Comparing BitFuFu (NASDAQ:FUFU) & Runway Growth Finance (NASDAQ:RWAY)

BitFuFu (NASDAQ:FUFU) and Runway Growth Finance (NASDAQ:RWAY) are both small-cap finance companies, but which is the better business? We will compare the two companies based on the strength of their profitability, valuation, dividends, earnings, analyst recommendations, institutional ownership and risk.

Volatility & Risk

BitFuFu has a beta of 0.24, indicating that its share price is 76% less volatile than the S&P 500. Comparatively, Runway Growth Finance has a beta of 0.59, indicating that its share price is 41% less volatile than the S&P 500.

Earnings and Valuation

This table compares BitFuFu and Runway Growth Finance”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
BitFuFu	$452.74 million	1.80	$10.49 million	N/A	N/A
Runway Growth Finance	$53.67 million	7.92	$44.34 million	$1.04	10.94

Runway Growth Finance has lower revenue, but higher earnings than BitFuFu.

Profitability

This table compares BitFuFu and Runway Growth Finance’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
BitFuFu	8.17%	40.15%	13.55%
Runway Growth Finance	27.05%	12.91%	6.33%

Analyst Recommendations

This is a breakdown of current recommendations for BitFuFu and Runway Growth Finance, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
BitFuFu	0	0	1	0	3.00
Runway Growth Finance	0	5	3	0	2.38

BitFuFu currently has a consensus price target of $7.00, suggesting a potential upside of 39.72%. Runway Growth Finance has a consensus price target of $12.04, suggesting a potential upside of 5.81%. Given BitFuFu’s stronger consensus rating and higher probable upside, research analysts clearly believe BitFuFu is more favorable than Runway Growth Finance.

Institutional & Insider Ownership

37.3% of BitFuFu shares are held by institutional investors. Comparatively, 64.6% of Runway Growth Finance shares are held by institutional investors. 35.0% of BitFuFu shares are held by company insiders. Comparatively, 1.7% of Runway Growth Finance shares are held 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.

About BitFuFu

BitFuFu Inc. provides digital asset mining and cloud-mining services in Singapore. It also offers miner rental, and miner hosting and sales services to institutional customers and individual digital asset enthusiasts. The company is based in Singapore, Singapore.

About Runway Growth Finance

Runway Growth Finance Corp. is a business development company specializing investments in senior-secured loans to late stage and growth companies. It prefers to make investments in companies engaged in the technology, life sciences, healthcare and information services, business services and select consumer services and products sectors. It prefers to investments in companies engaged in electronic equipment and instruments, systems software, hardware, storage and peripherals and specialized consumer services, application software, healthcare technology, internet software and services, data processing and outsourced services, internet retail, human resources and employment services, biotechnology, healthcare equipment and education services. It invests in senior secured loans between $10 million and $75 million.