Head to Head Review: U.S. GoldMining (NASDAQ:USGO) and SilverCrest Metals (NYSE:SILV)

SilverCrest Metals (NYSE:SILV) and U.S. GoldMining (NASDAQ:USGO) are both small-cap basic materials companies, but which is the superior investment? We will compare the two businesses based on the strength of their dividends, valuation, earnings, analyst recommendations, institutional ownership, profitability and risk.

Institutional & Insider Ownership

44.8% of SilverCrest Metals shares are held by institutional investors. Comparatively, 0.5% of U.S. GoldMining shares are held by institutional investors. 4.1% of SilverCrest Metals shares are held by company insiders. Comparatively, 2.0% of U.S. GoldMining shares 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 ratings and price targets for SilverCrest Metals and U.S. GoldMining, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
SilverCrest Metals	0	2	1	0	2.33
U.S. GoldMining	0	0	1	0	3.00

SilverCrest Metals currently has a consensus price target of $10.13, suggesting a potential downside of 12.34%. U.S. GoldMining has a consensus price target of $26.50, suggesting a potential upside of 170.41%. Given U.S. GoldMining’s stronger consensus rating and higher probable upside, analysts clearly believe U.S. GoldMining is more favorable than SilverCrest Metals.

Valuation & Earnings

This table compares SilverCrest Metals and U.S. GoldMining”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
SilverCrest Metals	$245.13 million	7.03	$116.72 million	$0.57	20.26
U.S. GoldMining	N/A	N/A	-$9.36 million	N/A	N/A

SilverCrest Metals has higher revenue and earnings than U.S. GoldMining.

Volatility & Risk

SilverCrest Metals has a beta of 1.21, meaning that its stock price is 21% more volatile than the S&P 500. Comparatively, U.S. GoldMining has a beta of 2.66, meaning that its stock price is 166% more volatile than the S&P 500.

Profitability

This table compares SilverCrest Metals and U.S. GoldMining’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
SilverCrest Metals	30.85%	23.35%	20.98%
U.S. GoldMining	N/A	-71.04%	-65.02%

Summary

SilverCrest Metals beats U.S. GoldMining on 7 of the 10 factors compared between the two stocks.

About SilverCrest Metals

SilverCrest Metals Inc. engages in the acquiring, exploration, and development of precious metal properties in Mexico. The company primarily explores for silver and gold properties. Its focuses on principal property the Las Chispas Mine that consists of 28 concessions totaling of approximately 1,401 hectares located in Sonora, Mexico, as well as operates a portfolio of El Picacho, Cruz de Mayo, and Angel de Plata properties in Sonora Mexico. The company was incorporated in 2015 and is headquartered in Vancouver, Canada.

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.