Head to Head Analysis: Osisko Mining (OTCMKTS:OBNNF) versus Fortuna Silver Mines (NYSE:FSM)

Fortuna Silver Mines (NYSE:FSM) and Osisko Mining (OTCMKTS:OBNNF) are both small-cap basic materials companies, but which is the superior stock? We will compare the two companies based on the strength of their earnings, institutional ownership, dividends, risk, valuation, profitability and analyst recommendations.

Analyst Ratings

This is a breakdown of current ratings and target prices for Fortuna Silver Mines and Osisko Mining, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Fortuna Silver Mines	0	1	0	0	2.00
Osisko Mining	0	0	1	0	3.00

Fortuna Silver Mines currently has a consensus price target of $7.63, suggesting a potential upside of 58.85%. Osisko Mining has a consensus price target of $3.50, suggesting a potential upside of 62.79%. Given Osisko Mining’s stronger consensus rating and higher possible upside, analysts plainly believe Osisko Mining is more favorable than Fortuna Silver Mines.

Profitability

This table compares Fortuna Silver Mines and Osisko Mining’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Fortuna Silver Mines	-5.99%	5.03%	3.34%
Osisko Mining	N/A	-1.00%	-0.81%

Insider and Institutional Ownership

33.8% of Fortuna Silver Mines shares are held by institutional investors. 1.0% of Fortuna Silver Mines shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company is poised for long-term growth.

Earnings & Valuation

This table compares Fortuna Silver Mines and Osisko Mining’s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Fortuna Silver Mines	$842.43 million	1.74	-$50.84 million	($0.16)	-30.00
Osisko Mining	N/A	N/A	$165.48 million	$0.42	5.12

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

Summary

Osisko Mining beats Fortuna Silver Mines on 7 of the 12 factors compared between the two stocks.

About Fortuna Silver Mines

Fortuna Silver Mines Inc. engages in the precious and base metal mining in Argentina, Burkina Faso, Mexico, Peru, and Côte d'Ivoire. It operates through Mansfield, Sanu, Sango, Cuzcatlan, Bateas, and Corporate segments. The company primarily explores for silver, lead, zinc, and gold. Its flagship project is the Séguéla gold mine, which consists of approximately 62,000 hectares and is located in the Worodougou Region of the Woroba District, Côte d'Ivoire. The company was formerly known as Fortuna Ventures Inc. and changed its name to Fortuna Silver Mines Inc. in June 2005. Fortuna Silver Mines Inc. was incorporated in 1990 and is based in Vancouver, Canada.

About Osisko Mining

Osisko Mining Inc., a mineral exploration company, engages in the acquisition, exploration, and development of precious mineral deposits in Canada. The company primarily explores for gold deposits. It holds interest in the Windfall Lake Project, Quévillon Osborne Project, and Urban-Barry Project located in Québec, Canada; and Phoenix Properties located in Québec, Canada. The company was formerly known as Oban Mining Corporation and changed its name to Osisko Mining Inc. in June 2016. Osisko Mining Inc. is headquartered in Toronto, Canada.