Critical Review: Paladin Energy (PALAF) vs. Its Peers

Paladin Energy (OTCMKTS:PALAF) is one of 103 public companies in the “MINING – MISC” industry, but how does it compare to its competitors? We will compare Paladin Energy to similar companies based on the strength of its analyst recommendations, institutional ownership, valuation, earnings, risk, profitability and dividends.

Volatility and Risk

Paladin Energy has a beta of 1.54, indicating that its stock price is 54% more volatile than the S&P 500. Comparatively, Paladin Energy’s competitors have a beta of 0.61, indicating that their average stock price is 39% less volatile than the S&P 500.

Valuation & Earnings

This table compares Paladin Energy and its competitors gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Paladin Energy	$177.68 million	-$44.64 million	-43.75
Paladin Energy Competitors	$10.01 billion	$439.04 million	-17.02

Paladin Energy’s competitors have higher revenue and earnings than Paladin Energy. Paladin Energy is trading at a lower price-to-earnings ratio than its competitors, indicating that it is currently more affordable than other companies in its industry.

Insider & Institutional Ownership

0.0% of Paladin Energy shares are owned by institutional investors. Comparatively, 35.5% of shares of all “MINING – MISC” companies are owned by institutional investors. 9.4% of shares of all “MINING – MISC” companies are owned by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock will outperform the market over the long term.

Profitability

This table compares Paladin Energy and its competitors’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Paladin Energy	N/A	N/A	N/A
Paladin Energy Competitors	-853.98%	-10.22%	-3.55%

Analyst Recommendations

This is a breakdown of recent ratings and recommmendations for Paladin Energy and its competitors, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Paladin Energy	0	3	0	0	2.00
Paladin Energy Competitors	769	1855	3541	173	2.49

As a group, “MINING – MISC” companies have a potential upside of 13.82%. Given Paladin Energy’s competitors stronger consensus rating and higher probable upside, analysts clearly believe Paladin Energy has less favorable growth aspects than its competitors.

Summary

Paladin Energy competitors beat Paladin Energy on 9 of the 13 factors compared.

Paladin Energy Company Profile

Paladin Energy Ltd develops, explores for, owns, and operates uranium mines in Australia, Canada, and Africa. The company operates through Exploration, Namibia, and Australia segments. Its flagship project is the Langer Heinrich mine located in the Namib Desert in Namibia. The company was formerly known as Paladin Resources Ltd and changed its name to Paladin Energy Limited in November 2007. Paladin Energy Ltd was incorporated in 1993 and is headquartered in Perth, Australia.