Coeur Mining (NYSE:CDE) vs. SSAB (OTCMKTS:SSAAY) Financial Comparison

SSAB (OTCMKTS:SSAAY) and Coeur Mining (NYSE:CDE) are both large-cap materials companies, but which is the better business? We will contrast the two companies based on the strength of their profitability, dividends, analyst recommendations, institutional ownership, valuation, risk and earnings.

Analyst Recommendations

This is a summary of recent recommendations for SSAB and Coeur Mining, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
SSAB	0	2	3	0	2.60
Coeur Mining	0	4	9	1	2.79

Coeur Mining has a consensus target price of $25.50, suggesting a potential upside of 43.07%. Given Coeur Mining’s stronger consensus rating and higher possible upside, analysts plainly believe Coeur Mining is more favorable than SSAB.

Institutional and Insider Ownership

63.0% of Coeur Mining shares are owned by institutional investors. 0.9% of Coeur Mining shares are owned by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock will outperform the market over the long term.

Dividends

SSAB pays an annual dividend of $0.05 per share and has a dividend yield of 0.9%. Coeur Mining pays an annual dividend of $0.04 per share and has a dividend yield of 0.2%. SSAB pays out 16.7% of its earnings in the form of a dividend. Coeur Mining pays out 3.4% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years.

Valuation and Earnings

This table compares SSAB and Coeur Mining”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
SSAB	$9.84 billion	1.09	$500.98 million	$0.30	18.00
Coeur Mining	$2.07 billion	8.85	$585.87 million	$1.17	15.23

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

Profitability

This table compares SSAB and Coeur Mining’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
SSAB	5.73%	8.18%	5.26%
Coeur Mining	26.82%	11.03%	7.57%

Risk & Volatility

SSAB has a beta of 1.42, indicating that its share price is 42% more volatile than the S&P 500. Comparatively, Coeur Mining has a beta of 1.39, indicating that its share price is 39% more volatile than the S&P 500.

Summary

Coeur Mining beats SSAB on 13 of the 17 factors compared between the two stocks.

About SSAB

SSAB AB (publ) produces and sells steel products in Sweden, Finland, Rest of Europe, the United States, and internationally. It operates through five segments: SSAB Special Steels, SSAB Europe, SSAB Americas, Tibnor, and Ruukki Construction. The SSAB Special Steels segment offers quenched and tempered steels, and advanced high-strength steel products for steel and plate production. The SSAB Europe segment provides strip, heavy plate, and tubular products. The SSAB Americas segment sells heavy plates for steel and plate production. The Tibnor segment distributes a range of steel and non-ferrous metals in the Nordics and Baltics. The Ruukki Construction segment produces and sells energy-efficient building and construction solutions. It markets its steel products under the Strenx, Hardox, Docol, GreenCoat, Toolox, Armox, Duroxite, SSAB AM, SSAB Boron, SSAB Domex, SSAB Form, SSAB Laser, SSAB Weathering, Cor-Ten, and SSAB Multisteel brands. The company's products are used by customers in the heavy transport, construction and infrastructure, industrial applications, construction machinery, energy, and material handling markets. SSAB AB (publ) was founded in 1878 and is headquartered in Stockholm, Sweden.

About Coeur Mining

Coeur Mining, Inc. explores for precious metals in the United States, Canada, and Mexico. The company primarily explores for gold, silver, zinc, and lead properties. It markets and sells its concentrates to third-party customers, smelters, under off-take agreements. The company was formerly known as Coeur d'Alene Mines Corporation and changed its name to Coeur Mining, Inc. in May 2013. Coeur Mining, Inc. was incorporated in 1928 and is headquartered in Chicago, Illinois.