Comparing Diamcor Mining (OTCMKTS:DMIFF) and HudBay Minerals (NYSE:HBM)

HudBay Minerals (NYSE:HBM) and Diamcor Mining (OTCMKTS:DMIFF) are both basic materials companies, but which is the superior investment? We will compare the two businesses based on the strength of their profitability, institutional ownership, dividends, risk, analyst recommendations, earnings and valuation.

Profitability

This table compares HudBay Minerals and Diamcor Mining’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
HudBay Minerals	13.13%	10.73%	5.28%
Diamcor Mining	N/A	N/A	N/A

Institutional & Insider Ownership

57.8% of HudBay Minerals shares are held by institutional investors. 0.3% of HudBay Minerals shares are held by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock will outperform the market over the long term.

Earnings and Valuation

This table compares HudBay Minerals and Diamcor Mining”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
HudBay Minerals	$2.20 billion	2.90	$76.70 million	$0.73	22.10
Diamcor Mining	$830,000.00	0.83	-$4.81 million	($0.01)	-0.41

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

Volatility and Risk

HudBay Minerals has a beta of 1.58, suggesting that its share price is 58% more volatile than the S&P 500. Comparatively, Diamcor Mining has a beta of 1.35, suggesting that its share price is 35% more volatile than the S&P 500.

Analyst Recommendations

This is a summary of current ratings and price targets for HudBay Minerals and Diamcor Mining, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
HudBay Minerals	0	0	10	3	3.23
Diamcor Mining	0	0	0	0	0.00

HudBay Minerals currently has a consensus price target of $19.50, indicating a potential upside of 20.89%. Given HudBay Minerals’ stronger consensus rating and higher possible upside, equities analysts clearly believe HudBay Minerals is more favorable than Diamcor Mining.

Summary

HudBay Minerals beats Diamcor Mining on 15 of the 15 factors compared between the two stocks.

About HudBay Minerals

Hudbay Minerals Inc., a diversified mining company, focuses on the exploration, development, operation, and optimization of properties in North and South America. It produces copper concentrates containing gold, silver, and molybdenum; gold concentrates containing zinc; zinc concentrates; molybdenum concentrates; and silver/gold doré. The company's flagship project is the 100% owned Constancia mine located in the Province of Chumbivilcas in southern Peru. Hudbay Minerals Inc. was founded in 1927 and is based in Toronto, Canada.

About Diamcor Mining

Diamcor Mining Inc., a junior mining and exploration company, identifies, acquires, explores for, evaluates, operates, and develops diamond-based resource properties. It holds interests in the Krone-Endora at Venetia project that consists of Krone 104MS and Endora 66MS farms covering a combined surface area of approximately 5,888 hectares located in South Africa. The company was incorporated in 1985 and is based in Kelowna, Canada.