Head to Head Contrast: Harmony Gold Mining (NYSE:HMY) vs. U.S. GoldMining (NASDAQ:USGO)

Harmony Gold Mining (NYSE:HMY) and U.S. GoldMining (NASDAQ:USGO) are both basic materials companies, but which is the superior business? We will compare the two companies based on the strength of their analyst recommendations, profitability, institutional ownership, valuation, dividends, risk and earnings.

Risk & Volatility

Harmony Gold Mining has a beta of 0.8, indicating that its stock price is 20% less volatile than the S&P 500. Comparatively, U.S. GoldMining has a beta of 1.96, indicating that its stock price is 96% more volatile than the S&P 500.

Earnings & Valuation

This table compares Harmony Gold Mining and U.S. GoldMining”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Harmony Gold Mining	$4.07 billion	2.75	$792.56 million	$1.69	10.42
U.S. GoldMining	N/A	N/A	-$8.48 million	($0.66)	-17.88

Harmony Gold Mining has higher revenue and earnings than U.S. GoldMining. U.S. GoldMining is trading at a lower price-to-earnings ratio than Harmony Gold Mining, indicating that it is currently the more affordable of the two stocks.

Analyst Recommendations

This is a summary of recent ratings and price targets for Harmony Gold Mining and U.S. GoldMining, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Harmony Gold Mining	0	5	0	0	2.00
U.S. GoldMining	0	0	1	0	3.00

Harmony Gold Mining currently has a consensus price target of $12.20, indicating a potential downside of 30.74%. U.S. GoldMining has a consensus price target of $26.50, indicating a potential upside of 124.58%. Given U.S. GoldMining’s stronger consensus rating and higher probable upside, analysts clearly believe U.S. GoldMining is more favorable than Harmony Gold Mining.

Profitability

This table compares Harmony Gold Mining and U.S. GoldMining’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Harmony Gold Mining	N/A	N/A	N/A
U.S. GoldMining	N/A	-196.04%	-163.85%

Insider & Institutional Ownership

31.8% of Harmony Gold Mining shares are owned by institutional investors. Comparatively, 0.5% of U.S. GoldMining shares are owned by institutional investors. 16.0% of Harmony Gold Mining shares are owned by company insiders. Comparatively, 2.5% of U.S. GoldMining shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock will outperform the market over the long term.

Summary

Harmony Gold Mining beats U.S. GoldMining on 8 of the 12 factors compared between the two stocks.

About Harmony Gold Mining

Harmony Gold Mining Company Limited engages in the exploration, extraction, and processing of gold. The company explores for uranium, silver, copper, and molybdenum deposits. It has eight underground operations in the Witwatersrand Basin; an open-pit mine on the Kraaipan Greenstone Belt; and various surface source operations in South Africa. In addition, the company owns interests in the Hidden Valley, an open-pit gold and silver mine; and the Wafi-Golpu project located in Morobe Province in Papua New Guinea. Further, it holds interest in Rosby and Eva Copper Project located in Queensland, Australia. Harmony Gold Mining Company Limited was incorporated in 1950 and is headquartered in Randfontein, South Africa.

About U.S. GoldMining

U.S. GoldMining Inc., an exploration stage company, engages in the exploration and development of mineral properties in the United States. The company's primary asset is the 100%-owned Whistler exploration property, a gold-copper exploration project comprising mining claims totaling 53,700 acres located in Yentna Mining District, Alaska. The company was incorporated in 2015 and is based in Vancouver, Canada. U.S. GoldMining Inc. operates as a subsidiary of GoldMining Inc.