Financial Comparison: Teck Resources (NYSE:TECK) vs. Santa Fe Gold (OTCMKTS:SFEG)

Teck Resources (NYSE:TECK) and Santa Fe Gold (OTCMKTS:SFEG) are both basic materials companies, but which is the superior investment? We will compare the two businesses based on the strength of their institutional ownership, valuation, risk, earnings, dividends, profitability and analyst recommendations.

Profitability

This table compares Teck Resources and Santa Fe Gold’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Teck Resources	11.93%	4.14%	2.41%
Santa Fe Gold	N/A	N/A	N/A

Institutional and Insider Ownership

78.1% of Teck Resources shares are owned by institutional investors. 0.1% of Teck Resources shares are owned by insiders. Comparatively, 3.7% of Santa Fe Gold shares are owned by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company is poised for long-term growth.

Valuation and Earnings

This table compares Teck Resources and Santa Fe Gold”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Teck Resources	$10.48 billion	2.00	$296.30 million	$1.78	24.57
Santa Fe Gold	N/A	N/A	N/A	N/A	N/A

Teck Resources has higher revenue and earnings than Santa Fe Gold.

Analyst Recommendations

This is a breakdown of recent recommendations and price targets for Teck Resources and Santa Fe Gold, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Teck Resources	1	13	8	1	2.39
Santa Fe Gold	0	0	0	0	0.00

Teck Resources presently has a consensus price target of $55.71, indicating a potential upside of 27.41%. Given Teck Resources’ stronger consensus rating and higher possible upside, equities research analysts plainly believe Teck Resources is more favorable than Santa Fe Gold.

Summary

Teck Resources beats Santa Fe Gold on 9 of the 10 factors compared between the two stocks.

About Teck Resources

Teck Resources Limited engages in exploring for, acquiring, developing, and producing natural resources in Asia, Europe, and North America. The company operates through Steelmaking Coal, Copper, Zinc, and Energy segments. Its principal products include copper, zinc, steelmaking coal, and blended bitumen. The company also produces lead, silver, and molybdenum; and various specialty and other metals, chemicals, and fertilizers. In addition, it explores for gold. The company was formerly known as Teck Cominco Limited and changed its name to Teck Resources Limited in April 2009. The company was founded in 1913 and is headquartered in Vancouver, Canada.

About Santa Fe Gold

Santa Fe Gold Corporation, a mining company, acquires, explores, develops, and produces mineral properties in the United States. The company primarily explores for precious metals, gold, and silver deposits. The company was founded in 1991 and is based in Albuquerque, New Mexico.