Contrasting Sprott (NYSE:SII) and BTC Digital (NASDAQ:BTCT)

Sprott (NYSE:SII) and BTC Digital (NASDAQ:BTCT) are both small-cap finance companies, but which is the superior investment? We will compare the two companies based on the strength of their valuation, institutional ownership, dividends, analyst recommendations, profitability, risk and earnings.

Earnings and Valuation

This table compares Sprott and BTC Digital”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Sprott	$169.02 million	7.03	$41.80 million	$1.60	28.73
BTC Digital	$6.77 million	0.50	-$2.82 million	N/A	N/A

Sprott has higher revenue and earnings than BTC Digital.

Analyst Ratings

This is a summary of recent ratings and target prices for Sprott and BTC Digital, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Sprott	0	0	0	1	4.00
BTC Digital	0	0	0	0	N/A

Insider and Institutional Ownership

28.3% of Sprott shares are held by institutional investors. Comparatively, 7.3% of BTC Digital shares are held by institutional investors. 18.3% of Sprott shares are held by company insiders. Comparatively, 6.8% of BTC Digital shares are held by company 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.

Risk and Volatility

Sprott has a beta of 1.1, meaning that its stock price is 10% more volatile than the S&P 500. Comparatively, BTC Digital has a beta of -0.07, meaning that its stock price is 107% less volatile than the S&P 500.

Profitability

This table compares Sprott and BTC Digital’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Sprott	26.46%	13.50%	10.67%
BTC Digital	N/A	N/A	N/A

Summary

Sprott beats BTC Digital on 10 of the 10 factors compared between the two stocks.

About Sprott

Sprott Inc. is a publicly owned asset management holding company. Through its subsidiaries, the firm provides asset management, portfolio management, wealth management, fund management, and administrative and consulting services to its clients. It offers mutual funds, hedge funds, and offshore funds, along with managed accounts. Further, the firm also provides broker-dealer activities. Sprott Inc. was formed on February 13, 2008 and is based in Toronto, Canada.

About BTC Digital

BTC Digital Ltd. a crypto asset technology company engages in bitcoin mining business. It is also involved in mining machines resale and rental business. The company was formerly known as Meten Holding Group Ltd. and changed its name to BTC Digital Ltd. in August 2023. The company was founded in 2006 and is headquartered in Shenzhen, China.