Wheaton Precious Metals Corp (NYSE: SLW) and Silver Wheaton Corp (NYSE:WPM) are both basic materials companies, but which is the superior stock? We will compare the two companies based on the strength of their earnings, institutional ownership, dividends, risk, valuation, profitabiliy and analyst recommendations.
Profitability
This table compares Wheaton Precious Metals Corp and Silver Wheaton Corp’s net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| Wheaton Precious Metals Corp | 30.93% | 4.95% | 4.01% |
| Silver Wheaton Corp | 23.89% | 5.81% | 4.75% |
Earnings & Valuation
This table compares Wheaton Precious Metals Corp and Silver Wheaton Corp’s revenue, earnings per share and valuation.
| Gross Revenue | Price/Sales Ratio | EBITDA | Earnings Per Share | Price/Earnings Ratio | |
| Wheaton Precious Metals Corp | N/A | N/A | N/A | $0.01 | 2,093.09 |
| Silver Wheaton Corp | $902.00 million | 9.58 | $617.05 million | $0.49 | 39.92 |
Silver Wheaton Corp has higher revenue and earnings than Wheaton Precious Metals Corp. Silver Wheaton Corp is trading at a lower price-to-earnings ratio than Wheaton Precious Metals Corp, indicating that it is currently the more affordable of the two stocks.
Insider & Institutional Ownership
49.2% of Wheaton Precious Metals Corp shares are owned by institutional investors. Comparatively, 50.4% of Silver Wheaton Corp shares are owned by institutional investors. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock will outperform the market over the long term.
Dividends
Wheaton Precious Metals Corp pays an annual dividend of $0.24 per share and has a dividend yield of 1.1%. Silver Wheaton Corp pays an annual dividend of $0.28 per share and has a dividend yield of 1.4%. Wheaton Precious Metals Corp pays out 2,402.4% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Silver Wheaton Corp pays out 57.1% of its earnings in the form of a dividend. Silver Wheaton Corp is clearly the better dividend stock, given its higher yield and lower payout ratio.
Analyst Ratings
This is a breakdown of current ratings and target prices for Wheaton Precious Metals Corp and Silver Wheaton Corp, as provided by MarketBeat.com.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| Wheaton Precious Metals Corp | 0 | 2 | 9 | 0 | 2.82 |
| Silver Wheaton Corp | 0 | 1 | 2 | 0 | 2.67 |
Wheaton Precious Metals Corp currently has a consensus price target of $27.70, suggesting a potential upside of 32.47%. Silver Wheaton Corp has a consensus price target of $27.67, suggesting a potential upside of 41.45%. Given Silver Wheaton Corp’s higher possible upside, analysts plainly believe Silver Wheaton Corp is more favorable than Wheaton Precious Metals Corp.
Volatility & Risk
Wheaton Precious Metals Corp has a beta of 0.69, indicating that its share price is 31% less volatile than the S&P 500. Comparatively, Silver Wheaton Corp has a beta of 0.4, indicating that its share price is 60% less volatile than the S&P 500.
Summary
Silver Wheaton Corp beats Wheaton Precious Metals Corp on 8 of the 12 factors compared between the two stocks.
Wheaton Precious Metals Corp Company Profile
Wheaton Precious Metals Corp, formerly Silver Wheaton Corp, is a Canada-based pure precious metals streaming company engaged in the sale of silver and gold. The Company operates through eight segments: the silver produced by the San Dimas, Penasquito and Antamina mines, the gold produced by the Sudbury and Salobo mines, the silver and gold produced by the Constancia mine and the Other mines, and corporate operations. The Company has entered into long-term purchase agreements and early deposit long-term purchase agreement associated with silver and gold (precious metal purchase agreements), relating to mining assets, whereby Silver Wheaton acquires silver and gold production at various mines. The San Dimas gold-silver deposit is located in the San Dimas district on the border of Durango and Sinaloa states. The Company holds interest in Los Filos mine, Zinkgruvan mining operations, Stratoni mine, Keno Hill silver, Cozamin mine, Aljustrel mine, 777 mine and Constancia mines.
Silver Wheaton Corp Company Profile
Wheaton Precious Metals Corp, formerly Silver Wheaton Corp, is a Canada-based pure precious metals streaming company engaged in the sale of silver and gold. The Company operates through eight segments: the silver produced by the San Dimas, Penasquito and Antamina mines, the gold produced by the Sudbury and Salobo mines, the silver and gold produced by the Constancia mine and the Other mines, and corporate operations. The Company has entered into long-term purchase agreements and early deposit long-term purchase agreement associated with silver and gold (precious metal purchase agreements), relating to mining assets, whereby Silver Wheaton acquires silver and gold production at various mines. The San Dimas gold-silver deposit is located in the San Dimas district on the border of Durango and Sinaloa states. The Company holds interest in Los Filos mine, Zinkgruvan mining operations, Stratoni mine, Keno Hill silver, Cozamin mine, Aljustrel mine, 777 mine and Constancia mines.
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