DRDGOLD Limited (DRD) vs Novagold Resources Inc. (NG)

DRDGOLD Limited and Novagold Resources Inc. are both Gold companies. Novagold Resources Inc. is the larger, with a market value of $3.2B against $2.2B — 1.4× the size. Novagold Resources Inc. has negative trailing earnings, so its P/E is not meaningful; DRDGOLD Limited trades at 155×. Novagold Resources Inc. grew revenue faster over the last twelve months: 18.2% against −1.51%. DRDGOLD Limited has the higher net margin (22.5% vs 0.00%) and the higher return on invested capital (0.00% vs −19.1%). Across the 14 metrics below, DRDGOLD Limited leads on 11 and Novagold Resources Inc. on 3.

Valuation

Metric DRD NG Gold median
P/E 154.65 n/m 23.34
P/S 3.49 n/m 5.02
P/B 2.89 7.43 3.53
Price to free cash flow 8.60 n/m 16.73
EV/EBITDA 11.01 n/m 8.34
EV/Sales 3.23 n/m 4.92
Earnings yield 0.65% (2.41%) 1.44%
Free cash flow yield 11.63% (0.57%) 0.75%

Profitability

Metric DRD NG Gold median
Gross margin 26.89% 0.00% 50.00%
Operating margin 0.00% 0.00% 26.32%
Net margin 22.53% 0.00% 12.30%
Free cash flow margin 0.00% 0.00% 0.00%
Return on equity 0.00% (24.63%) 6.36%
Return on assets 0.00% (15.56%) 0.00%
Return on invested capital 0.00% (19.10%) 0.52%

Growth

Metric DRD NG Gold median
Revenue growth (TTM) (1.51%) 18.16% 68.15%
EPS growth (last fiscal year) 107.69% (78.57%) —
Revenue growth, 5-year CAGR 13.97% — 16.12%
Net income growth, 5-year CAGR 21.83% 0.00% 0.00%

Health

Metric DRD NG Gold median
Debt to equity 0.00 0.41 0.10
Current ratio 3.62 112.82 3.08
Net debt to EBITDA (0.44) (1.08) 0.00

Dividend

Metric DRD NG Gold median
Dividend yield 4.19% — 1.49%
Payout ratio 0.46 0.00 0.00

Size

Metric DRD NG Gold median
Market cap 2.19b 3.15b 1.96b

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