Head-To-Head Comparison: Pelangio Exploration (OTCMKTS:PGXPF) versus Newmont (NYSE:NEM)

Pelangio Exploration (OTCMKTS:PGXPF) and Newmont (NYSE:NEM) are both basic materials companies, but which is the better investment? We will contrast the two businesses based on the strength of their profitability, risk, earnings, valuation, analyst recommendations, dividends and institutional ownership.

Profitability

This table compares Pelangio Exploration and Newmont’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Pelangio Exploration	N/A	N/A	-274.90%
Newmont	25.77%	15.75%	8.52%

Insider and Institutional Ownership

68.9% of Newmont shares are held by institutional investors. 0.1% of Newmont shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock is poised for long-term growth.

Earnings & Valuation

This table compares Pelangio Exploration and Newmont”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Pelangio Exploration	N/A	N/A	-$550,000.00	N/A	N/A
Newmont	$18.68 billion	3.46	$3.35 billion	$4.46	13.02

Newmont has higher revenue and earnings than Pelangio Exploration.

Analyst Recommendations

This is a summary of current recommendations and price targets for Pelangio Exploration and Newmont, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Pelangio Exploration	0	0	0	0	0.00
Newmont	1	7	7	2	2.59

Newmont has a consensus target price of $58.38, suggesting a potential upside of 0.55%. Given Newmont’s stronger consensus rating and higher possible upside, analysts plainly believe Newmont is more favorable than Pelangio Exploration.

Summary

Newmont beats Pelangio Exploration on 11 of the 11 factors compared between the two stocks.

About Pelangio Exploration

Pelangio Exploration Inc., a mineral exploration company, engages in acquiring, exploring, and developing mineral properties. It holds interests in various gold properties in Ghana and Canada. The company was incorporated in 2008 and is headquartered in Toronto, Canada.

About Newmont

Newmont Corporation engages in the production and exploration of gold. It also explores for copper, silver, zinc, and lead. The company has operations and/or assets in the United States, Canada, Mexico, Dominican Republic, Peru, Suriname, Argentina, Chile, Australia, Papua New Guinea, Ecuador, Fiji, and Ghana. The company was founded in 1916 and is headquartered in Denver, Colorado.