Head-To-Head Survey: Lufax (NYSE:LU) and Stronghold Digital Mining (NASDAQ:SDIG)

Stronghold Digital Mining (NASDAQ:SDIG) and Lufax (NYSE:LU) are both finance companies, but which is the superior stock? We will compare the two companies based on the strength of their earnings, risk, profitability, valuation, analyst recommendations, dividends and institutional ownership.

Profitability

This table compares Stronghold Digital Mining and Lufax’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Stronghold Digital Mining	-40.57%	10.70%	4.09%
Lufax	2.59%	0.94%	0.32%

Earnings & Valuation

This table compares Stronghold Digital Mining and Lufax’s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Stronghold Digital Mining	$74.97 million	0.45	-$71.40 million	($11.57)	-0.19
Lufax	$4.82 billion	0.49	$125.31 million	$0.23	17.78

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

Analyst Ratings

This is a summary of current recommendations for Stronghold Digital Mining and Lufax, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Stronghold Digital Mining	0	0	2	0	3.00
Lufax	1	3	2	0	2.17

Stronghold Digital Mining presently has a consensus target price of $7.83, suggesting a potential upside of 251.27%. Lufax has a consensus target price of $6.91, suggesting a potential upside of 69.05%. Given Stronghold Digital Mining’s stronger consensus rating and higher possible upside, analysts plainly believe Stronghold Digital Mining is more favorable than Lufax.

Insider & Institutional Ownership

19.3% of Stronghold Digital Mining shares are held by institutional investors. Comparatively, 69.1% of Lufax shares are held by institutional investors. 47.6% of Stronghold Digital Mining shares are held by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock will outperform the market over the long term.

Risk & Volatility

Stronghold Digital Mining has a beta of 2.68, meaning that its stock price is 168% more volatile than the S&P 500. Comparatively, Lufax has a beta of 0.88, meaning that its stock price is 12% less volatile than the S&P 500.

About Stronghold Digital Mining

Stronghold Digital Mining, Inc., a crypto asset mining company, focuses on Bitcoin mining in the United States. It operates in two segments, Energy Operations and Cryptocurrency Operations. It also owns and operates coal refuse power generation facilities; and provides environmental remediation and reclamation services. The company was incorporated in 2021 and is headquartered in New York, New York.

About Lufax

Lufax Holding Ltd operates a technology-empowered personal financial services platform in China. The company offers loan products, including unsecured loans and secured loans, as well as consumer finance loans. It also provides wealth management platforms, such as Lufax (Lu.com), Lu International (Singapore), and Lu International (Hong Kong) to the middle class and affluent investors to invest in products and portfolios; retail credit facilitation services platform that offers small business owners with lending solutions; and technology empowerment solutions for financial institutions. The company was founded in 2005 and is headquartered in Shanghai, China.