Contrasting First Quantum Minerals (OTCMKTS:FQVLF) and Coeur Mining (NYSE:CDE)

First Quantum Minerals (OTCMKTS:FQVLF) and Coeur Mining (NYSE:CDE) are both basic materials companies, but which is the superior investment? We will contrast the two companies based on the strength of their risk, dividends, earnings, profitability, valuation, institutional ownership and analyst recommendations.

Analyst Recommendations

This is a breakdown of current ratings and recommmendations for First Quantum Minerals and Coeur Mining, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
First Quantum Minerals	0	5	3	2	2.70
Coeur Mining	0	0	6	3	3.33

Coeur Mining has a consensus price target of $9.2143, suggesting a potential downside of 6.88%. Given Coeur Mining’s stronger consensus rating and higher possible upside, analysts clearly believe Coeur Mining is more favorable than First Quantum Minerals.

Volatility & Risk

First Quantum Minerals has a beta of 1.38, suggesting that its share price is 38% more volatile than the S&P 500. Comparatively, Coeur Mining has a beta of 1.16, suggesting that its share price is 16% more volatile than the S&P 500.

Insider & Institutional Ownership

63.0% of Coeur Mining shares are owned by institutional investors. 1.5% of Coeur Mining shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company will outperform the market over the long term.

Profitability

This table compares First Quantum Minerals and Coeur Mining’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
First Quantum Minerals	4.08%	1.44%	0.70%
Coeur Mining	10.11%	9.96%	5.55%

Earnings & Valuation

This table compares First Quantum Minerals and Coeur Mining”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
First Quantum Minerals	$4.80 billion	2.90	$2.00 million	$0.24	69.58
Coeur Mining	$1.05 billion	6.01	$58.90 million	$0.26	38.06

Coeur Mining has lower revenue, but higher earnings than First Quantum Minerals. Coeur Mining is trading at a lower price-to-earnings ratio than First Quantum Minerals, indicating that it is currently the more affordable of the two stocks.

Summary

Coeur Mining beats First Quantum Minerals on 12 of the 15 factors compared between the two stocks.

About First Quantum Minerals

First Quantum Minerals Ltd., together with its subsidiaries, engages in the exploration, development, and production of mineral properties. It primarily explores for copper, nickel, pyrite, silver, gold, and zinc ores, as well as produces acid. The company has operating mines located in Zambia, Panama, Finland, Turkey, Spain, Australia, and Mauritania, as well as a development project in Zambia. It is exploring the Taca Taca copper-gold-molybdenum project in Argentina, as well as the Haquira copper deposit in Peru. The company was formerly known as First Quantum Ventures Ltd. and changed its name to First Quantum Minerals Ltd. in July 1996. The company is based in Vancouver, Canada.

About Coeur Mining

Coeur Mining, Inc. explores for precious metals in the United States, Canada, and Mexico. The company primarily explores for gold, silver, zinc, and lead properties. It markets and sells its concentrates to third-party customers, smelters, under off-take agreements. The company was formerly known as Coeur d'Alene Mines Corporation and changed its name to Coeur Mining, Inc. in May 2013. Coeur Mining, Inc. was incorporated in 1928 and is headquartered in Chicago, Illinois.