Analyzing DPM Metals (OTCMKTS:DPMLF) and Gold Reserve (OTCMKTS:GDRZF)

DPM Metals (OTCMKTS:DPMLF) and Gold Reserve (OTCMKTS:GDRZF) are both basic materials companies, but which is the superior investment? We will compare the two companies based on the strength of their profitability, earnings, valuation, analyst recommendations, risk, institutional ownership and dividends.

Analyst Ratings

This is a summary of recent ratings and price targets for DPM Metals and Gold Reserve, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
DPM Metals	0	1	3	3	3.29
Gold Reserve	0	0	0	0	0.00

Profitability

This table compares DPM Metals and Gold Reserve’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
DPM Metals	37.07%	21.79%	18.98%
Gold Reserve	N/A	-36.33%	-28.89%

Earnings & Valuation

This table compares DPM Metals and Gold Reserve”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
DPM Metals	$606.99 million	6.44	$235.88 million	$1.40	16.74
Gold Reserve	$3.11 million	48.97	-$15.19 million	($0.21)	-7.29

DPM Metals has higher revenue and earnings than Gold Reserve. Gold Reserve is trading at a lower price-to-earnings ratio than DPM Metals, indicating that it is currently the more affordable of the two stocks.

Summary

DPM Metals beats Gold Reserve on 10 of the 11 factors compared between the two stocks.

About DPM Metals

Dundee Precious Metals Inc., a gold mining company, engages in the acquisition, exploration, development, mining, and processing of precious metals. The company primarily explores for gold, copper, and silver deposits. It holds a portfolio of projects located in Bulgaria, Namibia, Serbia, and Ecuador. The company is based in Toronto, Canada.

About Gold Reserve

Gold Reserve Inc., an exploration stage company, engages in evaluating, acquiring, exploring, and developing mineral properties. It also holds interests in LMS Gold project located in Alaska, the United States. The company was founded in 1956 and is based in Spokane, Washington.