Analyzing Paradigm Oil and Gas (OTCMKTS:PDGO) and Kinross Gold (NYSE:KGC)

Kinross Gold (NYSE:KGC) and Paradigm Oil and Gas (OTCMKTS:PDGO) are both basic materials companies, but which is the better investment? We will compare the two companies based on the strength of their profitability, dividends, analyst recommendations, risk, institutional ownership, earnings and valuation.

Profitability

This table compares Kinross Gold and Paradigm Oil and Gas’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Kinross Gold	15.23%	11.49%	6.95%
Paradigm Oil and Gas	N/A	N/A	N/A

Institutional and Insider Ownership

63.7% of Kinross Gold shares are held by institutional investors. 1.0% of Kinross Gold shares are held by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock is poised for long-term growth.

Valuation and Earnings

This table compares Kinross Gold and Paradigm Oil and Gas”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Kinross Gold	$4.85 billion	2.37	$416.30 million	$0.61	15.30
Paradigm Oil and Gas	N/A	N/A	-$1.66 million	N/A	N/A

Kinross Gold has higher revenue and earnings than Paradigm Oil and Gas.

Analyst Recommendations

This is a summary of recent ratings and recommmendations for Kinross Gold and Paradigm Oil and Gas, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Kinross Gold	0	1	2	0	2.67
Paradigm Oil and Gas	0	0	0	0	0.00

Kinross Gold presently has a consensus target price of $11.13, indicating a potential upside of 19.24%. Given Kinross Gold’s stronger consensus rating and higher probable upside, research analysts plainly believe Kinross Gold is more favorable than Paradigm Oil and Gas.

Risk & Volatility

Kinross Gold has a beta of 1.22, meaning that its stock price is 22% more volatile than the S&P 500. Comparatively, Paradigm Oil and Gas has a beta of -0.15, meaning that its stock price is 115% less volatile than the S&P 500.

Summary

Kinross Gold beats Paradigm Oil and Gas on 11 of the 11 factors compared between the two stocks.

About Kinross Gold

Kinross Gold Corporation, together with its subsidiaries, engages in the acquisition, exploration, and development of gold properties principally in the United States, Brazil, Chile, Canada, and Mauritania. The company operates the Fort Knox mine and the Manh Choh project in Alaska, as well as the Round Mountain and the Bald Mountain mines in Nevada, the United States; the Paracatu mine in Brazil; the La Coipa and the Lobo-Marte project in Chile; the Tasiast mine in Mauritania; and the Great Bear project in Canada. It is also involved in the extraction and processing of gold-containing ores; reclamation of gold mining properties; and production and sale of silver. Kinross Gold Corporation was founded in 1993 and is headquartered in Toronto, Canada.

About Paradigm Oil and Gas

Paradigm Oil and Gas, Inc., an exploration stage company, engages in the acquisition, exploration, development, and operation of oil and gas properties. It holds interests in 4 oil and gas leases covering approximately 934 net mineral acres located in the Wichita and Navarro counties of Texas. The company is headquartered in Indian Rocks Beach, Florida.