South32 (OTCMKTS:SOUHY) versus Capstone Copper (OTCMKTS:CSFFF) Head-To-Head Comparison

South32 (OTCMKTS:SOUHY) and Capstone Copper (OTCMKTS:CSFFF) are both basic materials companies, but which is the better investment? We will compare the two companies based on the strength of their institutional ownership, valuation, risk, analyst recommendations, earnings, dividends and profitability.

Institutional & Insider Ownership

0.1% of South32 shares are owned by institutional investors. Comparatively, 0.6% of Capstone Copper shares are owned by institutional investors. 0.2% of South32 shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company will outperform the market over the long term.

Profitability

This table compares South32 and Capstone Copper’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
South32	N/A	N/A	N/A
Capstone Copper	14.67%	3.23%	1.72%

Valuation and Earnings

This table compares South32 and Capstone Copper”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
South32	$5.78 billion	1.80	$213.00 million	N/A	N/A
Capstone Copper	$1.60 billion	0.00	$82.91 million	$0.11	N/A

South32 has higher revenue and earnings than Capstone Copper.

Analyst Recommendations

This is a breakdown of recent ratings and target prices for South32 and Capstone Copper, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
South32	0	6	0	1	2.29
Capstone Copper	0	0	0	0	0.00

Given Capstone Copper’s higher possible upside, analysts plainly believe Capstone Copper is more favorable than South32.

About South32

South32 Limited operates as a diversified metals and mining company in Australia, India, China, Japan, the Middle East, Mozambique, the Netherlands, Brazil, Russia, South Africa, South Korea, the United States, and internationally. The company operates through Worsley Alumina, Brazil Alumina, Brazil Aluminium, Hillside Aluminium, Mozal Aluminium, Sierra Gorda, Cannington, Hermosa, Cerro Matoso, Illawarra Metallurgical Coal, Australia Manganese, and South Africa Manganese segments. It has a portfolio of assets producing bauxite, alumina, aluminum, copper, silver, lead, zinc, nickel, metallurgical coal, manganese, ferronickel, and other base metals. The company also exports its products. South32 Limited was incorporated in 2000 and is headquartered in Perth, Australia.

About Capstone Copper

Capstone Mining Corp. engages in the exploration and production of base metals in the United States, Mexico, Canada, and Chile. The company explores for copper, molybdenum, silver, zinc, lead, iron, and gold deposits. It holds interests in the Pinto Valley, an open pit copper mine located in Arizona, the United States; and the Cozamin, a copper-silver underground mine located in the state of Zacatecas, Mexico. The company also owns a 100% interest in copper-iron-gold Santo Domingo development project in Region III, Chile. The company was formerly known as Capstone Gold Corp. and changed its name to Capstone Mining Corp. in February 2006. The company is headquartered in Vancouver, Canada.