Reviewing Osisko Development (NYSE:ODV) and Centerra Gold (NYSE:CGAU)

Osisko Development (NYSE:ODV) and Centerra Gold (NYSE:CGAU) are both small-cap basic materials companies, but which is the superior investment? We will compare the two companies based on the strength of their profitability, dividends, risk, institutional ownership, valuation, analyst recommendations and earnings.

Analyst Ratings

This is a breakdown of recent recommendations and price targets for Osisko Development and Centerra Gold, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Osisko Development	0	0	0	0	0.00
Centerra Gold	0	2	3	0	2.60

Centerra Gold has a consensus target price of $11.00, indicating a potential upside of 77.28%. Given Centerra Gold’s stronger consensus rating and higher probable upside, analysts clearly believe Centerra Gold is more favorable than Osisko Development.

Profitability

This table compares Osisko Development and Centerra Gold’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Osisko Development	-831.24%	-6.20%	-4.65%
Centerra Gold	8.31%	10.34%	7.70%

Earnings and Valuation

This table compares Osisko Development and Centerra Gold”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Osisko Development	$23.43 million	7.47	-$134.73 million	($1.58)	-1.12
Centerra Gold	$1.09 billion	1.20	-$81.28 million	$0.48	12.93

Centerra Gold has higher revenue and earnings than Osisko Development. Osisko Development is trading at a lower price-to-earnings ratio than Centerra Gold, indicating that it is currently the more affordable of the two stocks.

Volatility & Risk

Osisko Development has a beta of 0.67, indicating that its share price is 33% less volatile than the S&P 500. Comparatively, Centerra Gold has a beta of 0.98, indicating that its share price is 2% less volatile than the S&P 500.

Insider & Institutional Ownership

15.2% of Osisko Development shares are owned by institutional investors. Comparatively, 55.4% of Centerra Gold shares are owned by institutional investors. 0.9% of Osisko Development shares are owned by insiders. Comparatively, 0.2% of Centerra Gold shares are owned by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company is poised for long-term growth.

Summary

Centerra Gold beats Osisko Development on 12 of the 14 factors compared between the two stocks.

About Osisko Development

Osisko Development Corp. acquires, explores, and develops mineral properties in Canada, Mexico, and the United States. It explores for gold; and precious and base metals. The company's flagship asset is the Cariboo Gold Project covering an area of approximately 155,000 hectares consisting of 415 mineral titles located in British Columbia, Canada. It also holds a portfolio of marketable securities. Osisko Development Corp. is based in Montréal, Canada.

About Centerra Gold

Centerra Gold Inc., a gold mining company, engages in the acquisition, exploration, development, and operation of gold and copper properties in North America, Turkey, and internationally. The company explores for gold, copper, and molybdenum deposits. Its flagship projects are the 100% owned Mount Milligan gold-copper mine located in British Columbia, Canada; and the Öksüt gold mine located in Turkey. The company was incorporated in 2002 and is based in Toronto, Canada.