Financial Survey: BTGO (NYSE:BTGO) versus Chicago Atlantic BDC (NASDAQ:LIEN)

Chicago Atlantic BDC (NASDAQ:LIEN) and BTGO (NYSE:BTGO) are both small-cap finance companies, but which is the better business? We will compare the two businesses based on the strength of their risk, profitability, earnings, dividends, institutional ownership, analyst recommendations and valuation.

Profitability

This table compares Chicago Atlantic BDC and BTGO’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Chicago Atlantic BDC	52.82%	11.66%	10.21%
BTGO	N/A	N/A	N/A

Insider and Institutional Ownership

4.4% of Chicago Atlantic BDC shares are owned by institutional investors. 12.9% of Chicago Atlantic BDC 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.

Analyst Ratings

This is a breakdown of recent ratings for Chicago Atlantic BDC and BTGO, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Chicago Atlantic BDC	0	1	0	0	2.00
BTGO	1	3	10	1	2.73

BTGO has a consensus price target of $12.77, suggesting a potential upside of 76.32%. Given BTGO’s stronger consensus rating and higher possible upside, analysts plainly believe BTGO is more favorable than Chicago Atlantic BDC.

Earnings & Valuation

This table compares Chicago Atlantic BDC and BTGO”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Chicago Atlantic BDC	$54.30 million	4.30	$33.28 million	$1.39	7.35
BTGO	$16.15 billion	0.05	-$14.78 million	($1.45)	-5.00

Chicago Atlantic BDC has higher earnings, but lower revenue than BTGO. BTGO is trading at a lower price-to-earnings ratio than Chicago Atlantic BDC, indicating that it is currently the more affordable of the two stocks.

Summary

Chicago Atlantic BDC beats BTGO on 9 of the 14 factors compared between the two stocks.

About Chicago Atlantic BDC

Chicago Atlantic BDC Inc. is a specialty finance company which has elected to be regulated as a business development company. Its investment objective is to maximize risk-adjusted returns on equity for its stockholders by investing primarily in direct loans to privately held middle-market companies, with a primary focus on cannabis companies. Chicago Atlantic BDC Inc., formerly known as CHICAGO ATLNTIC, is based in NEW YORK.

About BTGO

BitGo Holdings Inc. is the digital asset infrastructure company delivering custody, wallets, staking, trading, financing, stablecoins and settlement services from regulated cold storage. BitGo Holdings Inc. is based in NEW YORK.