Reviewing Coinbase Global (NASDAQ:COIN) & CleanSpark (NASDAQ:CLSK)

CleanSpark (NASDAQ:CLSK) and Coinbase Global (NASDAQ:COIN) are both finance companies, but which is the better investment? We will contrast the two companies based on the strength of their risk, analyst recommendations, dividends, valuation, profitability, earnings and institutional ownership.

Valuation and Earnings

This table compares CleanSpark and Coinbase Global”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
CleanSpark	$378.97 million	8.90	-$145.78 million	($0.58)	-19.88
Coinbase Global	$3.11 billion	24.00	$94.87 million	$5.86	50.85

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

Analyst Recommendations

This is a summary of recent ratings for CleanSpark and Coinbase Global, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
CleanSpark	0	0	6	0	3.00
Coinbase Global	1	9	10	0	2.45

CleanSpark presently has a consensus price target of $23.17, indicating a potential upside of 100.93%. Coinbase Global has a consensus price target of $282.83, indicating a potential downside of 5.09%. Given CleanSpark’s stronger consensus rating and higher possible upside, research analysts plainly believe CleanSpark is more favorable than Coinbase Global.

Volatility and Risk

CleanSpark has a beta of 4.26, meaning that its stock price is 326% more volatile than the S&P 500. Comparatively, Coinbase Global has a beta of 3.59, meaning that its stock price is 259% more volatile than the S&P 500.

Profitability

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

	Net Margins	Return on Equity	Return on Assets
CleanSpark	-38.47%	-2.36%	-2.18%
Coinbase Global	29.76%	14.81%	0.41%

Institutional & Insider Ownership

43.1% of CleanSpark shares are held by institutional investors. Comparatively, 68.8% of Coinbase Global shares are held by institutional investors. 3.0% of CleanSpark shares are held by insiders. Comparatively, 23.4% of Coinbase Global shares are held by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company is poised for long-term growth.

Summary

Coinbase Global beats CleanSpark on 11 of the 14 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 Coinbase Global

Coinbase Global, Inc. provides financial infrastructure and technology for the crypto economy in the United States and internationally. The company offers the primary financial account in the crypto economy for consumers; and a marketplace with a pool of liquidity for transacting in crypto assets for institutions. It also provides technology and services that enable developers to build crypto products and securely accept crypto assets as payment. The company was founded in 2012 and is based in Wilmington, Delaware.