Entrée Resources (TSE:ETG) and Major Drilling Group International (TSE:MDI) are both small-cap basic materials companies, but which is the better stock? We will contrast the two businesses based on the strength of their analyst recommendations, institutional ownership, profitability, valuation, dividends, earnings and risk.
Earnings and Valuation
This table compares Entrée Resources and Major Drilling Group International's revenue, earnings per share (EPS) and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio |
---|
Entrée Resources | N/A | N/A | N/A | C($0.04) | -20.00 |
Major Drilling Group International | C$392.74 million | 1.39 | C$-66,609,466.00 | C($0.83) | -8.21 |
Entrée Resources has higher earnings, but lower revenue than Major Drilling Group International. Entrée Resources is trading at a lower price-to-earnings ratio than Major Drilling Group International, indicating that it is currently the more affordable of the two stocks.
Analyst Recommendations
This is a breakdown of current ratings and recommmendations for Entrée Resources and Major Drilling Group International, as reported by MarketBeat.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score |
---|
Entrée Resources | 0 | 1 | 0 | 0 | 2.00 |
Major Drilling Group International | 0 | 0 | 2 | 0 | 3.00 |
Entrée Resources presently has a consensus target price of C$0.60, suggesting a potential downside of 28.57%. Major Drilling Group International has a consensus target price of C$8.63, suggesting a potential upside of 26.84%. Given Major Drilling Group International's stronger consensus rating and higher probable upside, analysts plainly believe Major Drilling Group International is more favorable than Entrée Resources.
Profitability
This table compares Entrée Resources and Major Drilling Group International's net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets |
---|
Entrée Resources | N/A | N/A | N/A |
Major Drilling Group International | N/A | N/A | N/A |
Summary
Major Drilling Group International beats Entrée Resources on 5 of the 6 factors compared between the two stocks.