Gem Diamonds (LON:GEMD) and Vast Resources (LON:VAST) are both small-cap basic materials companies, but which is the better business? We will compare the two companies based on the strength of their profitability, analyst recommendations, dividends, earnings, risk, valuation and institutional ownership.
Analyst Ratings
This is a summary of current ratings and recommmendations for Gem Diamonds and Vast Resources, as provided by MarketBeat.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score |
---|
Gem Diamonds | 0 | 4 | 1 | 0 | 2.20 |
Vast Resources | 0 | 0 | 0 | 0 | N/A |
Gem Diamonds currently has a consensus target price of GBX 40.75, suggesting a potential downside of 22.53%. Given Gem Diamonds' higher probable upside, equities analysts plainly believe Gem Diamonds is more favorable than Vast Resources.
Profitability
This table compares Gem Diamonds and Vast Resources' net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets |
---|
Gem Diamonds | N/A | N/A | N/A |
Vast Resources | N/A | N/A | N/A |
Earnings & Valuation
This table compares Gem Diamonds and Vast Resources' revenue, earnings per share (EPS) and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio |
---|
Gem Diamonds | £160.25 million | 0.46 | N/A | GBX (2.40) | -21.92 |
Vast Resources | £1.03 million | 20.04 | N/A | GBX (0.10) | -0.97 |
Gem Diamonds is trading at a lower price-to-earnings ratio than Vast Resources, indicating that it is currently the more affordable of the two stocks.