Bit Digital (NASDAQ:BTBT) and Iris Energy (NASDAQ:IREN) Head-To-Head Survey

Iris Energy (NASDAQ:IREN) and Bit Digital (NASDAQ:BTBT) are both small-cap energy companies, but which is the better investment? We will contrast the two companies based on the strength of their dividends, risk, earnings, valuation, analyst recommendations, institutional ownership and profitability.

Volatility & Risk

Iris Energy has a beta of 3.67, indicating that its stock price is 267% more volatile than the S&P 500. Comparatively, Bit Digital has a beta of 5.25, indicating that its stock price is 425% more volatile than the S&P 500.

Profitability

This table compares Iris Energy and Bit Digital’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Iris Energy	-17.94%	-3.98%	-3.33%
Bit Digital	-2.75%	-5.69%	-4.82%

Institutional & Insider Ownership

41.1% of Iris Energy shares are held by institutional investors. Comparatively, 47.7% of Bit Digital shares are held by institutional investors. 21.5% of Iris Energy shares are held by insiders. Comparatively, 2.3% of Bit Digital shares are held by 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.

Analyst Ratings

This is a summary of recent recommendations for Iris Energy and Bit Digital, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Iris Energy	0	1	10	1	3.00
Bit Digital	0	0	2	1	3.33

Iris Energy presently has a consensus price target of $20.30, suggesting a potential upside of 142.24%. Bit Digital has a consensus price target of $6.33, suggesting a potential upside of 169.50%. Given Bit Digital’s stronger consensus rating and higher probable upside, analysts plainly believe Bit Digital is more favorable than Iris Energy.

Valuation and Earnings

This table compares Iris Energy and Bit Digital”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Iris Energy	$372.10 million	4.23	-$28.95 million	N/A	N/A
Bit Digital	$158.48 million	3.08	-$13.89 million	($0.47)	-5.00

Bit Digital has lower revenue, but higher earnings than Iris Energy.

About Iris Energy

Iris Energy Limited owns and operates bitcoin mining data centers. The company was incorporated in 2018 and is headquartered in Sydney, Australia.

About Bit Digital

Bit Digital, Inc., together with its subsidiaries, engages in the bitcoin mining business. It is also involved in the treasury management activities; and digital asset staking and digital asset mining businesses, as well as ethereum staking activities. In addition, it provides specialized cloud-infrastructure services for artificial intelligence applications. The company was formerly known as Golden Bull Limited and changed its name to Bit Digital, Inc. in September 2020. Bit Digital, Inc. was founded in 2015 and is headquartered in New York, New York.