Capstone Copper (OTCMKTS:CSFFF) and MP Materials (NYSE:MP) Head-To-Head Survey

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

Institutional and Insider Ownership

0.6% of Capstone Copper shares are owned by institutional investors. Comparatively, 52.6% of MP Materials shares are owned by institutional investors. 12.6% of MP Materials shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock will outperform the market over the long term.

Valuation and Earnings

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

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Capstone Copper	$1.60 billion	0.00	$82.91 million	$0.11	N/A
MP Materials	$203.85 million	46.91	-$65.42 million	($0.71)	-76.00

Capstone Copper has higher revenue and earnings than MP Materials. MP Materials is trading at a lower price-to-earnings ratio than Capstone Copper, indicating that it is currently the more affordable of the two stocks.

Analyst Recommendations

This is a breakdown of current ratings for Capstone Copper and MP Materials, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Capstone Copper	0	0	0	0	0.00
MP Materials	1	0	13	1	2.93

MP Materials has a consensus price target of $78.91, indicating a potential upside of 46.24%. Given MP Materials’ stronger consensus rating and higher probable upside, analysts plainly believe MP Materials is more favorable than Capstone Copper.

Profitability

This table compares Capstone Copper and MP Materials’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Capstone Copper	14.67%	3.23%	1.72%
MP Materials	-50.55%	-7.69%	-3.59%

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.

About MP Materials

MP Materials Corp., together with its subsidiaries, produces rare earth materials. The company owns and operates the Mountain Pass Rare Earth mine and processing facility in North America. It holds the mineral rights to the Mountain Pass mine and surrounding areas, as well as intellectual property rights related to the processing and development of rare earth minerals. The company was founded in 2017 and is headquartered in Las Vegas, Nevada.