Head-To-Head Review: Abits Group (NASDAQ:ABTS) & Argo Blockchain (NASDAQ:ARBK)

Argo Blockchain (NASDAQ:ARBK) and Abits Group (NASDAQ:ABTS) are both small-cap finance companies, but which is the superior investment? We will contrast the two businesses based on the strength of their institutional ownership, dividends, analyst recommendations, profitability, risk, earnings and valuation.

Insider & Institutional Ownership

2.4% of Argo Blockchain shares are owned by institutional investors. Comparatively, 0.2% of Abits Group shares are owned by institutional investors. 6.7% of Abits Group shares are owned by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock will outperform the market over the long term.

Profitability

This table compares Argo Blockchain and Abits Group’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Argo Blockchain	-54.06%	-4,172.69%	-35.97%
Abits Group	N/A	N/A	N/A

Earnings and Valuation

This table compares Argo Blockchain and Abits Group’s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Argo Blockchain	$50.56 million	1.27	-$35.03 million	($0.47)	-2.36
Abits Group	$1.68 million	9.68	-$12.59 million	N/A	N/A

Abits Group has lower revenue, but higher earnings than Argo Blockchain.

Risk & Volatility

Argo Blockchain has a beta of 1.9, suggesting that its share price is 90% more volatile than the S&P 500. Comparatively, Abits Group has a beta of 2.76, suggesting that its share price is 176% more volatile than the S&P 500.

Analyst Recommendations

This is a summary of recent ratings for Argo Blockchain and Abits Group, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Argo Blockchain	0	2	1	0	2.33
Abits Group	0	0	0	0	N/A

Argo Blockchain presently has a consensus target price of $2.23, suggesting a potential upside of 101.20%. Given Argo Blockchain’s higher possible upside, analysts clearly believe Argo Blockchain is more favorable than Abits Group.

Summary

Abits Group beats Argo Blockchain on 7 of the 11 factors compared between the two stocks.

About Argo Blockchain

Argo Blockchain plc, together with its subsidiaries, engages in the bitcoin and other cryptocurrencies mining business worldwide. It engages in mining purpose-built computers for complex cryptographic algorithms. The company was formerly known as GoSun Blockchain Limited and changed its name to Argo Blockchain plc in December 2017. Argo Blockchain plc was incorporated in 2017 and is based in London, the United Kingdom.

About Abits Group

Abits Group Inc., a digital company, engages in the provision of bitcoin mining and related services in the United States. The company was formerly known as Moxian (BVI) Inc and changed its name to Abits Group Inc. in November 2023. Abits Group Inc. was incorporated in 2021 and is based in Tsim Sha Tsui, Hong Kong.