Gold Royalty (NYSE:GROY) and Skeena Resources (NYSE:SKE) Head-To-Head Survey

Skeena Resources (NYSE:SKE) and Gold Royalty (NYSE:GROY) are both small-cap oils/energy companies, but which is the superior investment? We will contrast the two businesses based on the strength of their earnings, valuation, institutional ownership, risk, profitability, dividends and analyst recommendations.

Analyst Ratings

This is a breakdown of recent recommendations for Skeena Resources and Gold Royalty, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Skeena Resources	0	0	0	0	0.00
Gold Royalty	0	0	3	0	3.00

Gold Royalty has a consensus target price of $3.25, indicating a potential upside of 156.92%. Given Gold Royalty’s stronger consensus rating and higher possible upside, analysts plainly believe Gold Royalty is more favorable than Skeena Resources.

Profitability

This table compares Skeena Resources and Gold Royalty’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Skeena Resources	N/A	-115.76%	-67.22%
Gold Royalty	-252.16%	0.46%	0.35%

Volatility and Risk

Skeena Resources has a beta of 1.26, indicating that its share price is 26% more volatile than the S&P 500. Comparatively, Gold Royalty has a beta of 0.87, indicating that its share price is 13% less volatile than the S&P 500.

Earnings and Valuation

This table compares Skeena Resources and Gold Royalty”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Skeena Resources	N/A	N/A	-$80.73 million	($1.37)	-6.77
Gold Royalty	$3.05 million	70.12	-$26.76 million	($0.13)	-9.73

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

Institutional & Insider Ownership

45.2% of Skeena Resources shares are held by institutional investors. Comparatively, 33.8% of Gold Royalty shares are held by institutional investors. 2.0% of Skeena Resources shares are held by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock will outperform the market over the long term.

Summary

Gold Royalty beats Skeena Resources on 8 of the 12 factors compared between the two stocks.

About Skeena Resources

Skeena Resources Limited explores for and develops mineral properties in Canada. The company explores for gold, silver, copper, and other precious metal deposits. It holds 100% interests in the Snip gold mine comprising one mining lease and nine mineral tenures that covers an area of approximately 4,724 hectares; and the Eskay Creek gold mine that consists of eight mineral leases, two surface leases, and various unpatented mining claims comprising 7,666 hectares located in British Columbia, Canada. The company was formerly known as Prolific Resources Ltd. and changed its name to Skeena Resources Limited in June 1990. Skeena Resources Limited was incorporated in 1979 and is based in Vancouver, Canada.

About Gold Royalty

Gold Royalty Corp., a precious metals-focused royalty company, provides financing solutions to the metals and mining industry. It focuses on acquiring royalties, streams, and similar interests at varying stages of the mine life cycle to build a portfolio offering near, medium, and longer-term returns for its investors. Gold Royalty Corp. was incorporated in 2020 and is headquartered in Vancouver, Canada.