Analyzing Digihost Technology (NASDAQ:DGXX) & Defi Technologies (NASDAQ:DEFT)

Digihost Technology (NASDAQ:DGXX) and Defi Technologies (NASDAQ:DEFT) are both small-cap financial services companies, but which is the superior investment? We will compare the two businesses based on the strength of their analyst recommendations, dividends, profitability, valuation, earnings, risk and institutional ownership.

Volatility and Risk

Digihost Technology has a beta of 5.33, indicating that its stock price is 433% more volatile than the S&P 500. Comparatively, Defi Technologies has a beta of 5.25, indicating that its stock price is 425% more volatile than the S&P 500.

Insider and Institutional Ownership

1.9% of Digihost Technology shares are held by institutional investors. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock will outperform the market over the long term.

Earnings & Valuation

This table compares Digihost Technology and Defi Technologies”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Digihost Technology	$33.32 million	2.53	-$18.91 million	($0.52)	-4.46
Defi Technologies	$153.58 million	6.81	$96.61 million	$0.29	10.83

Defi Technologies has higher revenue and earnings than Digihost Technology. Digihost Technology is trading at a lower price-to-earnings ratio than Defi Technologies, indicating that it is currently the more affordable of the two stocks.

Analyst Recommendations

This is a breakdown of current ratings and target prices for Digihost Technology and Defi Technologies, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Digihost Technology	0	0	1	0	3.00
Defi Technologies	0	0	2	0	3.00

Digihost Technology currently has a consensus target price of $2.50, indicating a potential upside of 7.76%. Defi Technologies has a consensus target price of $6.25, indicating a potential upside of 99.04%. Given Defi Technologies’ higher possible upside, analysts clearly believe Defi Technologies is more favorable than Digihost Technology.

Profitability

This table compares Digihost Technology and Defi Technologies’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Digihost Technology	N/A	N/A	N/A
Defi Technologies	N/A	N/A	N/A

Summary

Defi Technologies beats Digihost Technology on 7 of the 9 factors compared between the two stocks.

About Digihost Technology

Digihost Technology Inc. operates as a blockchain technology company that focuses on digital currency mining in the United States. It mines for cryptocurrency. The company was incorporated in 2017 and is headquartered in Toronto, Canada.

About Defi Technologies

DeFi Technologies, Inc. engages in the provision of investment services. It plans to acquire equity, debt, or other securities of publicly traded or private companies or other entities. The firm offers DeFi ETNs, DeFi Governance, DeFi Venture and DeFi Treasury. The company was founded by Olivier Francois Roussy Newton and Wouter Witvoet on April 14, 1986 and is headquartered in Toronto, Canada.