SBI (OTCMKTS:SBHGF) vs. CleanSpark (NASDAQ:CLSK) Critical Survey

CleanSpark (NASDAQ:CLSK) and SBI (OTCMKTS:SBHGF) are both finance companies, but which is the superior stock? We will compare the two businesses based on the strength of their risk, earnings, analyst recommendations, institutional ownership, profitability, dividends and valuation.

Analyst Recommendations

This is a summary of recent recommendations for CleanSpark and SBI, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
CleanSpark	0	1	5	0	2.83
SBI	0	0	0	1	4.00

CleanSpark presently has a consensus target price of $18.97, indicating a potential upside of 118.64%. Given CleanSpark’s higher probable upside, analysts clearly believe CleanSpark is more favorable than SBI.

Earnings and Valuation

This table compares CleanSpark and SBI’s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
CleanSpark	$342.81 million	5.77	-$136.59 million	N/A	N/A
SBI	$8.39 billion	0.92	$601.98 million	$1.98	12.97

SBI has higher revenue and earnings than CleanSpark.

Profitability

This table compares CleanSpark and SBI’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
CleanSpark	-46.31%	-3.64%	-3.39%
SBI	6.79%	4.53%	0.32%

Risk and Volatility

CleanSpark has a beta of 4.18, indicating that its stock price is 318% more volatile than the S&P 500. Comparatively, SBI has a beta of 0.94, indicating that its stock price is 6% less volatile than the S&P 500.

Insider & Institutional Ownership

43.1% of CleanSpark shares are owned by institutional investors. 3.5% of CleanSpark shares are owned by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company will outperform the market over the long term.

Summary

SBI beats CleanSpark on 7 of the 13 factors compared between the two stocks.

About CleanSpark

CleanSpark, Inc. operates as a bitcoin miner in the Americas. It owns and operates data centers that primarily run on low-carbon power. Its infrastructure supports Bitcoin, a digital commodity and a tool for financial independence and inclusion. The company was formerly known as Stratean Inc. and changed its name to CleanSpark, Inc. in November 2016. CleanSpark, Inc. was incorporated in 1987 and is headquartered in Henderson, Nevada.

About SBI

SBI Holdings, Inc. engages in the online securities and investment businesses. It operates through five business segments: Financial Services Business, Asset Management Business, Investment Business, Crypto-Asset Business, and Non-financial Business segments. The Financial Services Business segment consists of a range of finance-related business, including securities brokerage business; banking services business; and life, property, and casualty insurance business. The Asset Management Business segment includes setting, solicitation, and management of investment trust; investment advice; and financial products information. The Investment Business segment includes fund management and investment in Internet technology, fintech, blockchain, finance, and biotechnology-related venture companies; private equity; and funds management businesses. The Crypto-asset Business segment provides crypto-asset exchange and trading services. The Non-Financial Business segment consists of biotechnology; development and distribution of pharmaceutical products, health foods, and cosmetics with 5-aminolevulinic acid; research and development of antibody drugs and nucleic acid medicine in the field of cancer and immunology; the digitization of medical and health information; provision of solutions and services that promote the use of medical big data, medical finance; business working on advanced fields related to Web 3.0; and renewable energy business. The company is also involved in the real estate secured loans, online mobile game, and e-sports related businesses. In addition, it operates and develops cybersecurity systems; exports used cars; offers back-office support services; and develops, operates, manages, and invests in real estate properties. The company was formerly known as Softbank Investment Corporation and changed its name to SBI Holdings, Inc. in July 2005. SBI Holdings, Inc. was incorporated in 1999 and is headquartered in Tokyo, Japan.