i-80 Gold (NYSE:IAUX – Get Free Report) and Gold Resource (NYSE:GORO – Get Free Report) are both small-cap basic materials companies, but which is the superior business? We will compare the two businesses based on the strength of their valuation, earnings, dividends, risk, profitability, analyst recommendations and institutional ownership.
Profitability
This table compares i-80 Gold and Gold Resource’s net margins, return on equity and return on assets.
Net Margins | Return on Equity | Return on Assets | |
i-80 Gold | -231.43% | -21.18% | -12.67% |
Gold Resource | -61.31% | -35.25% | -16.15% |
Institutional and Insider Ownership
61.3% of i-80 Gold shares are held by institutional investors. Comparatively, 18.4% of Gold Resource shares are held by institutional investors. 2.5% of Gold Resource shares are held by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock is poised for long-term growth.
Analyst Ratings
Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
i-80 Gold | 0 | 2 | 0 | 1 | 2.67 |
Gold Resource | 0 | 0 | 1 | 0 | 3.00 |
i-80 Gold presently has a consensus target price of $3.50, indicating a potential upside of 418.60%. Gold Resource has a consensus target price of $1.25, indicating a potential upside of 128.85%. Given i-80 Gold’s higher probable upside, analysts plainly believe i-80 Gold is more favorable than Gold Resource.
Volatility & Risk
i-80 Gold has a beta of 1.13, meaning that its stock price is 13% more volatile than the S&P 500. Comparatively, Gold Resource has a beta of 1.39, meaning that its stock price is 39% more volatile than the S&P 500.
Valuation and Earnings
This table compares i-80 Gold and Gold Resource”s top-line revenue, earnings per share and valuation.
Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
i-80 Gold | $52.94 million | 5.64 | -$65.20 million | ($0.36) | -1.87 |
Gold Resource | $73.90 million | 0.70 | -$16.02 million | ($0.49) | -1.11 |
Gold Resource has higher revenue and earnings than i-80 Gold. i-80 Gold is trading at a lower price-to-earnings ratio than Gold Resource, indicating that it is currently the more affordable of the two stocks.
Summary
Gold Resource beats i-80 Gold on 8 of the 15 factors compared between the two stocks.
About i-80 Gold
i-80 Gold Corp. is a mining company, engages in the exploration, development and production of gold and silver mineral deposits principally in the United States. i-80 Gold Corp. is based in Reno, Nevada.
About Gold Resource
Gold Resource Corporation engages in the exploration, development, and production of gold and silver projects in Mexico and the United States. The company also explores for copper, lead, and zinc deposits. Its principal assets are the 100% owned Don David gold mine and Back Forty project covering approximately 1,304 hectares located in Menominee county, Michigan. The company was incorporated in 1998 and is headquartered in Denver, Colorado.
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