Petra Diamonds (LON:PDL) and Rambler Metals and Mining (LON:RMM) are both small-cap basic materials companies, but which is the better investment? We will compare the two businesses based on the strength of their institutional ownership, analyst recommendations, dividends, profitability, risk, earnings and valuation.
Valuation & Earnings
This table compares Petra Diamonds and Rambler Metals and Mining's top-line revenue, earnings per share (EPS) and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio |
---|
Petra Diamonds | £280 million | 0.55 | N/A | GBX (10.60) | -0.15 |
Rambler Metals and Mining | £32.34 million | 1.73 | N/A | GBX (0.80) | -0.65 |
Rambler Metals and Mining is trading at a lower price-to-earnings ratio than Petra Diamonds, indicating that it is currently the more affordable of the two stocks.
Analyst Recommendations
This is a breakdown of recent ratings and price targets for Petra Diamonds and Rambler Metals and Mining, as reported by MarketBeat.com.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score |
---|
Petra Diamonds | 1 | 2 | 2 | 0 | 2.20 |
Rambler Metals and Mining | 0 | 0 | 0 | 0 | N/A |
Petra Diamonds currently has a consensus target price of GBX 4, indicating a potential upside of 154.61%. Given Petra Diamonds' higher possible upside, equities analysts plainly believe Petra Diamonds is more favorable than Rambler Metals and Mining.
Profitability
This table compares Petra Diamonds and Rambler Metals and Mining's net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets |
---|
Petra Diamonds | N/A | N/A | N/A |
Rambler Metals and Mining | N/A | N/A | N/A |
Summary
Petra Diamonds beats Rambler Metals and Mining on 4 of the 6 factors compared between the two stocks.