Critical Survey: Argo Blockchain (NASDAQ:ARBK) vs. RocketFuel Blockchain (OTCMKTS:RKFL)

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

Analyst Recommendations

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

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
RocketFuel Blockchain	0	0	0	0	0.00
Argo Blockchain	0	2	0	0	2.00

Argo Blockchain has a consensus target price of $1.45, indicating a potential upside of 98.09%. Given Argo Blockchain’s stronger consensus rating and higher probable upside, analysts clearly believe Argo Blockchain is more favorable than RocketFuel Blockchain.

Valuation & Earnings

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

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
RocketFuel Blockchain	$200,000.00	0.18	-$3.78 million	N/A	N/A
Argo Blockchain	$60.03 million	0.78	-$35.03 million	($0.72)	-1.02

RocketFuel Blockchain has higher earnings, but lower revenue than Argo Blockchain.

Profitability

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

	Net Margins	Return on Equity	Return on Assets
RocketFuel Blockchain	N/A	N/A	N/A
Argo Blockchain	-92.08%	-4,172.69%	-59.43%

Insider & Institutional Ownership

7.2% of RocketFuel Blockchain shares are owned by institutional investors. Comparatively, 2.4% of Argo Blockchain shares are owned by institutional investors. 28.7% of RocketFuel Blockchain shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock is poised for long-term growth.

Summary

RocketFuel Blockchain beats Argo Blockchain on 6 of the 10 factors compared between the two stocks.

About RocketFuel Blockchain

RocketFuel Blockchain, Inc. provides payment and check-out systems for shoppers on e-commerce sites using cryptocurrencies, bitcoin, and direct bank transfers. It also offers payout solutions, cross-border B2B transfer solutions, and other solutions, as well as invoicing and crypto payments services. The company has a strategic partnership with ACI Worldwide, Inc. to offer the cryptocurrency payment solution available to customers through ACI portals. RocketFuel Blockchain, Inc. was incorporated in 2018 and is headquartered in San Francisco, California.

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.