Critical Comparison: Minco Capital (OTCMKTS:MGHCF) & Dakota Gold (NYSE:DC)

Minco Capital (OTCMKTS:MGHCF) and Dakota Gold (NYSE:DC) are both small-cap basic materials companies, but which is the better business? We will contrast the two companies based on the strength of their dividends, valuation, analyst recommendations, institutional ownership, risk, profitability and earnings.

Volatility and Risk

Minco Capital has a beta of 1.24, meaning that its share price is 24% more volatile than the S&P 500. Comparatively, Dakota Gold has a beta of 0.95, meaning that its share price is 5% less volatile than the S&P 500.

Profitability

This table compares Minco Capital and Dakota Gold’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Minco Capital	N/A	-3.84%	-3.70%
Dakota Gold	N/A	-37.64%	-35.60%

Analyst Ratings

This is a summary of current ratings for Minco Capital and Dakota Gold, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Minco Capital	0	0	0	0	0.00
Dakota Gold	0	0	1	0	3.00

Dakota Gold has a consensus price target of $7.50, indicating a potential upside of 185.17%. Given Dakota Gold’s stronger consensus rating and higher possible upside, analysts plainly believe Dakota Gold is more favorable than Minco Capital.

Earnings & Valuation

This table compares Minco Capital and Dakota Gold”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Minco Capital	N/A	N/A	-$1.04 million	N/A	N/A
Dakota Gold	N/A	N/A	-$36.45 million	($0.37)	-7.11

Institutional & Insider Ownership

37.4% of Dakota Gold shares are owned by institutional investors. 26.0% of Dakota Gold shares are owned by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock is poised for long-term growth.

Summary

Dakota Gold beats Minco Capital on 5 of the 9 factors compared between the two stocks.

About Minco Capital

Minco Capital Corp., an investment company, focuses on investing in public and private companies and assets to generate income and achieve long-term capital appreciation. The company was formerly known as Minco Gold Corporation and changed its name to Minco Capital Corp. in February 2019. Minco Capital Corp. was incorporated in 1982 and is headquartered in Vancouver, Canada.

About Dakota Gold

Dakota Gold Corp. engages in the acquisition, exploration, and development of mineral properties in the United States. It primarily explores for gold deposits. The company holds 100% interest in the Blind Gold, City Creek, Tinton, West Corridor, Ragged Top, Poorman Anticline, Maitland, South Lead/ Whistler Gulch, the Barrick Option, Richmond Hill and Homestake Paleoplacer Properties located in Homestake Mining District, South Dakota. Dakota Gold Corp. was incorporated in 2017 and is based in Lead, South Dakota.