Contrasting CleanSpark (NASDAQ:CLSK) & Yiren Digital (NYSE:YRD)

CleanSpark (NASDAQ:CLSK) and Yiren Digital (NYSE:YRD) are both finance companies, but which is the superior investment? We will contrast the two companies based on the strength of their profitability, analyst recommendations, earnings, institutional ownership, dividends, valuation and risk.

Institutional and Insider Ownership

43.1% of CleanSpark shares are owned by institutional investors. Comparatively, 2.0% of Yiren Digital shares are owned by institutional investors. 3.5% of CleanSpark shares are owned by insiders. Comparatively, 42.2% of Yiren Digital shares are owned by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock will outperform the market over the long term.

Volatility and Risk

CleanSpark has a beta of 4.27, suggesting that its share price is 327% more volatile than the S&P 500. Comparatively, Yiren Digital has a beta of 0.73, suggesting that its share price is 27% less volatile than the S&P 500.

Profitability

This table compares CleanSpark and Yiren Digital’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
CleanSpark	-38.09%	-16.25%	-14.85%
Yiren Digital	42.51%	28.62%	22.10%

Analyst Ratings

This is a summary of recent ratings and price targets for CleanSpark and Yiren Digital, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
CleanSpark	0	1	5	0	2.83
Yiren Digital	0	0	0	0	N/A

CleanSpark presently has a consensus target price of $19.22, suggesting a potential upside of 22.79%. Given CleanSpark’s higher possible upside, equities research analysts plainly believe CleanSpark is more favorable than Yiren Digital.

Valuation & Earnings

This table compares CleanSpark and Yiren Digital’s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
CleanSpark	$168.41 million	18.41	-$136.59 million	N/A	N/A
Yiren Digital	$689.53 million	0.67	$292.99 million	$3.26	1.60

Yiren Digital has higher revenue and earnings than CleanSpark.

Summary

Yiren Digital beats CleanSpark on 6 of the 11 factors compared between the two stocks.

About CleanSpark

CleanSpark, Inc. operates as a bitcoin miner in the Americas. It owns and operates data centers that primarily run on low-carbon power. Its infrastructure supports Bitcoin, a digital commodity and a tool for financial independence and inclusion. The company was formerly known as Stratean Inc. and changed its name to CleanSpark, Inc. in November 2016. CleanSpark, Inc. was incorporated in 1987 and is headquartered in Henderson, Nevada.

About Yiren Digital

Yiren Digital Ltd. operates an AI-powered platform. Its platform provides a suite of financial and lifestyle services in China. The company delivers digital financial services, insurance solutions, as well as consumption and lifestyle services. It supports clients at various growth stages, addressing financing needs arising from consumption and production activities, and augmenting the well-being and security of individuals, families, and businesses. The company was formerly known as Yirendai Ltd. and changed its name to Yiren Digital Ltd. in September 2019. Yiren Digital Ltd. was founded in 2012 and is based in Beijing, the People's Republic of China. Yiren Digital Ltd. operates as a subsidiary of CreditEase Holdings (Cayman) Limited.