Perpetua Resources (NASDAQ:PPTA) and Deep Yellow (OTCMKTS:DYLLF) Financial Review

Perpetua Resources (NASDAQ:PPTA) and Deep Yellow (OTCMKTS:DYLLF) are both basic materials companies, but which is the superior business? We will compare the two businesses based on the strength of their profitability, analyst recommendations, dividends, risk, earnings, valuation and institutional ownership.

Analyst Ratings

This is a breakdown of recent ratings and target prices for Perpetua Resources and Deep Yellow, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Perpetua Resources	1	0	6	1	2.88
Deep Yellow	0	1	0	0	2.00

Perpetua Resources presently has a consensus target price of $35.00, suggesting a potential upside of 19.17%. Deep Yellow has a consensus target price of $1.85, suggesting a potential upside of 54.17%. Given Deep Yellow’s higher probable upside, analysts clearly believe Deep Yellow is more favorable than Perpetua Resources.

Valuation & Earnings

This table compares Perpetua Resources and Deep Yellow”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Perpetua Resources	N/A	N/A	-$14.48 million	($1.05)	-27.97
Deep Yellow	$7.51 million	155.46	$4.64 million	N/A	N/A

Deep Yellow has higher revenue and earnings than Perpetua Resources.

Risk and Volatility

Perpetua Resources has a beta of 0.15, meaning that its stock price is 85% less volatile than the S&P 500. Comparatively, Deep Yellow has a beta of 0.96, meaning that its stock price is 4% less volatile than the S&P 500.

Insider & Institutional Ownership

70.1% of Perpetua Resources shares are held by institutional investors. 1.5% of Perpetua Resources shares are held by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company will outperform the market over the long term.

Profitability

This table compares Perpetua Resources and Deep Yellow’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Perpetua Resources	N/A	-14.14%	-13.71%
Deep Yellow	N/A	N/A	N/A

Summary

Deep Yellow beats Perpetua Resources on 6 of the 11 factors compared between the two stocks.

About Perpetua Resources

Perpetua Resources Corp. engages in the exploration and development of mineral properties in the United States. The company primarily explores for gold, silver, and antimony deposits. Its principal asset is the 100% owned Stibnite Gold project, which includes 1,672 unpatented lode claims, mill sites, and patented land holdings covering an area of approximately 11,548 hectares located in Valley County, Idaho. The company was formerly known as Midas Gold Corp. and changed its name to Perpetua Resources Corp. in February 2021. Perpetua Resources Corp. was incorporated in 2011 and is headquartered in Boise, Idaho.

About Deep Yellow

Deep Yellow Limited, together with its subsidiaries, operates as a uranium exploration company in Namibia. The company holds a 100% interest in the Reptile project, which covers an area of 896 square kilometers (km2); 65% interest in the Nova Joint Venture covering an area of 599 km2; and 85% interest in the Yellow Dune Joint Venture covering an area of 190 km2. It is involved in the iron ore exploration and property investment businesses. The company was incorporated in 1985 and is headquartered in Subiaco, Australia.