Contrasting TeraWulf (NASDAQ:WULF) and BitFuFu (NASDAQ:FUFU)

TeraWulf (NASDAQ:WULF) and BitFuFu (NASDAQ:FUFU) are both small-cap finance companies, but which is the better stock? We will compare the two companies based on the strength of their risk, analyst recommendations, institutional ownership, valuation, dividends, earnings and profitability.

Volatility and Risk

TeraWulf has a beta of 2.57, meaning that its stock price is 157% more volatile than the S&P 500. Comparatively, BitFuFu has a beta of 0.17, meaning that its stock price is 83% less volatile than the S&P 500.

Profitability

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

	Net Margins	Return on Equity	Return on Assets
TeraWulf	-56.70%	-30.00%	-16.17%
BitFuFu	N/A	N/A	N/A

Analyst Ratings

This is a breakdown of recent ratings for TeraWulf and BitFuFu, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
TeraWulf	0	0	8	1	3.11
BitFuFu	0	0	0	0	N/A

TeraWulf presently has a consensus target price of $5.35, indicating a potential upside of 2.69%. Given TeraWulf’s higher probable upside, research analysts clearly believe TeraWulf is more favorable than BitFuFu.

Valuation and Earnings

This table compares TeraWulf and BitFuFu’s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
TeraWulf	$69.23 million	23.10	-$73.42 million	N/A	N/A
BitFuFu	$284.11 million	0.06	$10.49 million	N/A	N/A

BitFuFu has higher revenue and earnings than TeraWulf.

Institutional & Insider Ownership

62.5% of TeraWulf shares are held by institutional investors. Comparatively, 37.3% of BitFuFu shares are held by institutional investors. 24.9% of TeraWulf shares are held by insiders. Comparatively, 35.0% of BitFuFu shares are held by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company will outperform the market over the long term.

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 BitFuFu

BitFuFu Inc. provides digital asset mining and cloud-mining services in Singapore. It also offers miner rental, and miner hosting and sales services to institutional customers and individual digital asset enthusiasts. The company is based in Singapore, Singapore.