Critical Analysis: Aris Mining (NYSE:ARMN) versus Vista Gold (NYSE:VGZ)

Aris Mining (NYSE:ARMN) and Vista Gold (NYSE:VGZ) 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 profitability, institutional ownership, valuation, risk, analyst recommendations, earnings and dividends.

Insider & Institutional Ownership

35.8% of Aris Mining shares are held by institutional investors. Comparatively, 27.3% of Vista Gold shares are held by institutional investors. 4.2% of Vista Gold shares are held by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company is poised for long-term growth.

Valuation and Earnings

This table compares Aris Mining and Vista Gold”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Aris Mining	$447.67 million	1.72	$11.42 million	$0.08	56.50
Vista Gold	N/A	N/A	-$6.59 million	$0.09	7.18

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

Risk & Volatility

Aris Mining has a beta of 0.35, meaning that its share price is 65% less volatile than the S&P 500. Comparatively, Vista Gold has a beta of 1.73, meaning that its share price is 73% more volatile than the S&P 500.

Profitability

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

	Net Margins	Return on Equity	Return on Assets
Aris Mining	2.46%	6.00%	3.06%
Vista Gold	N/A	93.43%	68.97%

Analyst Recommendations

This is a breakdown of recent recommendations for Aris Mining and Vista Gold, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Aris Mining	0	0	0	0	N/A
Vista Gold	0	0	1	0	3.00

Vista Gold has a consensus target price of $2.75, suggesting a potential upside of 325.70%. Given Vista Gold’s higher possible upside, analysts plainly believe Vista Gold is more favorable than Aris Mining.

Summary

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

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.

About Vista Gold

Vista Gold Corp., together with its subsidiaries, acquires, explores, evaluates, and advances gold exploration and development projects in Australia. Its flagship asset is the 100% owned Mt Todd gold project located in Northern Territory, Australia. The company was incorporated in 1983 and is based in Englewood, Colorado.