Head-To-Head Contrast: Gold Royalty (NYSE:GROY) vs. Namib Minerals (NASDAQ:NAMM)

Gold Royalty (NYSE:GROY) and Namib Minerals (NASDAQ:NAMM) are both small-cap basic materials companies, but which is the better stock? We will contrast the two companies based on the strength of their earnings, profitability, institutional ownership, analyst recommendations, valuation, dividends and risk.

Risk and Volatility

Gold Royalty has a beta of 0.97, suggesting that its stock price is 3% less volatile than the S&P 500. Comparatively, Namib Minerals has a beta of -0.14, suggesting that its stock price is 114% less volatile than the S&P 500.

Valuation & Earnings

This table compares Gold Royalty and Namib Minerals”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Gold Royalty	$14.46 million	57.35	-$26.76 million	($0.04)	-105.00
Namib Minerals	N/A	N/A	-$20.75 million	($1.27)	-0.82

Namib Minerals has lower revenue, but higher earnings than Gold Royalty. Gold Royalty is trading at a lower price-to-earnings ratio than Namib Minerals, indicating that it is currently the more affordable of the two stocks.

Analyst Ratings

This is a breakdown of recent ratings and price targets for Gold Royalty and Namib Minerals, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Gold Royalty	0	1	7	0	2.88
Namib Minerals	1	0	0	0	1.00

Gold Royalty currently has a consensus price target of $5.00, suggesting a potential upside of 19.05%. Given Gold Royalty’s stronger consensus rating and higher possible upside, equities analysts plainly believe Gold Royalty is more favorable than Namib Minerals.

Profitability

This table compares Gold Royalty and Namib Minerals’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Gold Royalty	-252.16%	0.46%	0.35%
Namib Minerals	N/A	N/A	-56.66%

Institutional & Insider Ownership

33.8% of Gold Royalty shares are owned by institutional investors. Comparatively, 59.5% of Namib Minerals shares are owned by institutional investors. 30.5% of Namib Minerals shares are owned by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock is poised for long-term growth.

Summary

Gold Royalty beats Namib Minerals on 8 of the 13 factors compared between the two stocks.

About Gold Royalty

Gold Royalty Corp., a precious metals-focused royalty company, provides financing solutions to the metals and mining industry. It focuses on acquiring royalties, streams, and similar interests at varying stages of the mine life cycle to build a portfolio offering near, medium, and longer-term returns for its investors. Gold Royalty Corp. was incorporated in 2020 and is headquartered in Vancouver, Canada.

About Namib Minerals

Namib Minerals is a gold producer, developer and explorer with operations focused principally in Zimbabwe. Namib Minerals, formerly known as Hennessy Capital Investment Corp. VI, is based in New York.