Head to Head Contrast: Newmont (NYSE:NEM) & Osisko Development (NYSE:ODV)

Newmont (NYSE:NEM) and Osisko Development (NYSE:ODV) are both basic materials companies, but which is the better investment? We will contrast the two businesses based on the strength of their analyst recommendations, earnings, risk, dividends, profitability, institutional ownership and valuation.

Volatility & Risk

Newmont has a beta of 0.5, meaning that its share price is 50% less volatile than the S&P 500. Comparatively, Osisko Development has a beta of 0.68, meaning that its share price is 32% less volatile than the S&P 500.

Valuation and Earnings

This table compares Newmont and Osisko Development”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Newmont	$11.81 billion	4.16	-$2.49 billion	($1.52)	-28.36
Osisko Development	$23.43 million	9.41	-$134.73 million	($1.81)	-0.89

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

Institutional & Insider Ownership

68.9% of Newmont shares are held by institutional investors. Comparatively, 15.2% of Osisko Development shares are held by institutional investors. 0.1% of Newmont shares are held by insiders. Comparatively, 0.9% of Osisko Development shares are held by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company will outperform the market over the long term.

Profitability

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

	Net Margins	Return on Equity	Return on Assets
Newmont	-7.03%	9.80%	5.18%
Osisko Development	-1,817.64%	-11.51%	-8.41%

Analyst Ratings

This is a summary of recent ratings and recommmendations for Newmont and Osisko Development, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Newmont	1	7	8	2	2.61
Osisko Development	0	0	0	0	0.00

Newmont currently has a consensus price target of $53.44, suggesting a potential upside of 23.96%. Given Newmont’s stronger consensus rating and higher possible upside, analysts plainly believe Newmont is more favorable than Osisko Development.

Summary

Newmont beats Osisko Development on 10 of the 15 factors compared between the two stocks.

About Newmont

Newmont Corporation engages in the production and exploration of gold. It also explores for copper, silver, zinc, and lead. The company has operations and/or assets in the United States, Canada, Mexico, Dominican Republic, Peru, Suriname, Argentina, Chile, Australia, Papua New Guinea, Ecuador, Fiji, and Ghana. The company was founded in 1916 and is headquartered in Denver, Colorado.

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.