Analyzing Hycroft Mining (NASDAQ:HYMC) and BHP Group (NYSE:BHP)

BHP Group (NYSE:BHP) and Hycroft Mining (NASDAQ:HYMC) are both basic materials companies, but which is the superior stock? We will contrast the two businesses based on the strength of their earnings, dividends, institutional ownership, risk, profitability, analyst recommendations and valuation.

Risk & Volatility

BHP Group has a beta of 0.69, suggesting that its share price is 31% less volatile than the S&P 500. Comparatively, Hycroft Mining has a beta of 2.64, suggesting that its share price is 164% more volatile than the S&P 500.

Analyst Recommendations

This is a summary of current recommendations and price targets for BHP Group and Hycroft Mining, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
BHP Group	1	5	1	2	2.44
Hycroft Mining	1	0	0	0	1.00

BHP Group currently has a consensus price target of $56.00, indicating a potential downside of 14.99%. Given BHP Group’s stronger consensus rating and higher possible upside, research analysts clearly believe BHP Group is more favorable than Hycroft Mining.

Earnings and Valuation

This table compares BHP Group and Hycroft Mining”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
BHP Group	$51.26 billion	3.26	$9.02 billion	N/A	N/A
Hycroft Mining	N/A	N/A	-$60.90 million	($1.62)	-21.14

BHP Group has higher revenue and earnings than Hycroft Mining.

Insider & Institutional Ownership

3.8% of BHP Group shares are owned by institutional investors. Comparatively, 7.4% of Hycroft Mining shares are owned by institutional investors. 0.0% of BHP Group shares are owned by insiders. Comparatively, 1.3% of Hycroft 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.

Profitability

This table compares BHP Group and Hycroft Mining’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
BHP Group	N/A	N/A	N/A
Hycroft Mining	N/A	N/A	-27.55%

Summary

BHP Group beats Hycroft Mining on 7 of the 10 factors compared between the two stocks.

About BHP Group

BHP Group Limited operates as a resources company in Australia, Europe, China, Japan, India, South Korea, the rest of Asia, North America, South America, and internationally. The company operates through Copper, Iron Ore, and Coal segments. It engages in the mining of copper, uranium, gold, zinc, lead, molybdenum, silver, iron ore, cobalt, and metallurgical and energy coal. The company is also involved in the mining, smelting, and refining of nickel, as well as potash development activities. In addition, it provides towing, freight, marketing and trading, marketing support, finance, administrative, and other services. The company was founded in 1851 and is headquartered in Melbourne, Australia.

About Hycroft Mining

Hycroft Mining Holding Corporation, together with its subsidiaries, operates as a gold and silver development company in the United States. The company holds interests in the Hycroft mine that consists of 30 private parcels with patented claims comprising approximately 1,787 acres, and 3,247 unpatented mining claims that encompass approximately 62,298 acres located in the state of Nevada. Hycroft Mining Holding Corporation is based in Winnemucca, Nevada.