Financial Analysis: Athena Gold (OTCMKTS:AHNR) vs. Gold Royalty (NYSE:GROY)

Athena Gold (OTCMKTS:AHNR) and Gold Royalty (NYSE:GROY) are both small-cap basic materials companies, but which is the superior business? We will compare the two companies based on the strength of their dividends, profitability, earnings, analyst recommendations, valuation, institutional ownership and risk.

Analyst Recommendations

This is a breakdown of recent ratings and price targets for Athena Gold and Gold Royalty, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Athena Gold	0	0	0	0	0.00
Gold Royalty	0	0	3	0	3.00

Gold Royalty has a consensus price target of $3.31, suggesting a potential upside of 76.20%. Given Gold Royalty’s stronger consensus rating and higher probable upside, analysts plainly believe Gold Royalty is more favorable than Athena Gold.

Profitability

This table compares Athena Gold and Gold Royalty’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Athena Gold	N/A	-6.37%	-5.73%
Gold Royalty	-252.16%	0.46%	0.35%

Institutional & Insider Ownership

35.9% of Athena Gold shares are held by institutional investors. Comparatively, 33.8% of Gold Royalty shares are held by institutional investors. 10.4% of Athena Gold shares are held by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock will outperform the market over the long term.

Earnings & Valuation

This table compares Athena Gold and Gold Royalty”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Athena Gold	N/A	N/A	$610,000.00	N/A	N/A
Gold Royalty	$10.35 million	30.97	-$26.76 million	($0.02)	-94.00

Athena Gold has higher earnings, but lower revenue than Gold Royalty.

Volatility and Risk

Athena Gold has a beta of -0.45, indicating that its stock price is 145% less volatile than the S&P 500. Comparatively, Gold Royalty has a beta of 0.78, indicating that its stock price is 22% less volatile than the S&P 500.

Summary

Gold Royalty beats Athena Gold on 7 of the 11 factors compared between the two stocks.

About Athena Gold

Athena Gold Corporation, an exploration stage company, engages in the acquisition and exploration of mineral resources in the United States. It explores for gold, molybdenum, and copper deposits. The company's flagship property is the Excelsior Springs project comprising 191 unpatented claims and 2 patented mining claims located in Walker Lane, Nevada. It also owns 100% interest in the Crow Springs project, which consists of eleven unpatented mining claims located in Esmeralda County, Nevada. Athena Gold Corporation was formerly known as Athena Silver Corporation and changed its name to Athena Gold Corporation in January 2021. The company was incorporated in 2003 and is based in Vacaville, California.

About Gold Royalty

Gold Royalty Corp., a precious metals-focused royalty company, provides financing solutions to the metals and mining industry. It focuses on acquiring royalties, streams, and similar interests at varying stages of the mine life cycle to build a portfolio offering near, medium, and longer-term returns for its investors. Gold Royalty Corp. was incorporated in 2020 and is headquartered in Vancouver, Canada.