical Resources shares are held by institutional investors. Comparatively, 63.0% of Coeur Mining shares are held by institutional investors. 18.2% of Alpha Metallurgical Resources shares are held by company insiders. Comparatively, 0.9% of Coeur Mining shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company will outperform the market over the long term.

Analyst Ratings

This is a breakdown of current ratings and target prices for Alpha Metallurgical Resources and Coeur Mining, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Alpha Metallurgical Resources	2	5	0	0	1.71
Coeur Mining	0	4	9	1	2.79

Alpha Metallurgical Resources currently has a consensus price target of $176.00, suggesting a potential upside of 3.52%. Coeur Mining has a consensus price target of $25.50, suggesting a potential upside of 45.14%. Given Coeur Mining’s stronger consensus rating and higher probable upside, analysts clearly believe Coeur Mining is more favorable than Alpha Metallurgical Resources.

Earnings and Valuation

This table compares Alpha Metallurgical Resources and Coeur Mining”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Alpha Metallurgical Resources	$2.13 billion	1.01	-$61.69 million	($3.58)	-47.49
Coeur Mining	$2.07 billion	8.72	$585.87 million	$1.17	15.02

Coeur Mining has lower revenue, but higher earnings than Alpha Metallurgical Resources. Alpha Metallurgical Resources is trading at a lower price-to-earnings ratio than Coeur Mining, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares Alpha Metallurgical Resources and Coeur Mining’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Alpha Metallurgical Resources	-2.23%	-2.99%	-2.01%
Coeur Mining	26.82%	11.03%	7.57%

Risk & Volatility

Alpha Metallurgical Resources has a beta of 0.85, indicating that its stock price is 15% less volatile than the S&P 500. Comparatively, Coeur Mining has a beta of 1.37, indicating that its stock price is 37% more volatile than the S&P 500.

Summary

Coeur Mining beats Alpha Metallurgical Resources on 12 of the 15 factors compared between the two stocks.

About Alpha Metallurgical Resources

Alpha Metallurgical Resources, Inc., a mining company, produces, processes, and sells met and thermal coal in Virginia and West Virginia. The company offers metallurgical coal products. It operates twenty-two active mines and nine coal preparation and load-out facilities. The company was formerly known as Contura Energy, Inc. and changed its name to Alpha Metallurgical Resources, Inc. in February 2021. Alpha Metallurgical Resources, Inc. was incorporated in 2016 and is headquartered in Bristol, Tennessee.

About Coeur Mining

Coeur Mining, Inc. explores for precious metals in the United States, Canada, and Mexico. The company primarily explores for gold, silver, zinc, and lead properties. It markets and sells its concentrates to third-party customers, smelters, under off-take agreements. The company was formerly known as Coeur d'Alene Mines Corporation and changed its name to Coeur Mining, Inc. in May 2013. Coeur Mining, Inc. was incorporated in 1928 and is headquartered in Chicago, Illinois.