Head to Head Contrast: Cleanspark (NASDAQ:CLSK) versus Galaxy Digital (NASDAQ:GLXY)

Galaxy Digital (NASDAQ:GLXYGet Free Report) and Cleanspark (NASDAQ:CLSKGet Free Report) are both mid-cap finance companies, but which is the superior business? We will compare the two companies based on the strength of their profitability, dividends, earnings, risk, analyst recommendations, valuation and institutional ownership.

Analyst Ratings

This is a summary of current recommendations and price targets for Galaxy Digital and Cleanspark, as provided by MarketBeat.com.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Galaxy Digital 2 2 11 0 2.60
Cleanspark 1 1 14 1 2.88

Galaxy Digital currently has a consensus price target of $39.62, indicating a potential upside of 62.89%. Cleanspark has a consensus price target of $22.34, indicating a potential upside of 43.11%. Given Galaxy Digital’s higher probable upside, analysts plainly believe Galaxy Digital is more favorable than Cleanspark.

Institutional and Insider Ownership

43.1% of Cleanspark shares are owned by institutional investors. 51.5% of Galaxy Digital shares are owned by company insiders. Comparatively, 2.1% of Cleanspark shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company is poised for long-term growth.

Risk & Volatility

Galaxy Digital has a beta of 4.84, suggesting that its stock price is 384% more volatile than the S&P 500. Comparatively, Cleanspark has a beta of 3.83, suggesting that its stock price is 283% more volatile than the S&P 500.

Earnings & Valuation

This table compares Galaxy Digital and Cleanspark”s revenue, earnings per share (EPS) and valuation.

Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio
Galaxy Digital $61.36 billion 0.15 -$241.35 million ($0.48) -50.67
Cleanspark $766.31 million 5.23 $364.46 million ($2.10) -7.43

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

Profitability

This table compares Galaxy Digital and Cleanspark’s net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Galaxy Digital -0.54% -2.30% -0.64%
Cleanspark -67.66% 7.07% 3.77%

Summary

Cleanspark beats Galaxy Digital on 9 of the 15 factors compared between the two stocks.

About Galaxy Digital

(Get Free Report)

Galaxy Digital Holdings Ltd. is a financial services and an investment management company, which engages in the digital asset, cryptocurrency, and block chain technology sectors. It operates through the following segments: Trading, Principal Investment, Asset Management, Investment Banking, Mining, and Corporate & Other. The Trading segment manages positions in cryptocurrency and other liquid digital assets contributed to the business at the outset and continues to invest and trade in those and related assets. The Principal Investment segment includes portfolio of private principal investments across the block chain ecosystem, including early- and later-stage equity, pre-launch network contributions, and other structured alternative investments. The Asset Management segment manages capital on behalf of third parties in exchange for management fees and performance-based compensation. The Investment Banking segment offers the spectrum of investment banking, including, but not limited to general corporate advisory, mergers and acquisition, transaction advisory, restructuring and capital rising. The Mining segment focuses to provide financial services for North American miners, through its partnerships. The Corporate & Other consists of the partnership’s unallocated corporate overhead and other unallocated costs not identifiable to any of the reportable segments. The company was founded by Michael Edward Novogratz on February 10, 2006 and is headquartered in New York, NY.

About Cleanspark

(Get Free Report)

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.

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