Critical Contrast: Minco Capital (OTCMKTS:MGHCF) versus Triple Flag Precious Metals (NYSE:TFPM)

Triple Flag Precious Metals (NYSE:TFPM) and Minco Capital (OTCMKTS:MGHCF) are both basic materials companies, but which is the superior investment? We will contrast the two companies based on the strength of their earnings, dividends, profitability, institutional ownership, analyst recommendations, risk and valuation.

Volatility and Risk

Triple Flag Precious Metals has a beta of -0.21, indicating that its share price is 121% less volatile than the S&P 500. Comparatively, Minco Capital has a beta of 0.1, indicating that its share price is 90% less volatile than the S&P 500.

Insider & Institutional Ownership

82.9% of Triple Flag Precious Metals shares are held by institutional investors. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock is poised for long-term growth.

Valuation & Earnings

This table compares Triple Flag Precious Metals 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
Triple Flag Precious Metals	$268.99 million	29.37	-$23.08 million	$1.01	37.87
Minco Capital	N/A	N/A	-$290,000.00	$0.02	3.92

Minco Capital has lower revenue, but higher earnings than Triple Flag Precious Metals. Minco Capital is trading at a lower price-to-earnings ratio than Triple Flag Precious Metals, indicating that it is currently the more affordable of the two stocks.

Analyst Recommendations

This is a breakdown of current ratings and price targets for Triple Flag Precious Metals and Minco Capital, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Triple Flag Precious Metals	1	4	6	1	2.58
Minco Capital	0	0	0	0	0.00

Triple Flag Precious Metals presently has a consensus price target of $30.00, suggesting a potential downside of 21.57%. Given Triple Flag Precious Metals’ stronger consensus rating and higher probable upside, research analysts clearly believe Triple Flag Precious Metals is more favorable than Minco Capital.

Profitability

This table compares Triple Flag Precious Metals and Minco Capital’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Triple Flag Precious Metals	59.43%	9.56%	9.34%
Minco Capital	N/A	28.01%	27.23%

Summary

Triple Flag Precious Metals beats Minco Capital on 9 of the 13 factors compared between the two stocks.

About Triple Flag Precious Metals

Triple Flag Precious Metals Corp., a precious-metals-focused streaming and royalty company, engages in acquiring and managing precious metals, streams, royalties and other mineral interests in Australia, Canada, Colombia, Cote d'Ivoire, Honduras, Mexico, Mongolia, Peru, South Africa, the United States, and internationally. The company has a portfolio of streams and royalties providing exposure to gold, silver, nickel, copper, zinc, and lead. It holds a royalty interest in the Beta Hunt mine located in Pert, Wester Australia; the Camino Rojo gold and silver mine located in Mexico; the El Mochito polymetallic mine located in north-western Honduras; and La Colorada polymetallic mine located in Mexico. Triple Flag Precious Metals Corp. was founded in 2016 and is based 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.