Coinbase Global (NASDAQ:COIN) vs. Bitcoin Depot (NASDAQ:BTM) Head-To-Head Contrast

Bitcoin Depot (NASDAQ:BTM) and Coinbase Global (NASDAQ:COIN) are both prominent players in the financial sector, yet they offer different investment opportunities. To help determine which of these companies may be a better investment choice, we will analyze various aspects including analyst recommendations, dividends, profitability, valuations, earnings, institutional ownership, and risk levels.

Insider and Institutional Ownership

Evaluating ownership structures can be insightful. Bitcoin Depot has about 9.2% of its shares held by institutional investors, which is relatively low. In contrast, Coinbase Global boasts a significantly higher institutional ownership at 68.8%. Additionally, 70.2% of Bitcoin Depot shares are owned by insiders, whereas only 23.4% of Coinbase Global shares are held by insiders. High institutional ownership often indicates confidence from large investment firms in a company's long-term performance.

Analyst Ratings

Examining the prevailing analyst ratings can provide an indication of market sentiment. The latest data from MarketBeat.com shows a breakdown of the ratings for each company:

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Bitcoin Depot	0	1	2	1	3.00
Coinbase Global	1	9	10	0	2.45

Bitcoin Depot has a consensus price target of $3.67, which implies a potential upside of 100.36%. In contrast, Coinbase Global has a price target of $265.33, indicating a possible downside of 12.26%. Consequently, analysts appear to favor Bitcoin Depot over Coinbase Global in terms of potential upside.

Profitability

Profitability metrics like net margin and returns on equity and assets provide a clearer picture of financial health. The comparison is as follows:

	Net Margins	Return on Equity	Return on Assets
Bitcoin Depot	-2.28%	-488.33%	-15.15%
Coinbase Global	29.76%	14.81%	0.41%

Coinbase Global demonstrates superior profitability, exhibiting strong net margins compared to Bitcoin Depot which is currently operating at a loss.

Valuation & Earnings

Comparing the gross revenue, earnings per share (EPS), and overall valuation provides additional insight:

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Bitcoin Depot	$688.97 million	0.16	-$26.10 million	($0.93)	-1.97
Coinbase Global	$5.25 billion	14.43	$94.87 million	$5.86	51.60

Coinbase Global far exceeds Bitcoin Depot in terms of revenue and earnings, while Bitcoin Depot offers a more attractive trading price relative to its earnings.

Volatility & Risk

Understanding volatility is critical for investors. Bitcoin Depot has a beta of -0.33, indicating its share price is much less volatile compared to the broader market. Conversely, Coinbase Global has a beta of 3.34, indicating it is significantly more volatile.

Summary

In summary, Coinbase Global surpasses Bitcoin Depot in 11 of the 15 factors analyzed, demonstrating its stronger performance in several key areas.

About Bitcoin Depot

Bitcoin Depot Inc. operates a network of cryptocurrency kiosks across North America, allowing customers to buy and sell various cryptocurrencies such as bitcoin, litecoin, and ethereum. They also facilitate cryptocurrency sales through retail locations and their online platform. Based in Atlanta, Georgia, Bitcoin Depot is a subsidiary of BT Assets, Inc.

About Coinbase Global

Coinbase Global, Inc. is a key provider of technology and financial infrastructure for the global crypto economy. The company offers various services including a primary financial account for consumers engaging with cryptocurrencies, along with a marketplace providing liquidity for institutions involved in crypto transactions. Founded in 2012, Coinbase is headquartered in Wilmington, Delaware.

Coinbase, Bitcoin, Investment