Analyzing Cosmos Group (OTCMKTS:COSG) & Stronghold Digital Mining (NASDAQ:SDIG)

Cosmos Group (OTCMKTS:COSG) and Stronghold Digital Mining (NASDAQ:SDIG) are both small-cap finance companies, but which is the superior business? We will contrast the two businesses based on the strength of their institutional ownership, analyst recommendations, profitability, valuation, earnings, dividends and risk.

Analyst Ratings

This is a summary of current ratings and target prices for Cosmos Group and Stronghold Digital Mining, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Cosmos Group	0	0	0	0	0.00
Stronghold Digital Mining	0	1	1	1	3.00

Stronghold Digital Mining has a consensus price target of $6.17, indicating a potential upside of 122.62%. Given Stronghold Digital Mining’s stronger consensus rating and higher possible upside, analysts plainly believe Stronghold Digital Mining is more favorable than Cosmos Group.

Insider and Institutional Ownership

19.3% of Stronghold Digital Mining shares are owned by institutional investors. 0.4% of Cosmos Group shares are owned by company insiders. Comparatively, 21.1% of Stronghold Digital Mining shares are owned by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company is poised for long-term growth.

Profitability

This table compares Cosmos Group and Stronghold Digital Mining’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Cosmos Group	N/A	N/A	-78.39%
Stronghold Digital Mining	-11.21%	13.67%	3.59%

Valuation & Earnings

This table compares Cosmos Group and Stronghold Digital Mining”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Cosmos Group	$620,000.00	0.74	-$77.34 million	N/A	N/A
Stronghold Digital Mining	$79.53 million	0.60	-$71.40 million	($3.70)	-0.75

Stronghold Digital Mining has higher revenue and earnings than Cosmos Group.

Volatility and Risk

Cosmos Group has a beta of 1.51, indicating that its stock price is 51% more volatile than the S&P 500. Comparatively, Stronghold Digital Mining has a beta of 2.99, indicating that its stock price is 199% more volatile than the S&P 500.

Summary

Stronghold Digital Mining beats Cosmos Group on 11 of the 13 factors compared between the two stocks.

About Cosmos Group

Cosmos Group Holdings Inc. focuses on the physical artworks and collectibles business in Hong Kong and internationally. It operates online platform to sell and distribute the arts and collectibles to end-users with the use of blockchain technologies and minting tokens. The company is based in Singapore.

About Stronghold Digital Mining

Stronghold Digital Mining, Inc., a crypto asset mining company, focuses on Bitcoin mining in the United States. It operates in two segments, Energy Operations and Cryptocurrency Operations. It also owns and operates coal refuse power generation facilities; and provides environmental remediation and reclamation services. The company was incorporated in 2021 and is headquartered in New York, New York.