Energy Fuels (NYSE:UUUU) versus Knife River (NYSE:KNF) Critical Analysis

Energy Fuels (NYSE:UUUU) and Knife River (NYSE:KNF) are both basic materials companies, but which is the superior investment? We will compare the two businesses based on the strength of their profitability, earnings, institutional ownership, valuation, risk, analyst recommendations and dividends.

Profitability

This table compares Energy Fuels and Knife River’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Energy Fuels	-27.23%	-6.56%	-6.24%
Knife River	6.88%	15.73%	7.55%

Insider & Institutional Ownership

48.2% of Energy Fuels shares are owned by institutional investors. Comparatively, 80.1% of Knife River shares are owned by institutional investors. 1.9% of Energy Fuels shares are owned by insiders. Comparatively, 0.6% of Knife River shares are owned by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock is poised for long-term growth.

Valuation & Earnings

This table compares Energy Fuels and Knife River”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Energy Fuels	$37.93 million	31.59	$99.86 million	($0.08)	-77.13
Knife River	$2.83 billion	1.87	$182.87 million	$3.47	26.93

Knife River has higher revenue and earnings than Energy Fuels. Energy Fuels is trading at a lower price-to-earnings ratio than Knife River, indicating that it is currently the more affordable of the two stocks.

Analyst Ratings

This is a summary of current recommendations and price targets for Energy Fuels and Knife River, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Energy Fuels	0	2	2	0	2.50
Knife River	0	1	5	0	2.83

Energy Fuels currently has a consensus target price of $8.58, suggesting a potential upside of 39.11%. Knife River has a consensus target price of $86.60, suggesting a potential downside of 7.33%. Given Energy Fuels’ higher probable upside, research analysts plainly believe Energy Fuels is more favorable than Knife River.

Risk & Volatility

Energy Fuels has a beta of 1.61, suggesting that its share price is 61% more volatile than the S&P 500. Comparatively, Knife River has a beta of 0.82, suggesting that its share price is 18% less volatile than the S&P 500.

Summary

Knife River beats Energy Fuels on 10 of the 14 factors compared between the two stocks.

About Energy Fuels

Energy Fuels Inc., together with its subsidiaries, engages in the extraction, recovery, recycling, exploration, permitting, evaluation, and sale of uranium mineral properties in the United States. The company produces and sells vanadium pentoxide, rare earth elements, and heavy mineral sands, such as ilmenite, rutile, zircon, and monazite. The company was formerly known as Volcanic Metals Exploration Inc. and changed its name to Energy Fuels Inc. in May 2006. Energy Fuels Inc. was incorporated in 1987 and is headquartered in Lakewood, Colorado.

About Knife River

Knife River Corporation, together with its subsidiaries, provides aggregates- led construction materials and contracting services in the United States. It operates through Pacific, Northwest, Mountain, Central, and Energy Services segments. The company mines, processes, and sells construction aggregates, including crushed stone and sand, and gravel; and produces and sells asphalt and ready-mix concrete. It also provides contracting service, such as heavy-civil construction, asphalt and concrete paving, and site development and grading. In addition, the company sells cement, merchandise, and other building materials and related services. The company sells its construction materials to public and private-sector customers, including federal, state, and municipal governments, as well as industrial, commercial and residential developers, and other private parties; and provides its contracting services to public-sector customers for the development and servicing of highways, local roads, bridges, and other public-infrastructure projects. Knife River Corporation was founded in 1917 and is based in Bismarck, North Dakota.