NGD vs PAAS

For growth investors, New Gold Inc.

(NGD) is the stronger pick with 59. 7% revenue growth year-over-year, versus 30. 6% for Pan American Silver Corp. (PAAS). Pan American Silver Corp. (PAAS) offers the better valuation at 21. 7x trailing P/E (12. 1x forward), making it the more compelling value choice. Analysts rate New Gold Inc. (NGD) a "Buy" — based on 18 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, Pan American Silver Corp.

(PAAS) is the cheapest at 21. 7x versus New Gold Inc. at 64. 9x. On forward P/E, New Gold Inc. is actually cheaper at 6. 6x — notably different from the trailing picture, reflecting expected earnings growth.

Over the past 5 years, New Gold Inc.

(NGD) delivered a total return of +398. 9%, compared to +69. 1% for Pan American Silver Corp. (PAAS). Over 10 years, the gap is even starker: PAAS returned +293. 8% versus NGD's +97. 4%. 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), Pan American Silver Corp.

(PAAS) is the lower-risk stock at 0. 74β versus New Gold Inc. 's 0. 97β — meaning NGD is approximately 32% more volatile than PAAS relative to the S&P 500. On balance sheet safety, Pan American Silver Corp. (PAAS) carries a lower debt/equity ratio of 13% versus 21% for New Gold Inc. — giving it more financial flexibility in a downturn.

By revenue growth (latest reported year), New Gold Inc.

(NGD) is pulling ahead at 59. 7% versus 30. 6% for Pan American Silver Corp. (PAAS). On earnings-per-share growth, the picture is similar: Pan American Silver Corp. grew EPS 741. 9% year-over-year, compared to 671. 4% for New 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.

New Gold Inc.

(NGD) is the more profitable company, earning 58. 1% net margin versus 27. 0% for Pan American Silver Corp. — meaning it keeps 58. 1% of every revenue dollar as bottom-line profit. Operating margin tells a similar story: NGD leads at 44. 4% versus 32. 3% for PAAS. At the gross margin level — before operating expenses — NGD leads at 53. 2%, 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.

On forward earnings alone, New Gold Inc.

(NGD) trades at 6. 6x forward P/E versus 12. 1x for Pan American Silver Corp. — 5. 5x cheaper on a one-year earnings basis. Analyst consensus price targets imply the most upside for NGD: 36. 3% to $12. 38.

In this comparison, PAAS (0.

8% yield) pays a dividend. NGD does not pay a meaningful dividend and should not be held primarily for income.

For long-horizon retirement investors, Pan American Silver Corp.

(PAAS) is the stronger choice — it scores higher on the combination of lower volatility, dividend reliability, and long-term compounding (low volatility (β 0. 74), 0. 8% yield, +293. 8% 10Y return). Both have compounded well over 10 years (PAAS: +293. 8%, NGD: +97. 4%), 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.

PAAS pays a dividend while NGD does not, making them suitable for different income and tax situations. 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.