Greenidge Generation (NASDAQ:GREE) and Blue Owl Capital (NYSE:OBDC) Critical Analysis

Greenidge Generation (NASDAQ:GREE) and Blue Owl Capital (NYSE:OBDC) are both finance companies, but which is the better stock? We will compare the two companies based on the strength of their profitability, dividends, valuation, risk, institutional ownership, analyst recommendations and earnings.

Analyst Recommendations

This is a breakdown of current ratings and price targets for Greenidge Generation and Blue Owl Capital, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Greenidge Generation	0	0	0	0	0.00
Blue Owl Capital	0	2	3	3	3.13

Blue Owl Capital has a consensus price target of $15.42, suggesting a potential upside of 16.44%. Given Blue Owl Capital’s stronger consensus rating and higher probable upside, analysts plainly believe Blue Owl Capital is more favorable than Greenidge Generation.

Profitability

This table compares Greenidge Generation and Blue Owl Capital’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Greenidge Generation	-33.68%	N/A	-34.08%
Blue Owl Capital	38.29%	11.24%	4.82%

Earnings & Valuation

This table compares Greenidge Generation and Blue Owl Capital”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Greenidge Generation	$59.53 million	0.44	-$19.78 million	N/A	N/A
Blue Owl Capital	$1.60 billion	4.24	$741.06 million	$1.51	8.77

Blue Owl Capital has higher revenue and earnings than Greenidge Generation.

Risk and Volatility

Greenidge Generation has a beta of 3.12, suggesting that its stock price is 212% more volatile than the S&P 500. Comparatively, Blue Owl Capital has a beta of 0.76, suggesting that its stock price is 24% less volatile than the S&P 500.

Institutional and Insider Ownership

8.5% of Greenidge Generation shares are held by institutional investors. Comparatively, 42.8% of Blue Owl Capital shares are held by institutional investors. 27.8% of Greenidge Generation shares are held by insiders. Comparatively, 0.1% of Blue Owl Capital shares are held by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock will outperform the market over the long term.

Summary

Blue Owl Capital beats Greenidge Generation on 11 of the 13 factors compared between the two stocks.

About Greenidge Generation

Greenidge Generation Holdings Inc. operates as an integrated cryptocurrency datacenter and power generation company. The company owns and operates cryptocurrency datacenter in New York, as well as hosts, powers, and provides technical support and other related services to bitcoin mining equipment owned by customers. It also owns and operates a 106 MW nameplate capacity power generation facility. The company was founded in 1937 and is based in Fairfield, Connecticut.

About Blue Owl Capital

Blue Owl Capital Corporation is a business development company. It specializes in direct and fund of fund investments. The fund makes investments in senior secured, direct lending or unsecured loans, subordinated loans or mezzanine loans and also considers equity-related securities including warrants and preferred stocks also pursues preferred equity investments, first lien, unitranche, and second lien term loans and common equity investments. Within private equity, it seeks to invest in growth, acquisitions, market or product expansion, refinancings and recapitalizations. It seeks to invest in middle market and upper middle market companies based in the United States, with EBITDA between $10 million and $250 million annually and/or annual revenue of $50 million and $2.5 billion at the time of investment. It seeks to invest in investments with maturities typically between three and ten years. It seeks to make investments generally ranging in size between $20 million and $250 million.