Analyzing Pan American Silver (NYSE:PAAS) & Osisko Mining (OTCMKTS:OBNNF)

Osisko Mining (OTCMKTS:OBNNF) and Pan American Silver (NYSE:PAAS) are both basic materials companies, but which is the superior business? We will contrast the two companies based on the strength of their dividends, analyst recommendations, risk, valuation, institutional ownership, earnings and profitability.

Analyst Recommendations

This is a breakdown of recent ratings for Osisko Mining and Pan American Silver, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Osisko Mining	0	0	1	0	3.00
Pan American Silver	0	1	5	0	2.83

Osisko Mining currently has a consensus price target of $3.50, suggesting a potential downside of 1.96%. Pan American Silver has a consensus price target of $24.64, suggesting a potential upside of 20.62%. Given Pan American Silver’s higher probable upside, analysts plainly believe Pan American Silver is more favorable than Osisko Mining.

Insider & Institutional Ownership

55.4% of Pan American Silver shares are held by institutional investors. 12.9% of Pan American Silver shares are held by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company will outperform the market over the long term.

Profitability

This table compares Osisko Mining and Pan American Silver’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Osisko Mining	N/A	-0.50%	-0.41%
Pan American Silver	-5.54%	0.66%	0.44%

Valuation and Earnings

This table compares Osisko Mining and Pan American Silver”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Osisko Mining	N/A	N/A	$165.48 million	$0.42	8.50
Pan American Silver	$2.57 billion	2.88	-$103.70 million	($0.46)	-44.41

Osisko Mining has higher earnings, but lower revenue than Pan American Silver. Pan American Silver is trading at a lower price-to-earnings ratio than Osisko Mining, indicating that it is currently the more affordable of the two stocks.

Summary

Pan American Silver beats Osisko Mining on 7 of the 12 factors compared between the two stocks.

About Osisko Mining

Osisko Mining Inc., a mineral exploration company, engages in the acquisition, exploration, and development of precious mineral deposits in Canada. The company primarily explores for gold deposits. It holds interest in the Windfall Lake Project, Quévillon Osborne Project, and Urban-Barry Project located in Québec, Canada; and Phoenix Properties located in Québec, Canada. The company was formerly known as Oban Mining Corporation and changed its name to Osisko Mining Inc. in June 2016. Osisko Mining Inc. is headquartered in Toronto, Canada.

About Pan American Silver

Pan American Silver Corp. engages in the exploration, mine development, extraction, processing, refining, and reclamation of silver, gold, zinc, lead, and copper mines in Canada, Mexico, Peru, Bolivia, Argentina, Chile, and Brazil. The company was formerly known as Pan American Minerals Corp. and changed its name to Pan American Silver Corp. in April 1995. Pan American Silver Corp. was incorporated in 1979 and is headquartered in Vancouver, Canada.