Head to Head Comparison: Perpetua Resources (NASDAQ:PPTA) versus HudBay Minerals (NYSE:HBM)

HudBay Minerals (NYSE:HBM) and Perpetua Resources (NASDAQ:PPTA) are both mid-cap basic materials companies, but which is the better business? We will compare the two companies based on the strength of their analyst recommendations, institutional ownership, profitability, valuation, risk, dividends and earnings.

Profitability

This table compares HudBay Minerals and Perpetua Resources’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
HudBay Minerals	25.71%	8.91%	4.56%
Perpetua Resources	N/A	-14.14%	-13.71%

Risk and Volatility

HudBay Minerals has a beta of 1.27, indicating that its stock price is 27% more volatile than the S&P 500. Comparatively, Perpetua Resources has a beta of -0.03, indicating that its stock price is 103% less volatile than the S&P 500.

Earnings & Valuation

This table compares HudBay Minerals and Perpetua Resources”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
HudBay Minerals	$2.21 billion	3.72	$568.50 million	$1.43	14.48
Perpetua Resources	N/A	N/A	-$14.48 million	($0.50)	-59.52

HudBay Minerals has higher revenue and earnings than Perpetua Resources. Perpetua Resources is trading at a lower price-to-earnings ratio than HudBay Minerals, indicating that it is currently the more affordable of the two stocks.

Analyst Recommendations

This is a breakdown of recent recommendations for HudBay Minerals and Perpetua Resources, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
HudBay Minerals	0	2	12	2	3.00
Perpetua Resources	1	0	6	1	2.88

HudBay Minerals presently has a consensus target price of $26.00, indicating a potential upside of 25.53%. Perpetua Resources has a consensus target price of $32.50, indicating a potential upside of 9.21%. Given HudBay Minerals’ stronger consensus rating and higher probable upside, equities research analysts clearly believe HudBay Minerals is more favorable than Perpetua Resources.

Institutional and Insider Ownership

57.8% of HudBay Minerals shares are owned by institutional investors. Comparatively, 70.1% of Perpetua Resources shares are owned by institutional investors. 0.3% of HudBay Minerals shares are owned by company insiders. Comparatively, 1.5% of Perpetua Resources shares are owned by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock will outperform the market over the long term.

Summary

HudBay Minerals beats Perpetua Resources on 12 of the 14 factors compared between the two stocks.

About HudBay Minerals

Hudbay Minerals Inc., a diversified mining company, focuses on the exploration, development, operation, and optimization of properties in North and South America. It produces copper concentrates containing gold, silver, and molybdenum; gold concentrates containing zinc; zinc concentrates; molybdenum concentrates; and silver/gold doré. The company's flagship project is the 100% owned Constancia mine located in the Province of Chumbivilcas in southern Peru. Hudbay Minerals Inc. was founded in 1927 and is based in Toronto, Canada.

About Perpetua Resources

Perpetua Resources Corp. engages in the exploration and development of mineral properties in the United States. The company primarily explores for gold, silver, and antimony deposits. Its principal asset is the 100% owned Stibnite Gold project, which includes 1,672 unpatented lode claims, mill sites, and patented land holdings covering an area of approximately 11,548 hectares located in Valley County, Idaho. The company was formerly known as Midas Gold Corp. and changed its name to Perpetua Resources Corp. in February 2021. Perpetua Resources Corp. was incorporated in 2011 and is headquartered in Boise, Idaho.