Contrasting MSC Income Fund (NYSE:MSIF) and Noranda Income Fund (OTCMKTS:NNDIF)

Noranda Income Fund (OTCMKTS:NNDIF) and MSC Income Fund (NYSE:MSIF) are both miscellaneous companies, but which is the superior investment? We will contrast the two businesses based on the strength of their risk, analyst recommendations, profitability, institutional ownership, valuation, earnings and dividends.

Profitability

This table compares Noranda Income Fund and MSC Income Fund’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Noranda Income Fund	N/A	N/A	N/A
MSC Income Fund	N/A	N/A	N/A

Valuation and Earnings

This table compares Noranda Income Fund and MSC Income Fund”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Noranda Income Fund	N/A	N/A	N/A	$0.17	8.57
MSC Income Fund	$96.38 million	5.33	-$155,544.55	($0.00)	-3,305.24

Noranda Income Fund has higher earnings, but lower revenue than MSC Income Fund. MSC Income Fund is trading at a lower price-to-earnings ratio than Noranda Income Fund, indicating that it is currently the more affordable of the two stocks.

Analyst Recommendations

This is a breakdown of recent ratings and price targets for Noranda Income Fund and MSC Income Fund, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Noranda Income Fund	0	0	0	0	0.00
MSC Income Fund	0	3	2	1	2.67

MSC Income Fund has a consensus target price of $13.88, indicating a potential upside of 27.25%. Given MSC Income Fund’s stronger consensus rating and higher possible upside, analysts clearly believe MSC Income Fund is more favorable than Noranda Income Fund.

Insider & Institutional Ownership

19.9% of Noranda Income Fund shares are held by institutional investors. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company is poised for long-term growth.

Summary

MSC Income Fund beats Noranda Income Fund on 5 of the 8 factors compared between the two stocks.

About Noranda Income Fund

Noranda Income Fund (”Fund”) is an income trust whose units trade on the TSX under the symbol ”NIF.UN”. The Fund owns the electrolytic zinc processing facility and ancillary assets(”the Processing Facility”) located in Salaberry-de-Valleyfield, Québec. The Processing Facility is the second-largest zinc processing facility in North America and the largest zinc processing facility in eastern North America , where the majority of zinc customers are located. Zinc concentrate is supplied to the Processing Facility by Glencore Canada Corporation (”Glencore Canada”) under an agreement that will last until 2017. The Fund is paid a processing fee for refining the zinc, and it earns additional revenue through zinc metal premiums, by-product credits and metal recovery gains. The Fund’s primary objective is to provide stable, monthly distributions.