Analyzing Harmony Gold Mining (NYSE:HMY) & Pelangio Exploration (OTCMKTS:PGXPF)

by · The Cerbat Gem

Pelangio Exploration (OTCMKTS:PGXPFGet Free Report) and Harmony Gold Mining (NYSE:HMYGet Free Report) are both basic materials companies, but which is the better stock? We will compare the two companies based on the strength of their valuation, earnings, analyst recommendations, institutional ownership, dividends, risk and profitability.

Institutional and Insider Ownership

31.8% of Harmony Gold Mining shares are owned by institutional investors. 16.0% of Harmony Gold Mining shares are owned by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company is poised for long-term growth.

Risk & Volatility

Pelangio Exploration has a beta of 0.01, meaning that its stock price is 99% less volatile than the S&P 500. Comparatively, Harmony Gold Mining has a beta of 0.95, meaning that its stock price is 5% less volatile than the S&P 500.

Profitability

This table compares Pelangio Exploration and Harmony Gold Mining’s net margins, return on equity and return on assets.

Net MarginsReturn on EquityReturn on Assets
Pelangio ExplorationN/A-778.64%-87.35%
Harmony Gold MiningN/AN/AN/A

Valuation & Earnings

This table compares Pelangio Exploration and Harmony Gold Mining”s revenue, earnings per share (EPS) and valuation.

Gross RevenuePrice/Sales RatioNet IncomeEarnings Per SharePrice/Earnings Ratio
Pelangio ExplorationN/AN/A-$550,000.00N/AN/A
Harmony Gold Mining$4.07 billion3.41$792.56 millionN/AN/A

Harmony Gold Mining has higher revenue and earnings than Pelangio Exploration.

Analyst Ratings

This is a summary of current ratings and price targets for Pelangio Exploration and Harmony Gold Mining, as reported by MarketBeat.

Sell RatingsHold RatingsBuy RatingsStrong Buy RatingsRating Score
Pelangio Exploration00000.00
Harmony Gold Mining03212.67

Harmony Gold Mining has a consensus target price of $16.00, suggesting a potential downside of 26.61%. Given Harmony Gold Mining’s stronger consensus rating and higher probable upside, analysts clearly believe Harmony Gold Mining is more favorable than Pelangio Exploration.

Summary

Harmony Gold Mining beats Pelangio Exploration on 11 of the 11 factors compared between the two stocks.

About Pelangio Exploration

(Get Free Report)

Pelangio Exploration Inc., a mineral exploration company, engages in acquiring, exploring, and developing mineral properties. It holds interests in various gold properties in Ghana and Canada. The company was incorporated in 2008 and is headquartered in Toronto, Canada.

About Harmony Gold Mining

(Get Free Report)

Harmony Gold Mining Company Limited engages in the exploration, extraction, and processing of gold. The company explores for uranium, silver, copper, and molybdenum deposits. It has eight underground operations in the Witwatersrand Basin; an open-pit mine on the Kraaipan Greenstone Belt; and various surface source operations in South Africa. In addition, the company owns interests in the Hidden Valley, an open-pit gold and silver mine; and the Wafi-Golpu project located in Morobe Province in Papua New Guinea. Further, it holds interest in Rosby and Eva Copper Project located in Queensland, Australia. Harmony Gold Mining Company Limited was incorporated in 1950 and is headquartered in Randfontein, South Africa.