Reviewing Argo Blockchain (NASDAQ:ARBK) & OppFi (NYSE:OPFI)

OppFi (NYSE:OPFI) and Argo Blockchain (NASDAQ:ARBK) are both small-cap business services companies, but which is the superior stock? We will compare the two companies based on the strength of their dividends, analyst recommendations, profitability, valuation, earnings, risk and institutional ownership.

Profitability

This table compares OppFi and Argo Blockchain’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
OppFi	1.40%	35.04%	12.09%
Argo Blockchain	-92.08%	N/A	-59.43%

Volatility and Risk

OppFi has a beta of 1.57, suggesting that its stock price is 57% more volatile than the S&P 500. Comparatively, Argo Blockchain has a beta of 1.95, suggesting that its stock price is 95% more volatile than the S&P 500.

Valuation & Earnings

This table compares OppFi and Argo Blockchain”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
OppFi	$508.95 million	1.85	-$1.00 million	$0.16	68.35
Argo Blockchain	$50.56 million	0.64	-$35.03 million	($0.72)	-0.63

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

Analyst Ratings

This is a summary of recent recommendations and price targets for OppFi and Argo Blockchain, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
OppFi	0	2	1	0	2.33
Argo Blockchain	1	2	0	0	1.67

OppFi presently has a consensus target price of $7.50, suggesting a potential downside of 31.41%. Argo Blockchain has a consensus target price of $1.45, suggesting a potential upside of 222.15%. Given Argo Blockchain’s higher probable upside, analysts plainly believe Argo Blockchain is more favorable than OppFi.

Insider and Institutional Ownership

7.1% of OppFi shares are owned by institutional investors. Comparatively, 2.4% of Argo Blockchain shares are owned by institutional investors. 84.0% of OppFi shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock is poised for long-term growth.

Summary

OppFi beats Argo Blockchain on 12 of the 14 factors compared between the two stocks.

About OppFi

OppFi Inc. operates a cialty finance platform that allows banks to offer credit access. Its platform facilitates the OppLoans, an installment loan product; SalaryTap, a payroll deduction secured installment loan product; and OppFi Card, a credit card product. OppFi Inc. was founded in 2012 and is headquartered in Chicago, Illinois.

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.