Teck Resources (NYSE:TECK) versus Pure Egy Minrls (OTCMKTS:PEMIF) Financial Analysis

Teck Resources (NYSE:TECK) and Pure Egy Minrls (OTCMKTS:PEMIF) are both basic materials companies, but which is the superior investment? We will contrast the two companies based on the strength of their dividends, analyst recommendations, earnings, institutional ownership, valuation, profitability and risk.

Insider & Institutional Ownership

78.1% of Teck Resources shares are held by institutional investors. 0.1% of Teck Resources shares are held by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock will outperform the market over the long term.

Analyst Recommendations

This is a breakdown of current recommendations for Teck Resources and Pure Egy Minrls, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Teck Resources	0	12	8	2	2.55
Pure Egy Minrls	0	0	0	0	0.00

Teck Resources presently has a consensus price target of $53.33, suggesting a potential downside of 3.01%. Given Teck Resources’ stronger consensus rating and higher possible upside, analysts clearly believe Teck Resources is more favorable than Pure Egy Minrls.

Profitability

This table compares Teck Resources and Pure Egy Minrls’ 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%
Pure Egy Minrls	-25.69%	-0.40%	-0.40%

Risk & Volatility

Teck Resources has a beta of 0.8, suggesting that its stock price is 20% less volatile than the S&P 500. Comparatively, Pure Egy Minrls has a beta of 1.04, suggesting that its stock price is 4% more volatile than the S&P 500.

Earnings & Valuation

This table compares Teck Resources and Pure Egy Minrls”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Teck Resources	$10.48 billion	2.52	$296.30 million	$1.78	30.89
Pure Egy Minrls	$400,000.00	21.91	-$180,000.00	N/A	N/A

Teck Resources has higher revenue and earnings than Pure Egy Minrls.

Summary

Teck Resources beats Pure Egy Minrls on 11 of the 13 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 Pure Egy Minrls

Pure Energy Minerals Limited acquires, explores, and develops mineral properties. Its primary project is the Clayton Valley lithium brine project located in Clayton Valley, Esmeralda County, Nevada. The company was formerly known as Harmony Gold Corp. and changed its name to Pure Energy Minerals Limited in October 2012. Pure Energy Minerals Limited is headquartered in Vancouver, Canada.