Financial Analysis: Fortuna Silver Mines (NYSE:FSM) and Vox Royalty (NASDAQ:VOXR)

Fortuna Silver Mines (NYSE:FSM) and Vox Royalty (NASDAQ:VOXR) are both small-cap basic materials companies, but which is the superior investment? We will contrast the two businesses based on the strength of their risk, analyst recommendations, earnings, dividends, valuation, profitability and institutional ownership.

Institutional & Insider Ownership

33.8% of Fortuna Silver Mines shares are held by institutional investors. Comparatively, 46.0% of Vox Royalty shares are held by institutional investors. 1.0% of Fortuna Silver Mines shares are held by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company will outperform the market over the long term.

Risk and Volatility

Fortuna Silver Mines has a beta of 1.55, meaning that its share price is 55% more volatile than the S&P 500. Comparatively, Vox Royalty has a beta of 0.83, meaning that its share price is 17% less volatile than the S&P 500.

Profitability

This table compares Fortuna Silver Mines and Vox Royalty’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Fortuna Silver Mines	2.45%	10.08%	6.87%
Vox Royalty	-9.88%	-0.54%	-0.46%

Valuation and Earnings

This table compares Fortuna Silver Mines and Vox Royalty”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Fortuna Silver Mines	$842.43 million	1.75	-$50.84 million	$0.08	58.88
Vox Royalty	$11.15 million	11.25	-$100,000.00	($0.02)	-124.00

Vox Royalty has lower revenue, but higher earnings than Fortuna Silver Mines. Vox Royalty is trading at a lower price-to-earnings ratio than Fortuna Silver Mines, indicating that it is currently the more affordable of the two stocks.

Analyst Recommendations

This is a breakdown of recent recommendations and price targets for Fortuna Silver Mines and Vox Royalty, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Fortuna Silver Mines	0	1	0	0	2.00
Vox Royalty	0	0	0	0	0.00

Fortuna Silver Mines currently has a consensus price target of $6.50, suggesting a potential upside of 38.00%. Given Fortuna Silver Mines’ stronger consensus rating and higher probable upside, equities research analysts clearly believe Fortuna Silver Mines is more favorable than Vox Royalty.

Summary

Fortuna Silver Mines beats Vox Royalty on 10 of the 13 factors compared between the two stocks.

About Fortuna Silver Mines

Fortuna Mining Corp. engages in the precious and base metal mining in Argentina, Burkina Faso, Mexico, Peru, and Côte d’Ivoire. It operates through Mansfield, Sanu, Sango, Cuzcatlan, Bateas, and Corporate segments. The company primarily explores for silver, lead, zinc, and gold. Its flagship project is the Séguéla gold mine, which consists of approximately 62,000 hectares and is located in the Worodougou Region of the Woroba District, Côte d’Ivoire. The company was formerly known as Fortuna Silver Mines Inc. and changed its name to Fortuna Mining Corp. in June 2024. Fortuna Mining Corp. was incorporated in 1990 and is based in Vancouver, Canada.

About Vox Royalty

Vox Royalty Corp. operates as a mining royalty and streaming company. The company holds a portfolio of 60 royalties and streaming assets. It operates in Australia, Canada, Peru, Brazil, South Africa, Mexico, and the United States. Vox Royalty Corp. was founded in 2014 and is based in Toronto, Canada.