Reviewing Osisko Development (NYSE:OGG) & McEwen (NYSE:MUX)
by Tristan Rich · The Markets DailyOsisko Development (NYSE:OGG – Get Free Report) and McEwen (NYSE:MUX – Get Free Report) are both small-cap materials companies, but which is the superior business? We will compare the two businesses based on the strength of their risk, institutional ownership, dividends, valuation, earnings, profitability and analyst recommendations.
Profitability
This table compares Osisko Development and McEwen’s net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| Osisko Development | 148.74% | 11.53% | 6.55% |
| McEwen | 18.41% | 7.00% | 4.79% |
Valuation and Earnings
This table compares Osisko Development and McEwen”s revenue, earnings per share and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| Osisko Development | $25.39 million | 26.73 | -$120.96 million | ($0.12) | -20.25 |
| McEwen | $197.55 million | 3.96 | $34.43 million | $1.26 | 10.11 |
McEwen has higher revenue and earnings than Osisko Development. Osisko Development is trading at a lower price-to-earnings ratio than McEwen, indicating that it is currently the more affordable of the two stocks.
Insider and Institutional Ownership
15.2% of Osisko Development shares are held by institutional investors. Comparatively, 17.0% of McEwen shares are held by institutional investors. 0.9% of Osisko Development shares are held by insiders. Comparatively, 14.8% of McEwen shares are held by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company is poised for long-term growth.
Analyst Ratings
This is a breakdown of current ratings for Osisko Development and McEwen, as provided by MarketBeat.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| Osisko Development | 0 | 2 | 1 | 1 | 2.75 |
| McEwen | 0 | 2 | 2 | 0 | 2.50 |
McEwen has a consensus price target of $29.00, suggesting a potential upside of 127.72%. Given McEwen’s higher probable upside, analysts plainly believe McEwen is more favorable than Osisko Development.
Summary
McEwen beats Osisko Development on 8 of the 14 factors compared between the two stocks.
About Osisko Development
Osisko Development is a gold-focused mineral exploration and development company. It advances projects from exploration and resource evaluation toward potential mine development, with assets in Canada, the United States and Mexico. The company’s flagship asset is the Cariboo Gold Project in central British Columbia, where it is working to develop a gold mine. Its other principal projects include the San Antonio Gold Project in Sonora, Mexico, and the Tintic Project in Utah, which provide additional opportunities for exploration and development.
About McEwen
McEwen Inc., formerly known as McEwen Mining, is a metals exploration and mining company focused on gold, silver and copper. Its activities include operating mines, advancing development projects and exploring for additional mineral resources. The company’s assets and projects span the United States, Canada, Mexico and Argentina. Its portfolio includes gold and silver properties as well as the Los Azules copper project in Argentina, which is being advanced through its McEwen Copper subsidiary. McEwen was founded by Rob McEwen, who serves as the company’s chairman and chief executive officer.