Financial Review: Aris Mining (NYSE:ARMN) versus SilverCrest Metals (NYSE:SILV)

SilverCrest Metals (NYSE:SILV) and Aris Mining (NYSE:ARMN) are both small-cap basic materials companies, but which is the better business? We will contrast the two businesses based on the strength of their valuation, dividends, earnings, analyst recommendations, profitability, institutional ownership and risk.

Risk and Volatility

SilverCrest Metals has a beta of 1.21, suggesting that its share price is 21% more volatile than the S&P 500. Comparatively, Aris Mining has a beta of -0.46, suggesting that its share price is 146% less volatile than the S&P 500.

Earnings & Valuation

This table compares SilverCrest Metals and Aris Mining”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
SilverCrest Metals	$245.13 million	7.03	$116.72 million	$0.57	20.26
Aris Mining	$510.60 million	1.82	$11.42 million	$0.04	135.50

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

Analyst Ratings

This is a breakdown of recent ratings and target prices for SilverCrest Metals and Aris Mining, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
SilverCrest Metals	0	2	1	0	2.33
Aris Mining	0	0	0	0	0.00

SilverCrest Metals currently has a consensus price target of $10.13, suggesting a potential downside of 12.34%. Given SilverCrest Metals’ stronger consensus rating and higher probable upside, analysts clearly believe SilverCrest Metals is more favorable than Aris Mining.

Insider & Institutional Ownership

44.8% of SilverCrest Metals shares are owned by institutional investors. Comparatively, 35.8% of Aris Mining shares are owned by institutional investors. 4.1% of SilverCrest Metals shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company will outperform the market over the long term.

Profitability

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

	Net Margins	Return on Equity	Return on Assets
SilverCrest Metals	30.85%	23.35%	20.98%
Aris Mining	-0.66%	4.97%	2.70%

Summary

SilverCrest Metals beats Aris Mining on 13 of the 14 factors compared between the two stocks.

About SilverCrest Metals

SilverCrest Metals Inc. engages in the acquiring, exploration, and development of precious metal properties in Mexico. The company primarily explores for silver and gold properties. Its focuses on principal property the Las Chispas Mine that consists of 28 concessions totaling of approximately 1,401 hectares located in Sonora, Mexico, as well as operates a portfolio of El Picacho, Cruz de Mayo, and Angel de Plata properties in Sonora Mexico. The company was incorporated in 2015 and is headquartered in Vancouver, Canada.

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.