Verify Smart (OTCMKTS:VSMR) versus Freeport-McMoRan (NYSE:FCX) Head to Head Analysis

Verify Smart (OTCMKTS:VSMR) and Freeport-McMoRan (NYSE:FCX) are both business services companies, but which is the superior investment? We will contrast the two businesses based on the strength of their risk, institutional ownership, analyst recommendations, earnings, profitability, valuation and dividends.

Earnings and Valuation

This table compares Verify Smart and Freeport-McMoRan”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Verify Smart	$220,000.00	31.08	N/A	N/A	N/A
Freeport-McMoRan	$22.86 billion	2.28	$1.85 billion	$1.37	26.48

Freeport-McMoRan has higher revenue and earnings than Verify Smart.

Analyst Recommendations

This is a summary of current ratings and target prices for Verify Smart and Freeport-McMoRan, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Verify Smart	0	0	0	0	0.00
Freeport-McMoRan	0	7	7	1	2.60

Freeport-McMoRan has a consensus target price of $51.46, suggesting a potential upside of 41.84%. Given Freeport-McMoRan’s stronger consensus rating and higher probable upside, analysts plainly believe Freeport-McMoRan is more favorable than Verify Smart.

Profitability

This table compares Verify Smart and Freeport-McMoRan’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Verify Smart	N/A	N/A	N/A
Freeport-McMoRan	7.81%	7.40%	3.86%

Volatility and Risk

Verify Smart has a beta of 3.58, indicating that its stock price is 258% more volatile than the S&P 500. Comparatively, Freeport-McMoRan has a beta of 1.87, indicating that its stock price is 87% more volatile than the S&P 500.

Insider and Institutional Ownership

80.8% of Freeport-McMoRan shares are owned by institutional investors. 0.8% of Freeport-McMoRan shares are owned by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock is poised for long-term growth.

Summary

Freeport-McMoRan beats Verify Smart on 10 of the 12 factors compared between the two stocks.

About Verify Smart

Verify Smart Corp. provides wireless software solutions focused on IP fraud protection for secure authenticated transactions and celebrity services for fans interactions worldwide. The company's software solutions are delivered as Software as a Service model over the Internet, and allows its clients to access the company's application software and databases. Its products include VerifyNGo, which provides instant personal verification to combat fraud and identity theft through mobile device; and Prvii, a mobile communications service that enables celebrities to monetize their fan base via messaging channels. Verify Smart Corp. promotes its products and services across various markets, including consumer brands, financial services, sports/entertainment, governments, and educational institutions. The company was formerly known as Treasure Explorations Inc. and changed its name to Verify Smart Corp. in March 2009. Verify Smart Corp. was founded in 2006 and is based in Fernley, Nevada.

About Freeport-McMoRan

Freeport-McMoRan Inc. engages in the mining of mineral properties in North America, South America, and Indonesia. It primarily explores for copper, gold, molybdenum, silver, and other metals. The company's assets include the Grasberg minerals district in Indonesia; Morenci, Bagdad, Safford, Sierrita, and Miami in Arizona; Chino and Tyrone in New Mexico; and Henderson and Climax in Colorado, North America, as well as Cerro Verde in Peru and El Abra in Chile. The company was formerly known as Freeport-McMoRan Copper & Gold Inc. and changed its name to Freeport-McMoRan Inc. in July 2014. Freeport-McMoRan Inc. was incorporated in 1987 and is headquartered in Phoenix, Arizona.