Financial Comparison: Lundin Mining (OTCMKTS:LUNMF) & International Tower Hill Mines (NYSE:THM)

International Tower Hill Mines (NYSE:THM – Get Rating) and Lundin Mining (OTCMKTS:LUNMF – Get Rating) are both basic materials companies, but which is the superior investment? We will contrast the two companies based on the strength of their earnings, dividends, profitability, institutional ownership, analyst recommendations, risk and valuation.

Profitability

This table compares International Tower Hill Mines and Lundin Mining’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
International Tower Hill Mines	N/A	-5.21%	-5.18%
Lundin Mining	14.04%	9.11%	6.08%

Volatility and Risk

International Tower Hill Mines has a beta of 0.75, indicating that its share price is 25% less volatile than the S&P 500. Comparatively, Lundin Mining has a beta of 1.55, indicating that its share price is 55% more volatile than the S&P 500.

Valuation & Earnings

This table compares International Tower Hill Mines and Lundin Mining’s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
International Tower Hill Mines	N/A	N/A	-$5.98 million	($0.02)	-27.69
Lundin Mining	$3.04 billion	1.74	$426.90 million	$0.58	11.82

Lundin Mining has higher revenue and earnings than International Tower Hill Mines. International Tower Hill Mines is trading at a lower price-to-earnings ratio than Lundin Mining, indicating that it is currently the more affordable of the two stocks.

Insider & Institutional Ownership

55.3% of International Tower Hill Mines shares are held by institutional investors. Comparatively, 0.1% of Lundin Mining shares are held by institutional investors. 2.7% of International Tower Hill Mines shares are held by insiders. Comparatively, 0.4% of Lundin Mining shares are held by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock is poised for long-term growth.

Analyst Recommendations

This is a breakdown of current ratings and price targets for International Tower Hill Mines and Lundin Mining, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
International Tower Hill Mines	0	0	0	0	N/A
Lundin Mining	1	6	4	0	2.27

Lundin Mining has a consensus price target of $9.71, suggesting a potential upside of 41.64%. Given Lundin Mining’s higher probable upside, analysts clearly believe Lundin Mining is more favorable than International Tower Hill Mines.

Summary

Lundin Mining beats International Tower Hill Mines on 10 of the 12 factors compared between the two stocks.

About International Tower Hill Mines

(Get Rating)

International Tower Hill Mines Ltd. is a mineral exploration company, which engages in the acquisition and exploration of mineral properties. It holds the right to acquire interest in an advanced stage exploration project in Alaska, known as the Livengood Gold Project. The company was founded by Jeffrey A. Pontius on May 26, 1978 and is headquartered in Vancouver, Canada.

About Lundin Mining

(Get Rating)

Lundin Mining Corp. is a metal-based company engaged in mining, exploration and development of mineral properties, primarily in Chile, USA, Portugal, and Sweden. It holds interest in the following projects: Chapada, Candelaria, Eagle, Neves-Corvo, and Zinkgruvan. The company was founded on September 9, 1994 and is headquartered in Toronto, Canada.