Analyzing Entrée Resources (OTCMKTS:ERLFF) & B2Gold (NYSE:BTG)

Entrée Resources (OTCMKTS:ERLFF) and B2Gold (NYSE:BTG) are both basic materials companies, but which is the better stock? We will contrast the two companies based on the strength of their analyst recommendations, valuation, institutional ownership, risk, earnings, dividends and profitability.

Institutional & Insider Ownership

61.4% of B2Gold shares are held by institutional investors. 3.4% of Entrée Resources shares are held by company insiders. Comparatively, 1.2% of B2Gold shares are held by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company will outperform the market over the long term.

Volatility and Risk

Entrée Resources has a beta of 0.99, indicating that its stock price is 1% less volatile than the S&P 500. Comparatively, B2Gold has a beta of 1.09, indicating that its stock price is 9% more volatile than the S&P 500.

Analyst Ratings

This is a summary of current ratings and recommmendations for Entrée Resources and B2Gold, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Entrée Resources	0	1	0	0	2.00
B2Gold	1	5	1	0	2.00

B2Gold has a consensus price target of $4.02, indicating a potential upside of 49.88%. Given B2Gold’s higher possible upside, analysts plainly believe B2Gold is more favorable than Entrée Resources.

Profitability

This table compares Entrée Resources and B2Gold’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Entrée Resources	N/A	N/A	-183.33%
B2Gold	-33.12%	5.65%	4.06%

Valuation & Earnings

This table compares Entrée Resources and B2Gold”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Entrée Resources	N/A	N/A	-$9.58 million	($0.05)	-31.29
B2Gold	$1.90 billion	1.86	$10.10 million	($0.48)	-5.58

B2Gold has higher revenue and earnings than Entrée Resources. Entrée Resources is trading at a lower price-to-earnings ratio than B2Gold, indicating that it is currently the more affordable of the two stocks.

Summary

B2Gold beats Entrée Resources on 9 of the 12 factors compared between the two stocks.

About Entrée Resources

Entrée Resources Ltd., a mining company, engages in the exploration, evaluation, and development of mineral property interests in Canada. Its principal asset is the Entrée/Oyu Tolgoi joint venture property comprising Hugo North Extension copper-gold deposit and the Heruga copper-gold-molybdenum deposit located in Mongolia. The company was formerly known as Entrée Gold Inc. and changed its name to Entrée Resources Ltd. in May 2017. Entrée Resources Ltd. was incorporated in 1995 and is headquartered in Vancouver, Canada.

About B2Gold

B2Gold Corp. operates as a gold producer company. It operates the Fekola Mine in Mali, the Masbate Mine in the Philippines, and the Otjikoto Mine in Namibia. The company also has an 100% interest in the Gramalote gold project in Colombia; 24% interest in the Calibre Mining Corp.; and approximately 19% interest in BeMetals Corp. In addition, it has a portfolio of other evaluation and exploration assets in Mali and Finland. The company was incorporated in 2006 and is headquartered in Vancouver, Canada.