Comparing BIT Mining (NYSE:BTCM) & IBEX (NASDAQ:IBEX)

BIT Mining (NYSE:BTCM) and IBEX (NASDAQ:IBEX) are both small-cap computer and technology companies, but which is the better investment? We will compare the two businesses based on the strength of their valuation, risk, analyst recommendations, profitability, institutional ownership, dividends and earnings.

Institutional and Insider Ownership

5.3% of BIT Mining shares are owned by institutional investors. Comparatively, 81.2% of IBEX shares are owned by institutional investors. 19.7% of BIT Mining shares are owned by company insiders. Comparatively, 20.8% of IBEX shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock is poised for long-term growth.

Profitability

This table compares BIT Mining and IBEX’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
BIT Mining	-6.16%	-29.63%	-16.41%
IBEX	5.79%	20.10%	9.97%

Valuation & Earnings

This table compares BIT Mining and IBEX’s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
BIT Mining	$43.10 million	0.55	-$14.43 million	($1.31)	-1.62
IBEX	$523.12 million	0.44	$31.58 million	$1.57	8.38

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

Analyst Recommendations

This is a summary of current ratings for BIT Mining and IBEX, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
BIT Mining	0	0	0	0	N/A
IBEX	0	3	2	0	2.40

IBEX has a consensus target price of $19.80, suggesting a potential upside of 50.46%. Given IBEX’s higher possible upside, analysts clearly believe IBEX is more favorable than BIT Mining.

Volatility and Risk

BIT Mining has a beta of 2.56, meaning that its share price is 156% more volatile than the S&P 500. Comparatively, IBEX has a beta of 0.62, meaning that its share price is 38% less volatile than the S&P 500.

Summary

IBEX beats BIT Mining on 11 of the 13 factors compared between the two stocks.

About BIT Mining

BIT Mining Limited operates as a cryptocurrency mining company. The company operates through three segments: Mining Pool, Data Center, and Cryptocurrency Mining. It operates a cryptocurrency mining data center in Ohio with power capacity of 82.5 megawatts; and mining pool business, including the domain name and the cryptocurrency wallet of BTC.com, as well as purchases and deploys bitcoin mining machines. The company was formerly known as 500.com Limited and changed its name to BIT Mining Limited in April 2021. BIT Mining Limited was founded in 2001 and is based in Akron, Ohio.

About IBEX

IBEX Limited provides end-to-end technology-enabled customer lifecycle experience solutions in the United States and internationally. The company products and services portfolio includes ibex Connect, that offers customer service, technical support, revenue generation, and other revenue generation outsourced back-office services through the CX model, which integrates voice, email, chat, SMS, social media, and other communication applications; ibex Digital, a customer acquisition solution that comprises digital marketing, e-commerce technology, and platform solutions; and ibex CX, a customer experience solution, which provides a suite of proprietary software tools to measure, monitor, and manage its clients' customer experience. It operates customer engagement and customer acquisition delivery centers. The company serves banking and financial services, delivery and logistics, health tech and wellness, high tech, retail and e-commerce, streaming and entertainment, travel and hospitality, and utility industries. The company was formerly known as IBEX Holdings Limited and changed its name to IBEX Limited in September 2019. IBEX Limited was incorporated in 2017 and is headquartered in Washington, District of Columbia. The company is a subsidiary of The Resource Group International Limited.