Comparing TMC the metals (NASDAQ:TMC) and McEwen (NYSE:MUX)

TMC the metals (NASDAQ:TMC) and McEwen (NYSE:MUX) are both basic materials companies, but which is the superior business? We will compare the two companies based on the strength of their analyst recommendations, risk, profitability, dividends, valuation, institutional ownership and earnings.

Profitability

This table compares TMC the metals and McEwen’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
TMC the metals	N/A	-1,240.46%	-90.71%
McEwen	-8.05%	-2.76%	-1.94%

Institutional and Insider Ownership

4.4% of TMC the metals shares are held by institutional investors. Comparatively, 17.0% of McEwen shares are held by institutional investors. 27.6% of TMC the metals shares are held by company insiders. Comparatively, 16.1% of McEwen 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.

Volatility and Risk

TMC the metals has a beta of 1.64, indicating that its stock price is 64% more volatile than the S&P 500. Comparatively, McEwen has a beta of 0.96, indicating that its stock price is 4% less volatile than the S&P 500.

Analyst Recommendations

This is a summary of current ratings and price targets for TMC the metals and McEwen, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
TMC the metals	0	1	3	0	2.75
McEwen	0	0	4	1	3.20

TMC the metals currently has a consensus target price of $7.33, suggesting a potential upside of 27.09%. McEwen has a consensus target price of $14.83, suggesting a potential downside of 0.88%. Given TMC the metals’ higher probable upside, analysts clearly believe TMC the metals is more favorable than McEwen.

Valuation and Earnings

This table compares TMC the metals and McEwen”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
TMC the metals	N/A	N/A	-$81.94 million	($0.37)	-15.59
McEwen	$174.48 million	4.64	-$43.69 million	($0.25)	-59.86

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

Summary

McEwen beats TMC the metals on 9 of the 14 factors compared between the two stocks.

About TMC the metals

TMC the metals company Inc., a deep-sea minerals exploration company, focuses on the collection, processing, and refining of polymetallic nodules found on the seafloor in California. It primarily explores for nickel, cobalt, copper, and manganese products. The company holds exploration and commercial rights in three polymetallic nodule contract areas in the Clarion Clipperton Zone of the Pacific Ocean. Its products are used in electric vehicles (EV), renewable energy storage markets, EV wiring, energy transmission, manganese alloy production required for steel production, and other applications. The company was formerly known as Sustainable Opportunities Acquisition Corporation and changed its name to TMC the metals company Inc. TMC the metals company Inc. was founded in 2011 and is based in Vancouver, Canada.

About McEwen

McEwen Mining Inc. engages in the exploration, development, production, and sale of gold and silver. It also explores for copper deposits. The company owns 100% interests in the El Gallo and Fenix projects located in Mexico; and the Black Fox Mine and Stock Mill, Grey Fox, and Froome and Tamarack properties in Canada. It also owns interests in the Fuller, Davidson-Tisdale, Buffalo Ankerite, and Paymaster exploration properties located in Canada; and a 49% interest in the San José mine located in Argentina. In addition, the company owns 100% interests in the Gold Bar and Tonkin properties located in Eureka County, Nevada; and interests in the Los Azules copper project located in the cordilleran region in the province of San Juan, Argentina. The company was formerly known as US Gold Corporation and changed its name to McEwen Mining Inc. in January 2012. McEwen Mining Inc. was founded in 1979 and is headquartered in Toronto, Canada.