CGAU vs PAAS

For growth investors, Pan American Silver Corp.

(PAAS) is the stronger pick with 30. 6% revenue growth year-over-year, versus 9. 5% for Centerra Gold Inc. (CGAU). Centerra Gold Inc. (CGAU) offers the better valuation at 6. 1x trailing P/E (9. 1x forward), making it the more compelling value choice. Analysts rate Centerra Gold Inc. (CGAU) a "Buy" — based on 5 analyst ratings — the highest consensus in this comparison. The "better buy" depends entirely on your goals: growth investors should weight revenue trajectory, value investors should weight P/E and PEG, and income investors should weight dividend yield and streak.

On trailing P/E, Centerra Gold Inc.

(CGAU) is the cheapest at 6. 1x versus Pan American Silver Corp. at 22. 1x. On forward P/E, Centerra Gold Inc. is actually cheaper at 9. 1x. The PEG ratio (P/E divided by earnings growth rate) is the most growth-adjusted single valuation metric: Pan American Silver Corp. wins at 0. 49x versus Centerra Gold Inc. 's 0. 61x — a PEG below 1. 0 traditionally signals the market is underpricing earnings growth.

Over the past 5 years, Centerra Gold Inc.

(CGAU) delivered a total return of +171. 3%, compared to +71. 4% for Pan American Silver Corp. (PAAS). Over 10 years, the gap is even starker: PAAS returned +326. 1% versus CGAU's +240. 7%. Past returns do not guarantee future results, and the stock with the higher historical return may already have its best growth priced in.

By beta (market sensitivity over 5 years), Centerra Gold Inc.

(CGAU) is the lower-risk stock at 0. 67β versus Pan American Silver Corp. 's 0. 74β — meaning PAAS is approximately 11% more volatile than CGAU relative to the S&P 500. On balance sheet safety, Centerra Gold Inc. (CGAU) carries a lower debt/equity ratio of 1% versus 13% for Pan American Silver Corp. — giving it more financial flexibility in a downturn.

By revenue growth (latest reported year), Pan American Silver Corp.

(PAAS) is pulling ahead at 30. 6% versus 9. 5% for Centerra Gold Inc. (CGAU). On earnings-per-share growth, the picture is similar: Pan American Silver Corp. grew EPS 741. 9% year-over-year, compared to 725. 7% for Centerra Gold Inc.. Over a 3-year CAGR, PAAS leads at 35. 1% annualised revenue growth. Higher growth typically commands a higher valuation multiple — check whether the premium P/E or P/S is justified by the growth rate using the PEG ratio.

Centerra Gold Inc.

(CGAU) is the more profitable company, earning 44. 7% net margin versus 27. 0% for Pan American Silver Corp. — meaning it keeps 44. 7% of every revenue dollar as bottom-line profit. Operating margin tells a similar story: PAAS leads at 32. 3% versus 17. 9% for CGAU. At the gross margin level — before operating expenses — PAAS leads at 37. 7%, reflecting greater pricing power or product mix advantage. Stronger margins indicate durable pricing power, lower cost of revenue, or higher mix of software/services. They are one of the clearest signs of business quality.

The PEG ratio (forward P/E divided by expected earnings growth rate) is the most precise measure of undervaluation relative to growth potential.

By this metric, Pan American Silver Corp. (PAAS) is the more undervalued stock at a PEG of 0. 49x versus Centerra Gold Inc. 's 0. 61x. A PEG below 1. 0 is traditionally considered the threshold for growth-adjusted undervaluation. On forward earnings alone, Centerra Gold Inc. (CGAU) trades at 9. 1x forward P/E versus 12. 4x for Pan American Silver Corp. — 3. 3x cheaper on a one-year earnings basis. Analyst consensus price targets imply the most upside for PAAS: 29. 7% to $75. 00.

All stocks in this comparison pay dividends.

Centerra Gold Inc. (CGAU) offers the highest yield at 1. 1%, versus 0. 8% for Pan American Silver Corp. (PAAS).

For long-horizon retirement investors, Centerra Gold Inc.

(CGAU) is the stronger choice — it scores higher on the combination of lower volatility, dividend reliability, and long-term compounding (low volatility (β 0. 67), 1. 1% yield, +240. 7% 10Y return). Both have compounded well over 10 years (CGAU: +240. 7%, PAAS: +326. 1%), confirming both are viable long-term holds — but the lower-volatility option typically results in less emotional selling during corrections. Retirement portfolios generally favour predictability over maximum returns. Consult a financial advisor before making allocation decisions.

Both stocks operate in the Basic Materials sector, making this a peer-level intra-sector comparison — the same macro tailwinds and headwinds will affect both.

In terms of investment character: CGAU is a small-cap deep-value stock; PAAS is a mid-cap high-growth stock. These fundamental differences mean investors should not choose between them on a single metric — the "better stock" depends entirely on which of these characteristics aligns with your investment strategy.