New Gold (NYSE:NGD) & Westwater Resources (NASDAQ:WWR) Head to Head Comparison

Westwater Resources (NASDAQ:WWR) and New Gold (NYSE:NGD) are both basic materials companies, but which is the superior investment? We will contrast the two companies based on the strength of their profitability, analyst recommendations, earnings, institutional ownership, dividends, valuation and risk.

Profitability

This table compares Westwater Resources and New Gold’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Westwater Resources	N/A	-5.89%	-5.50%
New Gold	11.10%	13.70%	6.31%

Institutional and Insider Ownership

7.7% of Westwater Resources shares are owned by institutional investors. Comparatively, 42.8% of New Gold shares are owned by institutional investors. 2.4% of Westwater Resources shares are owned by insiders. Comparatively, 0.2% of New Gold shares are owned by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock will outperform the market over the long term.

Volatility and Risk

Westwater Resources has a beta of 1.61, suggesting that its share price is 61% more volatile than the S&P 500. Comparatively, New Gold has a beta of 1.35, suggesting that its share price is 35% more volatile than the S&P 500.

Analyst Ratings

This is a summary of recent ratings and price targets for Westwater Resources and New Gold, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Westwater Resources	0	0	1	0	3.00
New Gold	0	1	4	2	3.14

Westwater Resources presently has a consensus target price of $2.50, suggesting a potential upside of 298.47%. New Gold has a consensus target price of $3.60, suggesting a potential upside of 12.85%. Given Westwater Resources’ higher possible upside, equities research analysts plainly believe Westwater Resources is more favorable than New Gold.

Valuation and Earnings

This table compares Westwater Resources and New Gold”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Westwater Resources	N/A	N/A	-$7.75 million	($0.13)	-4.83
New Gold	$924.50 million	2.73	-$64.50 million	$0.13	24.54

Westwater Resources has higher earnings, but lower revenue than New Gold. Westwater Resources is trading at a lower price-to-earnings ratio than New Gold, indicating that it is currently the more affordable of the two stocks.

Summary

New Gold beats Westwater Resources on 10 of the 14 factors compared between the two stocks.

About Westwater Resources

Westwater Resources, Inc. operates as an energy technology company, focuses on developing battery-grade natural graphite materials. The company holds interests in Kellyton Graphite Plant located in Kellyton, Alabama; and Bama Mine Project situated in south Alabama. It holds interests in Coosa graphite project located in Coosa County, Alabama. The company was formerly known as Uranium Resources, Inc. and changed its name to Westwater Resources, Inc. in August 2017. Westwater Resources, Inc. was incorporated in 1977 and is headquartered in Centennial, Colorado.

About New Gold

New Gold Inc., an intermediate gold mining company, develops and operates of mineral properties in Canada. It primarily explores for gold, silver, and copper deposits. The company’s principal operating properties include 100% interest in the Rainy River mine located in Northwestern Ontario, Canada; and New Afton project situated in South-Central British Columbia. New Gold Inc. is headquartered in Toronto, Canada.