Contrasting Argo Blockchain (NASDAQ:ARBK) and Mr. Cooper Group (NASDAQ:COOP)

Mr. Cooper Group (NASDAQ:COOP) and Argo Blockchain (NASDAQ:ARBK) are both finance companies, but which is the better stock? We will compare the two businesses based on the strength of their earnings, valuation, profitability, analyst recommendations, institutional ownership, risk and dividends.

Insider & Institutional Ownership

89.8% of Mr. Cooper Group shares are owned by institutional investors. Comparatively, 2.4% of Argo Blockchain shares are owned by institutional investors. 2.3% of Mr. Cooper Group shares are owned by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company is poised for long-term growth.

Valuation and Earnings

This table compares Mr. Cooper Group and Argo Blockchain’s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Mr. Cooper Group	$1.79 billion	2.84	$500.00 million	$9.55	8.24
Argo Blockchain	$58.58 million	1.50	-$240.24 million	N/A	N/A

Mr. Cooper Group has higher revenue and earnings than Argo Blockchain.

Profitability

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

	Net Margins	Return on Equity	Return on Assets
Mr. Cooper Group	31.75%	13.31%	4.09%
Argo Blockchain	N/A	N/A	N/A

Volatility & Risk

Mr. Cooper Group has a beta of 1.38, suggesting that its stock price is 38% more volatile than the S&P 500. Comparatively, Argo Blockchain has a beta of 1.85, suggesting that its stock price is 85% more volatile than the S&P 500.

Analyst Ratings

This is a breakdown of recent recommendations for Mr. Cooper Group and Argo Blockchain, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Mr. Cooper Group	0	1	7	0	2.88
Argo Blockchain	0	2	1	0	2.33

Mr. Cooper Group presently has a consensus price target of $82.22, indicating a potential upside of 4.44%. Argo Blockchain has a consensus price target of $2.23, indicating a potential upside of 46.93%. Given Argo Blockchain’s higher possible upside, analysts plainly believe Argo Blockchain is more favorable than Mr. Cooper Group.

Summary

Mr. Cooper Group beats Argo Blockchain on 10 of the 12 factors compared between the two stocks.

About Mr. Cooper Group

Mr. Cooper Group Inc. engages in non-banking services for mortgage loans the United States. The company operates through Servicing and Originations segments. The Servicing segment performs activities for underlying mortgages, including collecting and disbursing borrower payments, investor reporting, customer service, and modifying loans. The Originations segment originates residential mortgage loans through its direct-to-consumer channel, as well as originates and purchases loans from mortgage bankers. It operates primarily under the Mr. Cooper and Xome brands. The company was formerly known as WMIH Corp. and changed its name to Mr. Cooper Group Inc. in October 2018. Mr. Cooper Group Inc. was incorporated in 2015 and is based in Coppell, Texas.

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.