Lundin Gold (LUG) Competitors

Lundin Gold (TSE:LUG) and Wheaton Precious Metals (TSE:WPM) are both large-cap basic materials companies, but which is the better investment? We will contrast the two businesses based on the strength of their profitability, valuation, analyst recommendations, media sentiment, dividends, risk, institutional ownership and earnings.

Which has preferable valuation and earnings, LUG or WPM?

Wheaton Precious Metals has higher revenue and earnings than Lundin Gold. Lundin Gold is trading at a lower price-to-earnings ratio than Wheaton Precious Metals, indicating that it is currently the more affordable of the two stocks.

Company	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Lundin Gold	C$730.61M	18.51	C$215.94M	C$1.78	44.46
Wheaton Precious Metals	C$851.18M	49.17	C$426.03M	C$1.92	68.67

Which has more risk and volatility, LUG or WPM?

Lundin Gold has a beta of 1.23, meaning that its stock price is 23% more volatile than the S&P 500. Comparatively, Wheaton Precious Metals has a beta of 0.7, meaning that its stock price is 30% less volatile than the S&P 500.

Is LUG or WPM more profitable?

Wheaton Precious Metals has a net margin of 50.05% compared to Lundin Gold's net margin of 29.56%. Lundin Gold's return on equity of 29.88% beat Wheaton Precious Metals' return on equity.

Company	Net Margins	Return on Equity	Return on Assets
Lundin Gold	29.56%	29.88%	17.59%
Wheaton Precious Metals	50.05%	8.56%	5.35%

Does the media favor LUG or WPM?

In the previous week, Lundin Gold had 3 more articles in the media than Wheaton Precious Metals. MarketBeat recorded 6 mentions for Lundin Gold and 3 mentions for Wheaton Precious Metals. Wheaton Precious Metals' average media sentiment score of 1.51 beat Lundin Gold's score of 0.58 indicating that Wheaton Precious Metals is being referred to more favorably in the news media.

Company	Very Positive	Positive	Neutral	Negative	Very Negative	Overall Sentiment
Lundin Gold	3 Very Positive mention(s)	0 Positive mention(s)	1 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Positive
Wheaton Precious Metals	3 Very Positive mention(s)	0 Positive mention(s)	0 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Very Positive

Is LUG or WPM a better dividend stock?

Lundin Gold pays an annual dividend of C$1.07 per share and has a dividend yield of 1.4%. Wheaton Precious Metals pays an annual dividend of C$0.84 per share and has a dividend yield of 0.6%. Lundin Gold pays out 60.1% of its earnings in the form of a dividend. Wheaton Precious Metals pays out 43.7% 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.

Do analysts rate LUG or WPM?

Lundin Gold presently has a consensus price target of C$58.95, indicating a potential downside of 25.57%. Wheaton Precious Metals has a consensus price target of C$110.86, indicating a potential downside of 16.00%. Given Wheaton Precious Metals' stronger consensus rating and higher probable upside, analysts clearly believe Wheaton Precious Metals is more favorable than Lundin Gold.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Lundin Gold	1 Sell rating(s)	12 Hold rating(s)	0 Buy rating(s)	0 Strong Buy rating(s)	1.92
Wheaton Precious Metals	0 Sell rating(s)	1 Hold rating(s)	5 Buy rating(s)	3 Strong Buy rating(s)	3.22

Do insiders and institutionals hold more shares of LUG or WPM?

27.8% of Lundin Gold shares are owned by institutional investors. Comparatively, 69.4% of Wheaton Precious Metals shares are owned by institutional investors. 58.7% of Lundin Gold shares are owned by company insiders. Comparatively, 0.1% of Wheaton Precious Metals shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company is poised for long-term growth.

Summary

Wheaton Precious Metals beats Lundin Gold on 13 of the 19 factors compared between the two stocks.