Critical Analysis: Kinross Gold (NYSE:KGC) & Eldorado Gold (OTCMKTS:ELDXF)

Eldorado Gold (OTCMKTS:ELDXF) and Kinross Gold (NYSE:KGC) are both mining companies, but which is the superior stock? We will compare the two businesses based on the strength of their risk, institutional ownership, earnings, dividends, analyst recommendations, valuation and profitability.

Insider and Institutional Ownership

63.7% of Kinross Gold shares are held by institutional investors. 1.0% of Kinross Gold shares are held by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company will outperform the market over the long term.

Profitability

This table compares Eldorado Gold and Kinross Gold’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Eldorado Gold	N/A	N/A	N/A
Kinross Gold	15.23%	11.49%	6.95%

Earnings & Valuation

This table compares Eldorado Gold and Kinross Gold”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Eldorado Gold	N/A	N/A	N/A	N/A	N/A
Kinross Gold	$4.85 billion	2.36	$416.30 million	$0.61	15.26

Kinross Gold has higher revenue and earnings than Eldorado Gold.

Analyst Ratings

This is a summary of current ratings and price targets for Eldorado Gold and Kinross Gold, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Eldorado Gold	0	0	0	0	0.00
Kinross Gold	0	1	2	0	2.67

Kinross Gold has a consensus price target of $11.13, indicating a potential upside of 19.50%. Given Kinross Gold’s stronger consensus rating and higher probable upside, analysts plainly believe Kinross Gold is more favorable than Eldorado Gold.

Summary

Kinross Gold beats Eldorado Gold on 9 of the 9 factors compared between the two stocks.

About Eldorado Gold

Eldorado Gold Corporation, together with its subsidiaries, engages in the mining, exploration, development, and sale of mineral products primarily in Turkey, Canada, Greece, and Romania. The company primarily produces gold, as well as silver, lead, and zinc. It holds a 100% interest in the Kisladag and Efemcukuru gold mines located in western Turkey; 100% interest in Lamaque gold mines located in Canada; and Olympias, Stratoni, Skouries, Perama Hill, and Sapes gold mines located in Greece, as well as the 80.5% interest in Certej development projects located in Romania. The company was formerly known as Eldorado Corporation Ltd. and changed its name to Eldorado Gold Corporation in April 1996. Eldorado Gold Corporation was incorporated in 1992 and is headquartered in Vancouver, Canada.

About Kinross Gold

Kinross Gold Corporation, together with its subsidiaries, engages in the acquisition, exploration, and development of gold properties principally in the United States, Brazil, Chile, Canada, and Mauritania. The company operates the Fort Knox mine and the Manh Choh project in Alaska, as well as the Round Mountain and the Bald Mountain mines in Nevada, the United States; the Paracatu mine in Brazil; the La Coipa and the Lobo-Marte project in Chile; the Tasiast mine in Mauritania; and the Great Bear project in Canada. It is also involved in the extraction and processing of gold-containing ores; reclamation of gold mining properties; and production and sale of silver. Kinross Gold Corporation was founded in 1993 and is headquartered in Toronto, Canada.