Comparing Bitcoin Depot (NASDAQ:BTM) and Mercurity Fintech (NASDAQ:MFH)

Bitcoin Depot (NASDAQ:BTM) and Mercurity Fintech (NASDAQ:MFH) are both small-cap finance companies, but which is the better investment? We will compare the two businesses based on the strength of their risk, valuation, institutional ownership, analyst recommendations, dividends, earnings and profitability.

Risk & Volatility

Bitcoin Depot has a beta of -0.09, meaning that its share price is 109% less volatile than the S&P 500. Comparatively, Mercurity Fintech has a beta of 3.46, meaning that its share price is 246% more volatile than the S&P 500.

Analyst Ratings

This is a breakdown of recent ratings for Bitcoin Depot and Mercurity Fintech, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Bitcoin Depot	0	0	2	1	3.33
Mercurity Fintech	0	0	0	0	0.00

Bitcoin Depot currently has a consensus price target of $3.75, suggesting a potential upside of 134.38%. Given Bitcoin Depot’s stronger consensus rating and higher possible upside, analysts plainly believe Bitcoin Depot is more favorable than Mercurity Fintech.

Profitability

This table compares Bitcoin Depot and Mercurity Fintech’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Bitcoin Depot	-2.28%	-488.33%	-15.15%
Mercurity Fintech	N/A	N/A	N/A

Earnings and Valuation

This table compares Bitcoin Depot and Mercurity Fintech”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Bitcoin Depot	$585.28 million	0.17	-$26.10 million	($0.93)	-1.72
Mercurity Fintech	$716,863.00	541.38	-$9.36 million	N/A	N/A

Mercurity Fintech has lower revenue, but higher earnings than Bitcoin Depot.

Institutional and Insider Ownership

9.2% of Bitcoin Depot shares are held by institutional investors. Comparatively, 30.8% of Mercurity Fintech shares are held by institutional investors. 70.2% of Bitcoin Depot shares are held by insiders. Comparatively, 62.8% of Mercurity Fintech shares are held by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock will outperform the market over the long term.

Summary

Mercurity Fintech beats Bitcoin Depot on 7 of the 13 factors compared between the two stocks.

About Bitcoin Depot

Bitcoin Depot Inc. owns and operates a network of cryptocurrency kiosks in North America. Its customers can buy and sell bitcoin, litecoin, and ethereum cryptocurrencies using the BTM kiosk network and other services. The company also engages in the sale of cryptocurrency to consumers at a network of retail locations through its BDCheckout product offering, as well as its website through over-the-counter trade. The company is headquartered in Atlanta, Georgia. Bitcoin Depot Inc. is a subsidiary of BT Assets, Inc.

About Mercurity Fintech

Mercurity Fintech Holding Inc. operates as a fintech company powered by blockchain. The company provides digital asset trading infrastructure solutions based on internet and blockchain technologies for cryptocurrency traders; and asset digitalization platform, which offers blockchain-based digitalization solutions for traditional assets, such as fiat currencies, bonds, and precious metals. It also offers cryptocurrency mining services that provides computing power to the mining pool; and digital consultation services, such as digital payment solutions, asset management, and online and traditional brokerage services. The company was formerly known as JMU Limited and changed its name to Mercurity Fintech Holding Inc. in April 2020. Mercurity Fintech Holding Inc. was incorporated in 2011 and is headquartered in New York, New York.