Financial Survey: Globant (NYSE:GLOB) and BIT Mining (NYSE:BTCM)

BIT Mining (NYSE:BTCM) and Globant (NYSE:GLOB) are both business services companies, but which is the better investment? We will compare the two businesses based on the strength of their risk, earnings, analyst recommendations, institutional ownership, profitability, valuation and dividends.

Insider & Institutional Ownership

5.3% of BIT Mining shares are held by institutional investors. Comparatively, 91.6% of Globant shares are held by institutional investors. 19.7% of BIT Mining shares are held by insiders. Comparatively, 2.7% of Globant 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.

Valuation and Earnings

This table compares BIT Mining and Globant”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	0.75	-$28.71 million	($1.31)	-2.22
Globant	$2.28 billion	4.16	$158.54 million	$3.81	57.92

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

Volatility and Risk

BIT Mining has a beta of 2.51, suggesting that its stock price is 151% more volatile than the S&P 500. Comparatively, Globant has a beta of 1.39, suggesting that its stock price is 39% more volatile than the S&P 500.

Profitability

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

	Net Margins	Return on Equity	Return on Assets
BIT Mining	N/A	N/A	N/A
Globant	7.39%	11.68%	8.05%

Analyst Ratings

This is a summary of current ratings and target prices for BIT Mining and Globant, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
BIT Mining	0	0	0	0	N/A
Globant	1	6	13	0	2.60

Globant has a consensus target price of $225.63, suggesting a potential upside of 2.24%. Given Globant’s higher probable upside, analysts plainly believe Globant is more favorable than BIT Mining.

Summary

Globant 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 in the Mainland China, the United States, and Hong Kong. The company operates in two segments: Data Center and Cryptocurrency Mining. It operates a cryptocurrency mining data center in Ohio with power capacity of 82.5 megawatts; and purchases and deploys bitcoin mining machines. In addition, it engages in online gaming activities; and provision of technology services. 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 Globant

Globant S.A., together with its subsidiaries, provides technology services worldwide. It provides digital solutions comprising blockchain, cloud technologies, cybersecurity, data and artificial intelligence, digital experience and performance, code, Internet of Things, metaverse, and engineering and testing; and enterprise technology solutions and services, such as Agile organization, Cultural Hacking, process optimization services, as well as AWS, Google Cloud, Microsoft, Oracle, SalesForce, SAP, and ServiceNow technology solutions. Further, the company provides e-commerce, conversational interfaces, design, digital marketing, and digital product delivery services. Additionally, it operates Augoor, an AI-powered platform; MagnifAI, an AI-powered solution for software quality assurance; StarMeUp, a science-based AI platform; WaaSabi, a finance platform; Walmeric, a lead-to-revenue management platform; GeneXus, a suit of AI development tools; Navigate for process optimization powerhouse; BeHealthy, a white-label platform; and FluentLab, an AI conversational and engagement solution. The company offers its services to various industries, including media and entertainment, professional services, technology and telecommunications, travel and hospitality, banks, financial services and insurance, consumer, retail and manufacturing, health care, and others. The company was formerly known as IT Outsourcing S.L. and changed its name to Globant S.A. in December 2012. Globant S.A. was founded in 2003 and is based in Luxembourg, Luxembourg.