Reviewing Franco-Nevada (NYSE:FNV) & Eldorado Gold (OTCMKTS:ELDXF)

Franco-Nevada (NYSE:FNV) and Eldorado Gold (OTCMKTS:ELDXF) are both basic materials companies, but which is the superior stock? We will contrast the two companies based on the strength of their valuation, analyst recommendations, earnings, institutional ownership, profitability, risk and dividends.

Earnings and Valuation

This table compares Franco-Nevada and Eldorado Gold”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Franco-Nevada	$1.11 billion	26.86	-$466.40 million	$2.86	54.32
Eldorado Gold	N/A	N/A	N/A	N/A	N/A

Eldorado Gold has lower revenue, but higher earnings than Franco-Nevada.

Profitability

This table compares Franco-Nevada and Eldorado Gold’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Franco-Nevada	-55.28%	10.55%	10.09%
Eldorado Gold	N/A	N/A	N/A

Analyst Ratings

This is a breakdown of recent ratings and price targets for Franco-Nevada and Eldorado Gold, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Franco-Nevada	0	5	6	0	2.55
Eldorado Gold	0	0	0	0	0.00

Franco-Nevada presently has a consensus target price of $155.50, indicating a potential upside of 0.09%. Given Franco-Nevada’s stronger consensus rating and higher possible upside, research analysts plainly believe Franco-Nevada is more favorable than Eldorado Gold.

Institutional & Insider Ownership

77.1% of Franco-Nevada shares are owned by institutional investors. 0.7% of Franco-Nevada shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company is poised for long-term growth.

Summary

Franco-Nevada beats Eldorado Gold on 8 of the 9 factors compared between the two stocks.

About Franco-Nevada

Franco-Nevada Corporation operates as a gold-focused royalty and streaming company in South America, Central America, Mexico, the United States, Canada, and internationally. It operates through Mining and Energy segments. The company manages its portfolio with a focus on precious metals, such as gold, silver, and platinum group metals; and engages in the sale of crude oil, natural gas, and natural gas liquids through a third-party marketing agent. Franco-Nevada Corporation was founded in 1986 and is headquartered in Toronto, Canada.

About Eldorado Gold

Eldorado Gold Corporation, together with its subsidiaries, engages in the mining, exploration, development, and sale of mineral products primarily in Turkey, Canada, Greece, and Romania. The company primarily produces gold, as well as silver, lead, and zinc. It holds a 100% interest in the Kisladag and Efemcukuru gold mines located in western Turkey; 100% interest in Lamaque gold mines located in Canada; and Olympias, Stratoni, Skouries, Perama Hill, and Sapes gold mines located in Greece, as well as the 80.5% interest in Certej development projects located in Romania. The company was formerly known as Eldorado Corporation Ltd. and changed its name to Eldorado Gold Corporation in April 1996. Eldorado Gold Corporation was incorporated in 1992 and is headquartered in Vancouver, Canada.