Reviewing IG Group (OTCMKTS:IGGHY) and Marathon Digital (NASDAQ:MARA)

IG Group (OTCMKTS:IGGHY) and Marathon Digital (NASDAQ:MARA) are both financial services companies, but which is the superior business? We will contrast the two businesses based on the strength of their risk, dividends, earnings, valuation, institutional ownership, profitability and analyst recommendations.

Analyst Ratings

This is a breakdown of recent recommendations and price targets for IG Group and Marathon Digital, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
IG Group	0	0	0	0	N/A
Marathon Digital	1	4	4	0	2.33

Marathon Digital has a consensus price target of $19.79, indicating a potential upside of 8.60%. Given Marathon Digital’s higher probable upside, analysts plainly believe Marathon Digital is more favorable than IG Group.

Earnings and Valuation

This table compares IG Group and Marathon Digital”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
IG Group	N/A	N/A	N/A	$0.41	28.66
Marathon Digital	$564.95 million	9.12	$261.17 million	$2.15	8.47

Marathon Digital has higher revenue and earnings than IG Group. Marathon Digital is trading at a lower price-to-earnings ratio than IG Group, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares IG Group and Marathon Digital’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
IG Group	N/A	N/A	N/A
Marathon Digital	62.57%	-5.15%	-4.23%

Insider & Institutional Ownership

0.1% of IG Group shares are owned by institutional investors. Comparatively, 44.5% of Marathon Digital shares are owned by institutional investors. 1.1% of Marathon Digital shares are owned by company insiders. 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.

Summary

Marathon Digital beats IG Group on 7 of the 10 factors compared between the two stocks.

About IG Group

IG Group Holdings plc, a fintech company, engages in the online trading business worldwide. The company offers over the counter (OTC) derivatives, which include CFD (Contracts For Difference) that enable traders to take advantage of changes in an asset's price without owning the asset itself, as well as access to a range of risk-mitigation measures, including stops and limits, and negative-balance protection; and OTC FX and options, and spread bets, under IG and IG Prime brands. It also provides exchange-traded derivatives under the tastytrade, an online brokerage and investor education platform; and Spectrum, a multilateral trading facility. In addition, the company offers stock trading and investment services that include share, commodities, equities, and fixed-income assets under IG brand. Further, it provides content and education solutions, such as daily live programming, news and original content, and webinars and tutorials under IG, tastylive, and DailyFX brands. Additionally, the company offers spread betting, CFD trading, foreign exchange and market risk management, data distribution, software development and support, financing, foreign exchange, market making, stock and exchange-traded funds trading, and translation services, as well as issues turbo warrants. IG Group Holdings plc was founded in 1974 and is headquartered in London, the United Kingdom.

About Marathon Digital

MARA Holdings, Inc. operates as a digital asset technology company that mines digital assets with a focus on the bitcoin ecosystem in United States. The company was formerly known as Marathon Digital Holdings, Inc. and changed its name to MARA Holdings, Inc. in August 2024. MARA Holdings, Inc. was incorporated in 2010 and is headquartered in Fort Lauderdale, Florida.