Head-To-Head Comparison: American Resources (NASDAQ:AREC) versus Paringa Resources (OTCMKTS:PNGZF)

American Resources (NASDAQ:ARECGet Rating) and Paringa Resources (OTCMKTS:PNGZFGet Rating) are both basic materials companies, but which is the better investment? We will contrast the two companies based on the strength of their valuation, dividends, institutional ownership, risk, earnings, profitability and analyst recommendations.

Profitability

This table compares American Resources and Paringa Resources’ net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
American Resources -417.68% N/A -67.86%
Paringa Resources N/A N/A N/A

Valuation & Earnings

This table compares American Resources and Paringa Resources’ gross revenue, earnings per share (EPS) and valuation.

Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio
American Resources $7.76 million 19.40 -$32.50 million ($0.60) -3.82
Paringa Resources N/A N/A -$13.10 million N/A N/A

Paringa Resources has lower revenue, but higher earnings than American Resources.

Volatility and Risk

American Resources has a beta of -0.28, meaning that its stock price is 128% less volatile than the S&P 500. Comparatively, Paringa Resources has a beta of 4.42, meaning that its stock price is 342% more volatile than the S&P 500.

Institutional & Insider Ownership

8.3% of American Resources shares are owned by institutional investors. 27.9% of American Resources shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock is poised for long-term growth.

Analyst Recommendations

This is a breakdown of current recommendations for American Resources and Paringa Resources, as provided by MarketBeat.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
American Resources 0 0 1 0 3.00
Paringa Resources 0 0 0 0 N/A

American Resources currently has a consensus price target of $4.50, suggesting a potential upside of 96.51%. Given American Resources’ higher probable upside, analysts plainly believe American Resources is more favorable than Paringa Resources.

Summary

American Resources beats Paringa Resources on 5 of the 9 factors compared between the two stocks.

About American Resources (Get Rating)

American Resources Corp. engages in the extraction, processing, transportation, and distribution of metallurgical coal to the steel industry. It focuses on the operation of coal mining complexes located primarily within Pike, Knott, and Letcher Counties, Kentucky, and Wyoming County, West Virginia. The company was founded in 2006 and in headquartered in Fishers, IN.

About Paringa Resources (Get Rating)

Paringa Resources Limited focuses on exploring for gold and copper tenements in Australia. It holds 100% interest in exploration tenements in the Onslow gold project covering approximately 115 square kilometers located in the Western Australia. The company is based in Perth, Australia.

Receive News & Ratings for American Resources Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for American Resources and related companies with MarketBeat.com's FREE daily email newsletter.