Critical Survey: DPM Metals (OTCMKTS:DPMLF) vs. Loncor Gold (OTCMKTS:LONCF)

DPM Metals (OTCMKTS:DPMLF) and Loncor Gold (OTCMKTS:LONCF) are both basic materials companies, but which is the superior investment? We will compare the two businesses based on the strength of their profitability, dividends, valuation, earnings, analyst recommendations, risk and institutional ownership.

Analyst Recommendations

This is a breakdown of current ratings and recommmendations for DPM Metals and Loncor Gold, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
DPM Metals	0	2	3	2	3.00
Loncor Gold	0	0	0	0	0.00

Profitability

This table compares DPM Metals and Loncor Gold’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
DPM Metals	44.92%	24.75%	20.81%
Loncor Gold	N/A	-20.25%	-18.98%

Earnings and Valuation

This table compares DPM Metals and Loncor Gold”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
DPM Metals	$950.48 million	7.78	$369.23 million	$2.49	13.43
Loncor Gold	N/A	N/A	-$4.16 million	($0.03)	-33.83

DPM Metals has higher revenue and earnings than Loncor Gold. Loncor Gold is trading at a lower price-to-earnings ratio than DPM Metals, indicating that it is currently the more affordable of the two stocks.

Volatility & Risk

DPM Metals has a beta of 0.65, indicating that its share price is 35% less volatile than the S&P 500. Comparatively, Loncor Gold has a beta of 0.74, indicating that its share price is 26% less volatile than the S&P 500.

Summary

DPM Metals beats Loncor Gold on 10 of the 11 factors compared between the two stocks.

About DPM Metals

Dundee Precious Metals Inc., a gold mining company, engages in the acquisition, exploration, development, mining, and processing of precious metals. The company primarily explores for gold, copper, and silver deposits. It holds a portfolio of projects located in Bulgaria, Namibia, Serbia, and Ecuador. The company is based in Toronto, Canada.

About Loncor Gold

Loncor Gold Inc., a gold exploration company, engages in the acquisition, exploration, and development of precious metal projects in the Ngayu greenstone belt in the northeast of the Democratic Republic of the Congo and Canada. It explores for gold and platinum deposits. The company holds 84.68% interest in the Adumbi project, which consist of two mining licenses covering an area of 361 square kilometers located within the Archaean Ngayu Greenstone Belt in the Ituri and Haut Uele provinces in northeastern Congo. It also holds 100% interest in the Isiro properties that consist of 11 exploration permits covering an area of 1,884 square kilometers situated in the province of Haut Uele, northeastern Congo. In addition, Loncor Gold Inc. owns interest in North Kivu, Ngayu, Devon, Navarro, and Yindi projects. The company was formerly known as Loncor Resources Inc. and changed its name to Loncor Gold Inc. in June 2021. Loncor Gold Inc. was founded in 1993 and is headquartered in Toronto, Canada.