Analyzing Franklin Mining (OTCMKTS:FMNJ) and U.S. GoldMining (NASDAQ:USGO)

Franklin Mining (OTCMKTS:FMNJ) and U.S. GoldMining (NASDAQ:USGO) are both small-cap basic materials companies, but which is the superior business? We will contrast the two companies based on the strength of their dividends, analyst recommendations, institutional ownership, risk, profitability, earnings and valuation.

Profitability

This table compares Franklin Mining and U.S. GoldMining’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Franklin Mining	N/A	N/A	N/A
U.S. GoldMining	N/A	-71.04%	-65.02%

Insider and Institutional Ownership

0.5% of U.S. GoldMining shares are held by institutional investors. 20.0% of Franklin Mining shares are held by company insiders. Comparatively, 2.0% of U.S. GoldMining shares are held by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock is poised for long-term growth.

Analyst Recommendations

This is a breakdown of recent ratings and price targets for Franklin Mining and U.S. GoldMining, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Franklin Mining	0	0	0	0	0.00
U.S. GoldMining	0	0	1	0	3.00

U.S. GoldMining has a consensus price target of $26.50, indicating a potential upside of 155.05%. Given U.S. GoldMining’s stronger consensus rating and higher possible upside, analysts clearly believe U.S. GoldMining is more favorable than Franklin Mining.

Volatility & Risk

Franklin Mining has a beta of 1.96, meaning that its share price is 96% more volatile than the S&P 500. Comparatively, U.S. GoldMining has a beta of 2.43, meaning that its share price is 143% more volatile than the S&P 500.

Earnings & Valuation

This table compares Franklin Mining and U.S. GoldMining”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Franklin Mining	N/A	N/A	-$430,000.00	($0.03)	-0.04
U.S. GoldMining	N/A	N/A	-$9.36 million	N/A	N/A

Summary

U.S. GoldMining beats Franklin Mining on 5 of the 9 factors compared between the two stocks.

About Franklin Mining

Franklin Mining, Inc., a mining and exploration company, acquires and develops mineral properties. The company explores for gold, silver, lead, and zinc deposits. It owns interests in the La Joya mining concession in Bolivia; and Madre de Dios Area, Ch-Mine, and Los Totems project in Peru. The company was formerly known as WCM Capital, Inc. Franklin Mining, Inc. was founded in 1864 and is based in Carson City, Nevada.

About U.S. GoldMining

U.S. GoldMining Inc., an exploration stage company, engages in the exploration and development of mineral properties in the United States. The company's primary asset is the 100%-owned Whistler exploration property, a gold-copper exploration project comprising mining claims totaling 53,700 acres located in Yentna Mining District, Alaska. The company was incorporated in 2015 and is based in Vancouver, Canada. U.S. GoldMining Inc. operates as a subsidiary of GoldMining Inc.