Head to Head Comparison: Aris Mining (NYSE:ARMN) and TRX Gold (NYSE:TRX)

TRX Gold (NYSE:TRX) and Aris Mining (NYSE:ARMN) are both small-cap basic materials companies, but which is the superior business? We will contrast the two companies based on the strength of their risk, dividends, profitability, valuation, institutional ownership, earnings and analyst recommendations.

Profitability

This table compares TRX Gold and Aris Mining’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
TRX Gold	1.84%	-0.80%	-0.55%
Aris Mining	-0.66%	4.97%	2.70%

Analyst Ratings

This is a summary of recent ratings and recommmendations for TRX Gold and Aris Mining, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
TRX Gold	0	0	2	0	3.00
Aris Mining	0	0	0	0	0.00

TRX Gold presently has a consensus price target of $1.63, indicating a potential upside of 384.50%. Given TRX Gold’s stronger consensus rating and higher probable upside, equities analysts plainly believe TRX Gold is more favorable than Aris Mining.

Volatility & Risk

TRX Gold has a beta of 0.32, suggesting that its share price is 68% less volatile than the S&P 500. Comparatively, Aris Mining has a beta of -0.2, suggesting that its share price is 120% less volatile than the S&P 500.

Institutional and Insider Ownership

1.1% of TRX Gold shares are owned by institutional investors. Comparatively, 35.8% of Aris Mining shares are owned by institutional investors. 2.3% of TRX Gold shares are owned by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock will outperform the market over the long term.

Valuation and Earnings

This table compares TRX Gold and Aris Mining”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
TRX Gold	$41.16 million	2.27	-$470,000.00	N/A	N/A
Aris Mining	$447.67 million	1.45	$11.42 million	($0.02)	-189.50

Aris Mining has higher revenue and earnings than TRX Gold.

Summary

TRX Gold beats Aris Mining on 7 of the 12 factors compared between the two stocks.

About TRX Gold

TRX Gold Corporation engages in the exploration, development, and production of mineral property interests in the United Republic of Tanzania. The company primarily explores for gold deposits. It holds interests in the Buckreef gold project that comprises a single Special Mining License covering an area of 16.04 square kilometers and 12 Prospecting Licenses covering 98.19 square kilometers located in north-central Tanzania. The company was formerly known as Tanzanian Gold Corporation and changed its name to TRX Gold Corporation in May 2022. TRX Gold Corporation was incorporated in 1990 and is based in Oakville, Canada.

About Aris Mining

Aris Mining Corporation, together with its subsidiaries, engages in the acquisition, exploration, development, and operation of gold properties in Canada, Colombia, and Guyana. It also explores for silver and copper deposits. The company was formerly known as GCM Mining Corp. and changed its name to Aris Mining Corporation in September 2022. Aris Mining Corporation is based in Vancouver, Canada.