Comparing Bit Digital (NASDAQ:BTBT) and MARA (NASDAQ:MARA)

Bit Digital (NASDAQ:BTBT) and MARA (NASDAQ:MARA) are both business services companies, but which is the better investment? We will contrast the two businesses based on the strength of their valuation, risk, institutional ownership, dividends, earnings, analyst recommendations and profitability.

Analyst Recommendations

This is a breakdown of recent recommendations and price targets for Bit Digital and MARA, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Bit Digital	0	0	2	1	3.33
MARA	0	6	4	0	2.40

Bit Digital presently has a consensus price target of $6.33, suggesting a potential upside of 133.70%. MARA has a consensus price target of $25.67, suggesting a potential upside of 75.08%. Given Bit Digital’s stronger consensus rating and higher probable upside, equities research analysts plainly believe Bit Digital is more favorable than MARA.

Earnings and Valuation

This table compares Bit Digital and MARA”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Bit Digital	$44.92 million	9.26	-$13.89 million	$0.06	45.17
MARA	$387.51 million	12.84	$261.17 million	$0.79	18.56

MARA has higher revenue and earnings than Bit Digital. MARA is trading at a lower price-to-earnings ratio than Bit Digital, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares Bit Digital and MARA’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Bit Digital	-2.75%	-5.69%	-4.82%
MARA	27.48%	-8.40%	-6.92%

Insider and Institutional Ownership

47.7% of Bit Digital shares are held by institutional investors. Comparatively, 44.5% of MARA shares are held by institutional investors. 41.3% of Bit Digital shares are held by company insiders. Comparatively, 0.8% of MARA shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock will outperform the market over the long term.

Volatility & Risk

Bit Digital has a beta of 4.88, indicating that its share price is 388% more volatile than the S&P 500. Comparatively, MARA has a beta of 5.76, indicating that its share price is 476% more volatile than the S&P 500.

Summary

Bit Digital beats MARA on 8 of the 15 factors compared between the two stocks.

About Bit Digital

Bit Digital, Inc., together with its subsidiaries, engages in the bitcoin mining business. It is also involved in the treasury management activities; and digital asset staking and digital asset mining businesses, as well as ethereum staking activities. In addition, it provides specialized cloud-infrastructure services for artificial intelligence applications. The company was formerly known as Golden Bull Limited and changed its name to Bit Digital, Inc. in September 2020. Bit Digital, Inc. was founded in 2015 and is headquartered in New York, New York.

About MARA

MARA Holdings, Inc. operates as a digital asset technology company that mines digital assets with a focus on the bitcoin ecosystem in United States. The company was formerly known as Marathon Digital Holdings, Inc. and changed its name to MARA Holdings, Inc. in August 2024. MARA Holdings, Inc. was incorporated in 2010 and is headquartered in Fort Lauderdale, Florida.