Perpetua Resources (NASDAQ:PPTA) versus Franklin Mining (OTCMKTS:FMNJ) Critical Contrast

Perpetua Resources (NASDAQ:PPTA) and Franklin Mining (OTCMKTS:FMNJ) are both small-cap basic materials companies, but which is the better business? We will compare the two companies based on the strength of their dividends, analyst recommendations, risk, profitability, institutional ownership, valuation and earnings.

Volatility & Risk

Perpetua Resources has a beta of 0.22, suggesting that its share price is 78% less volatile than the S&P 500. Comparatively, Franklin Mining has a beta of -0.37, suggesting that its share price is 137% less volatile than the S&P 500.

Analyst Recommendations

This is a breakdown of current recommendations for Perpetua Resources and Franklin Mining, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Perpetua Resources	0	0	3	0	3.00
Franklin Mining	0	0	0	0	0.00

Perpetua Resources presently has a consensus price target of $18.50, suggesting a potential upside of 57.05%. Given Perpetua Resources’ stronger consensus rating and higher probable upside, research analysts clearly believe Perpetua Resources is more favorable than Franklin Mining.

Earnings & Valuation

This table compares Perpetua Resources and Franklin Mining”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Perpetua Resources	N/A	N/A	-$18.77 million	($0.22)	-53.55
Franklin Mining	N/A	N/A	-$430,000.00	($0.03)	-0.04

Perpetua Resources is trading at a lower price-to-earnings ratio than Franklin Mining, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares Perpetua Resources and Franklin Mining’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Perpetua Resources	N/A	-19.48%	-17.08%
Franklin Mining	N/A	N/A	N/A

Insider and Institutional Ownership

70.1% of Perpetua Resources shares are held by institutional investors. 1.9% of Perpetua Resources shares are held by company insiders. Comparatively, 20.0% of Franklin Mining shares are held by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock is poised for long-term growth.

Summary

Franklin Mining beats Perpetua Resources on 6 of the 11 factors compared between the two stocks.

About Perpetua Resources

Perpetua Resources Corp. engages in the exploration and development of mineral properties in the United States. The company primarily explores for gold, silver, and antimony deposits. Its principal asset is the 100% owned Stibnite Gold project, which includes 1,672 unpatented lode claims, mill sites, and patented land holdings covering an area of approximately 11,548 hectares located in Valley County, Idaho. The company was formerly known as Midas Gold Corp. and changed its name to Perpetua Resources Corp. in February 2021. Perpetua Resources Corp. was incorporated in 2011 and is headquartered in Boise, Idaho.

About Franklin Mining

Franklin Mining, Inc., a mining and exploration company, acquires and develops mineral properties. The company explores for gold, silver, lead, and zinc deposits. It owns interests in the La Joya mining concession in Bolivia; and Madre de Dios Area, Ch-Mine, and Los Totems project in Peru. The company was formerly known as WCM Capital, Inc. Franklin Mining, Inc. was founded in 1864 and is based in Carson City, Nevada.