Contrasting Minco Capital (OTCMKTS:MGHCF) and Agnico Eagle Mines (NYSE:AEM)

Agnico Eagle Mines (NYSE:AEM) and Minco Capital (OTCMKTS:MGHCF) are both basic materials companies, but which is the better business? We will contrast the two businesses based on the strength of their analyst recommendations, dividends, profitability, risk, earnings, valuation and institutional ownership.

Valuation and Earnings

This table compares Agnico Eagle Mines and Minco Capital”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Agnico Eagle Mines	$8.29 billion	10.27	$1.90 billion	$6.85	24.77
Minco Capital	N/A	N/A	-$290,000.00	$0.02	2.41

Agnico Eagle Mines has higher revenue and earnings than Minco Capital. Minco Capital is trading at a lower price-to-earnings ratio than Agnico Eagle Mines, indicating that it is currently the more affordable of the two stocks.

Analyst Ratings

This is a summary of recent ratings for Agnico Eagle Mines and Minco Capital, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Agnico Eagle Mines	0	3	9	5	3.12
Minco Capital	0	0	0	0	0.00

Agnico Eagle Mines currently has a consensus price target of $185.50, suggesting a potential upside of 9.31%. Given Agnico Eagle Mines’ stronger consensus rating and higher possible upside, equities analysts clearly believe Agnico Eagle Mines is more favorable than Minco Capital.

Volatility and Risk

Agnico Eagle Mines has a beta of 0.64, meaning that its stock price is 36% less volatile than the S&P 500. Comparatively, Minco Capital has a beta of 0.14, meaning that its stock price is 86% less volatile than the S&P 500.

Profitability

This table compares Agnico Eagle Mines and Minco Capital’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Agnico Eagle Mines	32.62%	15.64%	11.08%
Minco Capital	N/A	10.65%	10.32%

Insider and Institutional Ownership

68.3% of Agnico Eagle Mines shares are owned by institutional investors. 0.5% of Agnico Eagle Mines shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company is poised for long-term growth.

Summary

Agnico Eagle Mines beats Minco Capital on 14 of the 14 factors compared between the two stocks.

About Agnico Eagle Mines

Agnico Eagle Mines Limited, a gold mining company, exploration, development, and production of precious metals. It explores for gold. The company's mines are located in Canada, Australia, Finland and Mexico, with exploration and development activities in Canada, Australia, Europe, Latin America, and the United States. Agnico Eagle Mines Limited was incorporated in 1953 and is headquartered in Toronto, Canada.

About Minco Capital

Minco Capital Corp., an investment company, focuses on investing in public and private companies and assets to generate income and achieve long-term capital appreciation. The company was formerly known as Minco Gold Corporation and changed its name to Minco Capital Corp. in February 2019. Minco Capital Corp. was incorporated in 1982 and is headquartered in Vancouver, Canada.