Head-To-Head Contrast: Osisko Development (NYSE:ODV) & Gold Resource (NYSE:GORO)

Osisko Development (NYSE:ODV) and Gold Resource (NYSE:GORO) are both small-cap basic materials companies, but which is the better investment? We will compare the two businesses based on the strength of their risk, valuation, institutional ownership, analyst recommendations, earnings, profitability and dividends.

Analyst Recommendations

This is a summary of recent ratings and price targets for Osisko Development and Gold Resource, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Osisko Development	0	0	0	0	0.00
Gold Resource	0	0	1	0	3.00

Gold Resource has a consensus target price of $1.75, suggesting a potential upside of 387.87%. Given Gold Resource’s stronger consensus rating and higher probable upside, analysts clearly believe Gold Resource is more favorable than Osisko Development.

Profitability

This table compares Osisko Development and Gold Resource’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Osisko Development	-1,817.64%	-11.51%	-8.41%
Gold Resource	-61.31%	-35.25%	-16.15%

Risk and Volatility

Osisko Development has a beta of 0.68, suggesting that its stock price is 32% less volatile than the S&P 500. Comparatively, Gold Resource has a beta of 1.53, suggesting that its stock price is 53% more volatile than the S&P 500.

Institutional & Insider Ownership

15.2% of Osisko Development shares are held by institutional investors. Comparatively, 18.4% of Gold Resource shares are held by institutional investors. 0.9% of Osisko Development shares are held by insiders. Comparatively, 2.5% of Gold Resource shares are held by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock will outperform the market over the long term.

Valuation & Earnings

This table compares Osisko Development and Gold Resource”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Osisko Development	$23.43 million	8.43	-$134.73 million	($1.81)	-0.80
Gold Resource	$73.90 million	0.46	-$16.02 million	($0.49)	-0.73

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

Summary

Gold Resource beats Osisko Development on 11 of the 14 factors compared between the two stocks.

About Osisko Development

Osisko Development Corp. acquires, explores, and develops mineral properties in Canada, Mexico, and the United States. It explores for gold; and precious and base metals. The company's flagship asset is the Cariboo Gold Project covering an area of approximately 155,000 hectares consisting of 415 mineral titles located in British Columbia, Canada. It also holds a portfolio of marketable securities. Osisko Development Corp. is based in Montréal, Canada.

About Gold Resource

Gold Resource Corporation engages in the exploration, development, and production of gold and silver projects in Mexico and the United States. The company also explores for copper, lead, and zinc deposits. Its principal assets are the 100% owned Don David gold mine and Back Forty project covering approximately 1,304 hectares located in Menominee county, Michigan. The company was incorporated in 1998 and is headquartered in Denver, Colorado.