Critical Survey: BitFuFu (NASDAQ:FUFU) & BTCS (NASDAQ:BTCS)

BitFuFu (NASDAQ:FUFU) and BTCS (NASDAQ:BTCS) are both small-cap finance companies, but which is the superior stock? We will compare the two companies based on the strength of their earnings, risk, institutional ownership, valuation, analyst recommendations, dividends and profitability.

Analyst Recommendations

This is a summary of current ratings for BitFuFu and BTCS, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
BitFuFu	0	0	1	0	3.00
BTCS	0	0	1	0	3.00

BitFuFu currently has a consensus target price of $7.00, suggesting a potential upside of 49.57%. BTCS has a consensus target price of $5.00, suggesting a potential upside of 220.51%. Given BTCS’s higher probable upside, analysts clearly believe BTCS is more favorable than BitFuFu.

Institutional & Insider Ownership

37.3% of BitFuFu shares are owned by institutional investors. Comparatively, 3.5% of BTCS shares are owned by institutional investors. 35.0% of BitFuFu shares are owned by insiders. Comparatively, 44.3% of BTCS shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company is poised for long-term growth.

Risk & Volatility

BitFuFu has a beta of 0.24, suggesting that its stock price is 76% less volatile than the S&P 500. Comparatively, BTCS has a beta of 3.05, suggesting that its stock price is 205% more volatile than the S&P 500.

Profitability

This table compares BitFuFu and BTCS’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
BitFuFu	8.17%	40.15%	13.55%
BTCS	366.80%	-15.42%	-13.77%

Valuation & Earnings

This table compares BitFuFu and BTCS”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
BitFuFu	$463.33 million	1.65	$10.49 million	$0.35	13.37
BTCS	$4.07 million	7.69	$7.82 million	($0.22)	-7.09

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

Summary

BitFuFu beats BTCS on 7 of the 12 factors compared between the two stocks.

About BitFuFu

BitFuFu Inc. provides digital asset mining and cloud-mining services in Singapore. It also offers miner rental, and miner hosting and sales services to institutional customers and individual digital asset enthusiasts. The company is based in Singapore, Singapore.

About BTCS

BTCS Inc. operates in blockchain technology sector the United States. Its blockchain-infrastructure secures and operates validator nodes on disruptive blockchain networks, as well as validates transactions for crypto holding delegations on dPoS blockchains. The company offers StakeSeeker, a cryptocurrency dashboard and staking-as-a-service platform that allows crypto asset holders to earn rewards by participating in network consensus mechanisms; and Builder+, a Ethereum block builder offered to maximize validator earnings by utilizing algorithms to construct optimized blocks for on-chain validation. In addition, it is involved in the development of ChainQ, an AI-powered blockchain data and analytics platform, which allows users to query real-time and historical on-chain blockchain data. The company was formerly known as Bitcoin Shop, Inc. and changed its name to BTCS Inc. in July 2015. BTCS Inc. was founded in 2014 and is based in Silver Spring, Maryland.