i-80 Gold (NYSE:IAUX – Get Free Report) and First Majestic Silver (NYSE:AG – Get Free Report) are both small-cap basic materials companies, but which is the better investment? We will contrast the two companies based on the strength of their profitability, dividends, institutional ownership, earnings, risk, analyst recommendations and valuation.
Profitability
This table compares i-80 Gold and First Majestic Silver’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% |
First Majestic Silver | -14.89% | -4.19% | -2.89% |
Institutional & Insider Ownership
61.3% of i-80 Gold shares are owned by institutional investors. Comparatively, 27.2% of First Majestic Silver shares are owned by institutional investors. 0.9% of First Majestic Silver 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.
Analyst Recommendations
Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
i-80 Gold | 0 | 4 | 0 | 0 | 2.00 |
First Majestic Silver | 0 | 1 | 1 | 0 | 2.50 |
i-80 Gold currently has a consensus target price of $3.50, suggesting a potential upside of 496.46%. First Majestic Silver has a consensus target price of $7.50, suggesting a potential upside of 29.53%. Given i-80 Gold’s higher probable upside, equities analysts clearly believe i-80 Gold is more favorable than First Majestic Silver.
Risk and Volatility
i-80 Gold has a beta of 1.17, suggesting that its share price is 17% more volatile than the S&P 500. Comparatively, First Majestic Silver has a beta of 1.25, suggesting that its share price is 25% more volatile than the S&P 500.
Earnings & Valuation
This table compares i-80 Gold and First Majestic Silver”s 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 | 3.33 | -$65.20 million | ($0.36) | -1.63 |
First Majestic Silver | $527.97 million | 3.31 | -$135.11 million | ($0.27) | -21.44 |
i-80 Gold has higher earnings, but lower revenue than First Majestic Silver. First Majestic Silver is trading at a lower price-to-earnings ratio than i-80 Gold, indicating that it is currently the more affordable of the two stocks.
Summary
First Majestic Silver beats i-80 Gold on 9 of the 14 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 First Majestic Silver
First Majestic Silver Corp. engages in the acquisition, exploration, development, and production of mineral properties with a focus on silver and gold production in North America. Its projects include the San Dimas mine covering an area of approximately 71,867 hectares located in Durango State, Mexico; the Santa Elena that covers an area of approximately 102,244 hectares located in Sonora State, México; and the La Encantada covering an area of approximately 4,076 hectares located in Coahuila State, México. The company was formerly known as First Majestic Resource Corp. and changed its name to First Majestic Silver Corp. in November 2006. First Majestic Silver Corp. was incorporated in 1979 and is headquartered in Vancouver, Canada.
Receive News & Ratings for i-80 Gold Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for i-80 Gold and related companies with MarketBeat.com's FREE daily email newsletter.