A-Mark Precious Metals (NASDAQ:AMRK) vs. Jade Art Group (OTCMKTS:JADA) Critical Review

A-Mark Precious Metals (NASDAQ:AMRK) and Jade Art Group (OTCMKTS:JADA) are both small-cap consumer discretionary companies, but which is the better investment? We will compare the two businesses based on the strength of their dividends, profitability, valuation, analyst recommendations, earnings, risk and institutional ownership.

Institutional and Insider Ownership

75.3% of A-Mark Precious Metals shares are held by institutional investors. 48.6% of A-Mark Precious Metals shares are held by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock is poised for long-term growth.

Profitability

This table compares A-Mark Precious Metals and Jade Art Group’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
A-Mark Precious Metals	0.32%	8.04%	2.73%
Jade Art Group	N/A	N/A	N/A

Analyst Ratings

This is a summary of recent ratings for A-Mark Precious Metals and Jade Art Group, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
A-Mark Precious Metals	0	2	1	0	2.33
Jade Art Group	0	0	0	0	0.00

A-Mark Precious Metals presently has a consensus price target of $33.00, suggesting a potential upside of 55.95%. Given A-Mark Precious Metals’ stronger consensus rating and higher probable upside, equities research analysts clearly believe A-Mark Precious Metals is more favorable than Jade Art Group.

Volatility and Risk

A-Mark Precious Metals has a beta of 0.2, meaning that its stock price is 80% less volatile than the S&P 500. Comparatively, Jade Art Group has a beta of 1.35, meaning that its stock price is 35% more volatile than the S&P 500.

Earnings and Valuation

This table compares A-Mark Precious Metals and Jade Art Group”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
A-Mark Precious Metals	$9.70 billion	0.05	$68.55 million	$1.48	14.30
Jade Art Group	N/A	N/A	N/A	N/A	N/A

A-Mark Precious Metals has higher revenue and earnings than Jade Art Group.

Summary

A-Mark Precious Metals beats Jade Art Group on 9 of the 10 factors compared between the two stocks.

About A-Mark Precious Metals

A-Mark Precious Metals, Inc., together with its subsidiaries, operates as a precious metals trading company. It operates through three segments: Wholesale Sales & Ancillary Services, Direct-to-Consumer, and Secured Lending. The Wholesale Sales & Ancillary Services segment sells gold, silver, platinum, and palladium in the form of bars, plates, powders, wafers, grains, ingots, and coins. This segment also offers various ancillary services, including financing, storage, consignment, logistics, and various customized financial programs; and designs and produces minted silver products. The Direct-to-Consumer segment provides access to an array of gold, silver, copper, platinum, and palladium products primarily through its websites. It operates various company-owned websites targeting specific niches within the precious metals retail market. This segment also operates as a direct retailer of precious metals to the investor community and markets its precious metal products on television, radio, and the internet, as well as through customer service outreach. The Secured Lending segment originates and acquires commercial loans secured by bullion and numismatic coins; and serves coin and precious metal dealers, investors, and collectors. It serves customers, including financial institutions, bullion retailers, industrial manufacturers and fabricators, sovereign mints, refiners, coin and metal dealers, investors, collectors, and e-commerce and other retail customers. The company has operations in the United States, rest of North America, Europe, the Asia Pacific, Africa, and Australia. A-Mark Precious Metals, Inc. was founded in 1965 and is headquartered in El Segundo, California.

About Jade Art Group

Jade Art Group Inc., through its subsidiary, JiangXi SheTai Jade Industrial Company Limited, engages in the sale and distribution of raw jade in China. It also involves in jade processing, carving, and polishing activities. The company's products are used as decorative construction material in commercial and residential markets, and high-end jewelry. Jade Art Group Inc. is based in Yingtan, China.