Reviewing TeraWulf (NASDAQ:WULF) and Bitcoin Depot (NASDAQ:BTM)

TeraWulf (NASDAQ:WULF) and Bitcoin Depot (NASDAQ:BTM) are both small-cap finance companies, but which is the superior stock? We will contrast the two businesses based on the strength of their earnings, profitability, valuation, risk, dividends, analyst recommendations and institutional ownership.

Earnings and Valuation

This table compares TeraWulf and Bitcoin Depot”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
TeraWulf	$120.25 million	11.67	-$73.42 million	N/A	N/A
Bitcoin Depot	$688.97 million	0.13	-$26.10 million	($1.31)	-1.15

Bitcoin Depot has higher revenue and earnings than TeraWulf.

Insider & Institutional Ownership

62.5% of TeraWulf shares are owned by institutional investors. Comparatively, 9.2% of Bitcoin Depot shares are owned by institutional investors. 24.9% of TeraWulf shares are owned by insiders. Comparatively, 20.1% of Bitcoin Depot shares are owned by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company is poised for long-term growth.

Profitability

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

	Net Margins	Return on Equity	Return on Assets
TeraWulf	-41.67%	-19.77%	-12.61%
Bitcoin Depot	-3.10%	-307.37%	-22.72%

Volatility & Risk

TeraWulf has a beta of 2.55, suggesting that its share price is 155% more volatile than the S&P 500. Comparatively, Bitcoin Depot has a beta of -0.35, suggesting that its share price is 135% less volatile than the S&P 500.

Analyst Recommendations

This is a summary of current recommendations and price targets for TeraWulf and Bitcoin Depot, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
TeraWulf	0	0	7	2	3.22
Bitcoin Depot	0	1	2	0	2.67

TeraWulf currently has a consensus price target of $5.71, indicating a potential upside of 35.73%. Bitcoin Depot has a consensus price target of $3.67, indicating a potential upside of 144.44%. Given Bitcoin Depot’s higher probable upside, analysts plainly believe Bitcoin Depot is more favorable than TeraWulf.

Summary

TeraWulf beats Bitcoin Depot on 9 of the 13 factors compared between the two stocks.

About TeraWulf

TeraWulf Inc., together with its subsidiaries, operates as a digital asset technology company in the United States. The company develops, owns, and operates bitcoin mining facilities in New York and Pennsylvania. It is also involved in the provision of miner hosting services to third-party entities. The company was founded in 2021 and is headquartered in Easton, Maryland.

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.