US Gold (NASDAQ:USAU – Get Free Report) and DPM Metals (OTCMKTS:DPMLF – Get Free Report) are both basic materials companies, but which is the superior stock? We will compare the two businesses based on the strength of their valuation, institutional ownership, profitability, analyst recommendations, earnings, dividends and risk.
Insider and Institutional Ownership
6.6% of US Gold shares are owned by institutional investors. 11.1% of US Gold shares are owned by company insiders. Comparatively, 0.3% of DPM Metals shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company will outperform the market over the long term.
Profitability
This table compares US Gold and DPM Metals’ net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| US Gold | N/A | -73.81% | -50.64% |
| DPM Metals | 37.07% | 21.68% | 18.91% |
Valuation and Earnings
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| US Gold | N/A | N/A | -$20.56 million | ($1.53) | -11.02 |
| DPM Metals | $606.99 million | 7.54 | $235.88 million | $1.74 | 15.76 |
DPM Metals has higher revenue and earnings than US Gold. US Gold is trading at a lower price-to-earnings ratio than DPM Metals, indicating that it is currently the more affordable of the two stocks.
Analyst Recommendations
This is a summary of current ratings and price targets for US Gold and DPM Metals, as provided by MarketBeat.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| US Gold | 1 | 1 | 3 | 0 | 2.40 |
| DPM Metals | 0 | 1 | 3 | 3 | 3.29 |
US Gold presently has a consensus target price of $17.33, indicating a potential upside of 2.81%. Given US Gold’s higher probable upside, equities research analysts plainly believe US Gold is more favorable than DPM Metals.
Volatility and Risk
US Gold has a beta of 1.16, indicating that its share price is 16% more volatile than the S&P 500. Comparatively, DPM Metals has a beta of 0.66, indicating that its share price is 34% less volatile than the S&P 500.
Summary
DPM Metals beats US Gold on 9 of the 13 factors compared between the two stocks.
About US Gold
U.S. Gold Corp. engages in the exploration and development of gold and precious metals in the United States. It also explores for copper and silver deposits. The company holds 100% interests in the CK Gold project, which consists of various mining leases and other mineral rights covering approximately 1,120 acres in Laramie County, Wyoming; the Keystone project that consists of 601 unpatented lode mining claims covering approximately 20 square miles in Eureka County, Nevada; and the Challis Gold project, which consists of 77 unpatented lode mining claims covering approximately 1,710 acres in Lemhi County, Idaho. It also has earn-in agreement to acquire a 50% ownership interest in the Maggie Creek project located in Eureka County, Nevada. The company was formerly known as Dataram Corporation and changed its name to U.S. Gold Corp. in June 2017. U.S. Gold Corp. is based in Elko, Nevada.
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.
Receive News & Ratings for US Gold Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for US Gold and related companies with MarketBeat.com's FREE daily email newsletter.
