Head-To-Head Review: Teck Resources (TECK) and Its Competitors

Teck Resources (NYSE:TECK) is one of 1,984 public companies in the “Metals & Mining” industry, but how does it compare to its competitors? We will compare Teck Resources to related companies based on the strength of its analyst recommendations, dividends, institutional ownership, valuation, risk, profitability and earnings.

Profitability

This table compares Teck Resources and its competitors’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Teck Resources	25.15%	11.93%	7.01%
Teck Resources Competitors	-1,161,736,352,322,426,600.00%	-52.89%	-2.06%

Institutional & Insider Ownership

78.1% of Teck Resources shares are held by institutional investors. Comparatively, 16.1% of shares of all “Metals & Mining” companies are held by institutional investors. 0.1% of Teck Resources shares are held by company insiders. Comparatively, 17.6% of shares of all “Metals & Mining” companies 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.

Analyst Recommendations

This is a breakdown of current recommendations and price targets for Teck Resources and its competitors, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Teck Resources	0	10	6	0	2.38
Teck Resources Competitors	6424	22628	32348	1801	2.47

Teck Resources currently has a consensus target price of $75.25, suggesting a potential upside of 24.70%. As a group, “Metals & Mining” companies have a potential upside of 29.87%. Given Teck Resources’ competitors stronger consensus rating and higher possible upside, analysts clearly believe Teck Resources has less favorable growth aspects than its competitors.

Dividends

Teck Resources pays an annual dividend of $0.36 per share and has a dividend yield of 0.6%. Teck Resources pays out 6.4% of its earnings in the form of a dividend. As a group, “Metals & Mining” companies pay a dividend yield of 10.4% and pay out 10.8% of their earnings in the form of a dividend.

Valuation and Earnings

This table compares Teck Resources and its competitors top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Teck Resources	$7.70 billion	$1.00 billion	10.79
Teck Resources Competitors	$4.65 billion	$278.26 million	-26.23

Teck Resources has higher revenue and earnings than its competitors. Teck Resources is trading at a higher price-to-earnings ratio than its competitors, indicating that it is currently more expensive than other companies in its industry.

Risk and Volatility

Teck Resources has a beta of 1.01, indicating that its stock price is 1% more volatile than the S&P 500. Comparatively, Teck Resources’ competitors have a beta of 0.96, indicating that their average stock price is 4% less volatile than the S&P 500.

Summary

Teck Resources beats its competitors on 9 of the 15 factors compared.

Teck Resources Company Profile

Teck Resources Limited is a Canadian mining company focused primarily on copper and zinc. Its activities include exploring, developing, mining, processing and marketing metals used in construction, manufacturing and other industrial applications. The company has operations and interests in Canada, the United States, Chile and Peru. Its portfolio includes copper mines and projects, zinc mining at the Red Dog operation in Alaska, and Trail Operations in British Columbia, which processes zinc and lead concentrates and produces refined metals and related products.