Critical Analysis: Santacruz Silver Mining (SCZM) vs. Its Peers

Santacruz Silver Mining (NASDAQ:SCZM) is one of 1,987 public companies in the “Metals & Mining” industry, but how does it contrast to its rivals? We will compare Santacruz Silver Mining to similar businesses based on the strength of its analyst recommendations, institutional ownership, valuation, profitability, dividends, earnings and risk.

Analyst Ratings

This is a summary of current recommendations and price targets for Santacruz Silver Mining and its rivals, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Santacruz Silver Mining	0	2	1	0	2.33
Santacruz Silver Mining Competitors	6292	22376	31927	1761	2.47

Santacruz Silver Mining currently has a consensus target price of $10.00, suggesting a potential upside of 0.60%. As a group, “Metals & Mining” companies have a potential upside of 17.45%. Given Santacruz Silver Mining’s rivals stronger consensus rating and higher possible upside, analysts plainly believe Santacruz Silver Mining has less favorable growth aspects than its rivals.

Institutional & Insider Ownership

15.9% of shares of all “Metals & Mining” companies are held by institutional investors. 17.7% of shares of all “Metals & Mining” companies are held by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock will outperform the market over the long term.

Valuation & Earnings

This table compares Santacruz Silver Mining and its rivals revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Santacruz Silver Mining	$326.38 million	$42.22 million	31.06
Santacruz Silver Mining Competitors	$4.64 billion	$277.89 million	-26.74

Santacruz Silver Mining’s rivals have higher revenue and earnings than Santacruz Silver Mining. Santacruz Silver Mining is trading at a higher price-to-earnings ratio than its rivals, indicating that it is currently more expensive than other companies in its industry.

Profitability

This table compares Santacruz Silver Mining and its rivals’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Santacruz Silver Mining	9.97%	21.55%	9.49%
Santacruz Silver Mining Competitors	-1,161,736,352,322,426,800.00%	-9.02%	-2.06%

Summary

Santacruz Silver Mining rivals beat Santacruz Silver Mining on 8 of the 12 factors compared.

Santacruz Silver Mining Company Profile

Santacruz Silver Mining Ltd., together with its subsidiaries, engages in the acquisition, exploration, development, and operation of mineral properties in Mexico. The company primarily explores for silver, as well as for gold, zinc, lead, and copper deposits. It primarily holds a 100% interest in the Rosario project located in the municipality of Charcas in the state of San Luis Potosi; and Veta Grande project that include three concession groups, which consists of 184 mining concessions covering an area of 8,944 hectares in the Zacatecas Mining District, Mexico. The company was formerly known as Forte Resources Inc. and changed its name to Santacruz Silver Mining Ltd. in April 2012. Santacruz Silver Mining Ltd. Was incorporated in 2011 and is based in Vancouver, Canada.