Amerigo Resources (OTCMKTS:ARREF) and Minco Capital (OTCMKTS:MGHCF) Head to Head Review

Amerigo Resources (OTCMKTS:ARREF) and Minco Capital (OTCMKTS:MGHCF) are both small-cap basic materials companies, but which is the superior business? We will contrast the two businesses based on the strength of their earnings, valuation, profitability, analyst recommendations, dividends, institutional ownership and risk.

Volatility and Risk

Amerigo Resources has a beta of 3.07, suggesting that its share price is 207% more volatile than the S&P 500. Comparatively, Minco Capital has a beta of 1.21, suggesting that its share price is 21% more volatile than the S&P 500.

Valuation and Earnings

This table compares Amerigo Resources and Minco Capital’s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Amerigo Resources	$157.46 million	1.37	$3.38 million	($0.01)	-129.87
Minco Capital	N/A	N/A	-$1.04 million	($0.04)	-0.83

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

Profitability

This table compares Amerigo Resources and Minco Capital’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Amerigo Resources	-0.96%	-1.33%	-0.70%
Minco Capital	N/A	-30.65%	-29.49%

Analyst Ratings

This is a breakdown of current recommendations and price targets for Amerigo Resources and Minco Capital, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Amerigo Resources	0	0	0	0	N/A
Minco Capital	0	0	0	0	N/A

Summary

Amerigo Resources beats Minco Capital on 6 of the 8 factors compared between the two stocks.

About Amerigo Resources

Amerigo Resources Ltd., through its subsidiary, Minera Valle Central S.A., engages in the production and sale of copper and molybdenum concentrates from Codelco's El Teniente underground mine in Chile. The company was formerly known as Golden Temple Mining Corp. and changed its name to Amerigo Resources Ltd. in March 2002. The company was incorporated in 1984 and is headquartered in Vancouver, 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.