Analyzing Argo Blockchain (ARBK) & Its Peers

Argo Blockchain (NASDAQ:ARBK) is one of 105 public companies in the “Nondepository credit institutions” industry, but how does it weigh in compared to its rivals? We will compare Argo Blockchain to similar businesses based on the strength of its profitability, institutional ownership, dividends, valuation, earnings, analyst recommendations and risk.

Institutional & Insider Ownership

2.4% of Argo Blockchain shares are owned by institutional investors. Comparatively, 33.7% of shares of all “Nondepository credit institutions” companies are owned by institutional investors. 21.3% of shares of all “Nondepository credit institutions” companies are owned by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company will outperform the market over the long term.

Profitability

This table compares Argo Blockchain and its rivals’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Argo Blockchain	-70.83%	-27,427.20%	-39.43%
Argo Blockchain Competitors	-92.11%	-476.68%	-21.27%

Volatility and Risk

Argo Blockchain has a beta of 2.01, indicating that its share price is 101% more volatile than the S&P 500. Comparatively, Argo Blockchain’s rivals have a beta of 5.51, indicating that their average share price is 451% more volatile than the S&P 500.

Earnings & Valuation

This table compares Argo Blockchain and its rivals gross revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Argo Blockchain	$57.72 million	-$35.03 million	-2.49
Argo Blockchain Competitors	$2.72 billion	$394.40 million	4.30

Argo Blockchain’s rivals have higher revenue and earnings than Argo Blockchain. Argo Blockchain is trading at a lower price-to-earnings ratio than its rivals, indicating that it is currently more affordable than other companies in its industry.

Analyst Recommendations

This is a breakdown of recent ratings and target prices for Argo Blockchain and its rivals, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Argo Blockchain	0	2	1	0	2.33
Argo Blockchain Competitors	434	1623	2455	74	2.47

Argo Blockchain presently has a consensus target price of $2.23, suggesting a potential upside of 63.02%. As a group, “Nondepository credit institutions” companies have a potential upside of 6.06%. Given Argo Blockchain’s higher possible upside, analysts plainly believe Argo Blockchain is more favorable than its rivals.

Summary

Argo Blockchain rivals beat Argo Blockchain on 11 of the 13 factors compared.

About Argo Blockchain

Argo Blockchain plc, together with its subsidiaries, engages in the bitcoin and other cryptocurrencies mining business worldwide. It engages in mining purpose-built computers for complex cryptographic algorithms. The company was formerly known as GoSun Blockchain Limited and changed its name to Argo Blockchain plc in December 2017. Argo Blockchain plc was incorporated in 2017 and is based in London, the United Kingdom.