Comparing Gold Resource (NYSE:GORO) & i-80 Gold (NYSE:IAUX)

i-80 Gold (NYSE:IAUX) and Gold Resource (NYSE:GORO) are both small-cap basic materials companies, but which is the better investment? We will contrast the two companies based on the strength of their dividends, valuation, profitability, institutional ownership, risk, analyst recommendations and earnings.

Profitability

This table compares i-80 Gold and Gold Resource’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
i-80 Gold	-231.43%	-21.18%	-12.67%
Gold Resource	-61.31%	-35.25%	-16.15%

Institutional & Insider Ownership

61.3% of i-80 Gold shares are held by institutional investors. Comparatively, 18.4% of Gold Resource shares are held by institutional investors. 2.5% of Gold Resource shares are held 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.

Valuation and Earnings

This table compares i-80 Gold and Gold Resource”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
i-80 Gold	$52.94 million	5.09	-$65.20 million	($0.36)	-1.69
Gold Resource	$73.90 million	0.70	-$16.02 million	($0.49)	-1.10

Gold Resource has higher revenue and earnings than i-80 Gold. i-80 Gold is trading at a lower price-to-earnings ratio than Gold Resource, indicating that it is currently the more affordable of the two stocks.

Risk & Volatility

i-80 Gold has a beta of 1.13, meaning that its stock price is 13% more volatile than the S&P 500. Comparatively, Gold Resource has a beta of 1.39, meaning that its stock price is 39% more volatile than the S&P 500.

Analyst Recommendations

This is a breakdown of current ratings for i-80 Gold and Gold Resource, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
i-80 Gold	0	2	0	1	2.67
Gold Resource	0	0	1	0	3.00

i-80 Gold presently has a consensus target price of $3.50, indicating a potential upside of 474.15%. Gold Resource has a consensus target price of $1.25, indicating a potential upside of 131.44%. Given i-80 Gold’s higher probable upside, equities analysts clearly believe i-80 Gold is more favorable than Gold Resource.

Summary

Gold Resource beats i-80 Gold on 8 of the 15 factors compared between the two stocks.

About i-80 Gold

i-80 Gold Corp. is a mining company, engages in the exploration, development and production of gold and silver mineral deposits principally in the United States. i-80 Gold Corp. is based in Reno, Nevada.

About Gold Resource

Gold Resource Corporation engages in the exploration, development, and production of gold and silver projects in Mexico and the United States. The company also explores for copper, lead, and zinc deposits. Its principal assets are the 100% owned Don David gold mine and Back Forty project covering approximately 1,304 hectares located in Menominee county, Michigan. The company was incorporated in 1998 and is headquartered in Denver, Colorado.