Eldorado Gold (NYSE:EGO) and China Natural Resources (NASDAQ:CHNR) are both small-cap basic materials companies, but which is the superior stock? We will contrast the two companies based on the strength of their risk, profitability, earnings, dividends, valuation, analyst recommendations and institutional ownership.
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This table compares Eldorado Gold and China Natural Resources’ net margins, return on equity and return on assets.
|Net Margins||Return on Equity||Return on Assets|
|China Natural Resources||N/A||N/A||N/A|
This is a breakdown of recent recommendations and price targets for Eldorado Gold and China Natural Resources, as reported by MarketBeat.
|Sell Ratings||Hold Ratings||Buy Ratings||Strong Buy Ratings||Rating Score|
|China Natural Resources||0||0||0||0||N/A|
Eldorado Gold presently has a consensus target price of $2.64, indicating a potential downside of 41.07%. Given Eldorado Gold’s higher possible upside, equities research analysts clearly believe Eldorado Gold is more favorable than China Natural Resources.
Institutional and Insider Ownership
42.4% of Eldorado Gold shares are owned by institutional investors. Comparatively, 0.1% of China Natural Resources shares are owned by institutional investors. 23.2% of China Natural Resources shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock will outperform the market over the long term.
Earnings & Valuation
This table compares Eldorado Gold and China Natural Resources’ gross revenue, earnings per share and valuation.
|Gross Revenue||Price/Sales Ratio||Net Income||Earnings Per Share||Price/Earnings Ratio|
|Eldorado Gold||$459.00 million||1.55||-$361.88 million||($0.17)||-26.35|
|China Natural Resources||N/A||N/A||-$4.60 million||N/A||N/A|
China Natural Resources has lower revenue, but higher earnings than Eldorado Gold.
Risk & Volatility
Eldorado Gold has a beta of 1.72, suggesting that its share price is 72% more volatile than the S&P 500. Comparatively, China Natural Resources has a beta of 2.32, suggesting that its share price is 132% more volatile than the S&P 500.
China Natural Resources beats Eldorado Gold on 6 of the 10 factors compared between the two stocks.
About Eldorado Gold
Eldorado Gold Corporation, together with its subsidiaries, engages in the exploration, development, and mining of gold properties in Turkey, Greece, Brazil, Serbia, Canada, and Romania. The company holds 100% interests in the Kisladag and Efemcukuru gold mines in Turkey; Lamaque gold project in Canada; Perama Hill gold-silver project and Sapes in Greece; and Vila Nova iron ore mine and 100% interest in Tocantinzinho gold project in Brazil. It also holds 95% interests in Olympias gold mine, Stratoni silver-lead-zinc mine, and Skouries gold-copper project in Greece; and 80.5% interests in Certej gold-silver project in Romania. The company was formerly known as Eldorado Corporation Ltd. and changed its name to Eldorado Gold Corporation in April 1996. Eldorado Gold Corporation was founded in 1992 and is headquartered in Vancouver, Canada.
About China Natural Resources
China Natural Resources, Inc., through its subsidiaries, engages in the exploration of metal properties in the People's Republic of China. The company primarily explores for lead, silver, copper, and other metal deposits. It holds interest in the Moruogu Tong mine that covers an area of 10.43 square kilometers located in Bayannaoer City, Inner Mongolia. The company is headquartered in Sheung Wan, Hong Kong. China Natural Resources, Inc. is a subsidiary of Feishang Group Limited.