Financial Contrast: Franklin Mining (OTCMKTS:FMNJ) versus Teck Resources (NYSE:TECK)

Teck Resources (NYSE:TECK) and Franklin Mining (OTCMKTS:FMNJ) are both basic materials companies, but which is the superior investment? We will compare the two businesses based on the strength of their earnings, risk, institutional ownership, dividends, profitability, valuation and analyst recommendations.

Analyst Ratings

This is a summary of recent recommendations for Teck Resources and Franklin Mining, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Teck Resources	0	14	7	2	2.48
Franklin Mining	0	0	0	0	0.00

Teck Resources presently has a consensus target price of $53.33, suggesting a potential downside of 5.51%. Given Teck Resources’ stronger consensus rating and higher probable upside, equities research analysts clearly believe Teck Resources is more favorable than Franklin Mining.

Volatility & Risk

Teck Resources has a beta of 0.79, suggesting that its share price is 21% less volatile than the S&P 500. Comparatively, Franklin Mining has a beta of -0.51, suggesting that its share price is 151% less volatile than the S&P 500.

Earnings and Valuation

This table compares Teck Resources and Franklin Mining”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Teck Resources	$10.48 billion	2.59	$296.30 million	$1.78	31.71
Franklin Mining	N/A	N/A	-$430,000.00	($0.03)	-0.07

Teck Resources has higher revenue and earnings than Franklin Mining. Franklin Mining is trading at a lower price-to-earnings ratio than Teck Resources, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares Teck Resources and Franklin Mining’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Teck Resources	11.93%	4.14%	2.41%
Franklin Mining	N/A	N/A	N/A

Institutional and Insider Ownership

78.1% of Teck Resources shares are owned by institutional investors. 0.1% of Teck Resources shares are owned by insiders. Comparatively, 20.0% of Franklin Mining shares are owned by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock is poised for long-term growth.

Summary

Teck Resources beats Franklin Mining on 13 of the 14 factors compared between the two stocks.

About Teck Resources

Teck Resources Limited engages in exploring for, acquiring, developing, and producing natural resources in Asia, Europe, and North America. The company operates through Steelmaking Coal, Copper, Zinc, and Energy segments. Its principal products include copper, zinc, steelmaking coal, and blended bitumen. The company also produces lead, silver, and molybdenum; and various specialty and other metals, chemicals, and fertilizers. In addition, it explores for gold. The company was formerly known as Teck Cominco Limited and changed its name to Teck Resources Limited in April 2009. The company was founded in 1913 and is headquartered in Vancouver, Canada.

About Franklin Mining

Franklin Mining, Inc., a mining and exploration company, acquires and develops mineral properties. The company explores for gold, silver, lead, and zinc deposits. It owns interests in the La Joya mining concession in Bolivia; and Madre de Dios Area, Ch-Mine, and Los Totems project in Peru. The company was formerly known as WCM Capital, Inc. Franklin Mining, Inc. was founded in 1864 and is based in Carson City, Nevada.