Augusta Gold (OTCMKTS:BFGCD) vs. New Gold (NYSE:NGD) Head-To-Head Analysis

New Gold (NYSE:NGD) and Augusta Gold (OTCMKTS:BFGCD) are both basic materials companies, but which is the superior business? We will contrast the two businesses based on the strength of their earnings, profitability, institutional ownership, valuation, dividends, analyst recommendations and risk.

Analyst Recommendations

This is a breakdown of recent ratings for New Gold and Augusta Gold, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
New Gold	0	1	3	2	3.17
Augusta Gold	0	0	0	0	0.00

New Gold currently has a consensus target price of $3.41, indicating a potential upside of 31.76%. Given New Gold’s stronger consensus rating and higher probable upside, analysts plainly believe New Gold is more favorable than Augusta Gold.

Risk & Volatility

New Gold has a beta of 1.32, suggesting that its share price is 32% more volatile than the S&P 500. Comparatively, Augusta Gold has a beta of 1.19, suggesting that its share price is 19% more volatile than the S&P 500.

Valuation & Earnings

This table compares New Gold and Augusta Gold”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
New Gold	$861.50 million	2.38	-$64.50 million	$0.02	129.50
Augusta Gold	N/A	N/A	N/A	($0.12)	-7.39

Augusta Gold has lower revenue, but higher earnings than New Gold. Augusta Gold is trading at a lower price-to-earnings ratio than New Gold, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares New Gold and Augusta Gold’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
New Gold	2.33%	9.38%	3.87%
Augusta Gold	N/A	N/A	N/A

Institutional and Insider Ownership

42.8% of New Gold shares are owned by institutional investors. 0.2% of New Gold shares are owned by insiders. Comparatively, 13.0% of Augusta Gold shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company will outperform the market over the long term.

Summary

New Gold beats Augusta Gold on 12 of the 13 factors compared between the two stocks.

About New Gold

New Gold Inc., an intermediate gold mining company, develops and operates of mineral properties in Canada. It primarily explores for gold, silver, and copper deposits. The company’s principal operating properties include 100% interest in the Rainy River mine located in Northwestern Ontario, Canada; and New Afton project situated in South-Central British Columbia. New Gold Inc. is headquartered in Toronto, Canada.

About Augusta Gold

Augusta Gold Corp., a junior exploration company, engages in the acquisition and exploration of mineral properties in the United States. It primarily explores for gold, silver, and other metals. The company holds interests in the Bullfrog gold project located in the Bullfrog Hills of Nye County, Nevada. It also owns, controls, or has acquired mineral rights on Federal patented and unpatented mining claims in the state of Nevada for the purpose of exploration and potential development of metals on a total of approximately 7,800 acres of land. The company was formerly known as Bullfrog Gold Corp. and changed its name to Augusta Gold Corp. in January 2021. Augusta Gold Corp. was incorporated in 2007 and is headquartered in Vancouver, Canada.