Critical Survey: Soluna (NASDAQ:SLNH) and CleanSpark (NASDAQ:CLSK)

Soluna (NASDAQ:SLNH) and CleanSpark (NASDAQ:CLSK) are both business services companies, but which is the better investment? We will compare the two companies based on the strength of their institutional ownership, valuation, dividends, analyst recommendations, risk, profitability and earnings.

Insider & Institutional Ownership

23.2% of Soluna shares are held by institutional investors. Comparatively, 43.1% of CleanSpark shares are held by institutional investors. 22.0% of Soluna shares are held by insiders. Comparatively, 3.5% of CleanSpark shares are held by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock is poised for long-term growth.

Analyst Recommendations

This is a summary of recent ratings and target prices for Soluna and CleanSpark, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Soluna	0	0	0	0	N/A
CleanSpark	0	1	6	0	2.86

CleanSpark has a consensus target price of $19.11, suggesting a potential upside of 59.82%. Given CleanSpark’s higher probable upside, analysts clearly believe CleanSpark is more favorable than Soluna.

Volatility & Risk

Soluna has a beta of 2.94, indicating that its stock price is 194% more volatile than the S&P 500. Comparatively, CleanSpark has a beta of 4.18, indicating that its stock price is 318% more volatile than the S&P 500.

Earnings & Valuation

This table compares Soluna and CleanSpark”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Soluna	$38.14 million	0.42	-$29.20 million	($23.20)	-0.18
CleanSpark	$342.81 million	7.95	-$136.59 million	N/A	N/A

Soluna has higher earnings, but lower revenue than CleanSpark.

Profitability

This table compares Soluna and CleanSpark’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Soluna	-77.32%	-43.44%	-24.06%
CleanSpark	-46.31%	-3.64%	-3.39%

Summary

CleanSpark beats Soluna on 9 of the 11 factors compared between the two stocks.

About Soluna

Soluna Holdings, Inc. together with its subsidiaries, engages in the mining of cryptocurrency through data centers. It operates through two segments, Cryptocurrency Mining and Data Center Hosting. The company also operates in the blockchain business. In addition, the company develops and builds modular data centers that use for cryptocurrency mining. Further, it provides data center hosting services, including electrical power and network connectivity to cryptocurrency mining customers. The company was formerly known as Mechanical Technology Inc and as changed to Soluna Holdings, Inc. Soluna Holdings, Inc. was incorporated in 1961 and is headquartered in Albany, New York.

About CleanSpark

CleanSpark, Inc. operates as a bitcoin miner in the Americas. It owns and operates data centers that primarily run on low-carbon power. Its infrastructure supports Bitcoin, a digital commodity and a tool for financial independence and inclusion. The company was formerly known as Stratean Inc. and changed its name to CleanSpark, Inc. in November 2016. CleanSpark, Inc. was incorporated in 1987 and is headquartered in Henderson, Nevada.