Microsoft (NASDAQ:MSFT – Get Free Report) and Cleanspark (NASDAQ:CLSK – Get Free Report) are both technology companies, but which is the better business? We will compare the two businesses based on the strength of their profitability, risk, dividends, institutional ownership, analyst recommendations, earnings and valuation.
Profitability
This table compares Microsoft and Cleanspark’s net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| Microsoft | 41.17% | 32.31% | 19.03% |
| Cleanspark | -146.90% | -18.63% | -8.15% |
Valuation & Earnings
This table compares Microsoft and Cleanspark”s revenue, earnings per share and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| Microsoft | $331.84 billion | 11.66 | $133.75 billion | $17.96 | 29.01 |
| Cleanspark | $766.31 million | 2.57 | $364.46 million | ($3.77) | -2.03 |
Microsoft has higher revenue and earnings than Cleanspark. Cleanspark is trading at a lower price-to-earnings ratio than Microsoft, indicating that it is currently the more affordable of the two stocks.
Volatility & Risk
Microsoft has a beta of 1.1, indicating that its share price is 10% more volatile than the S&P 500. Comparatively, Cleanspark has a beta of 3.84, indicating that its share price is 284% more volatile than the S&P 500.
Analyst Recommendations
This is a breakdown of current ratings and target prices for Microsoft and Cleanspark, as reported by MarketBeat.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| Microsoft | 0 | 4 | 45 | 1 | 2.94 |
| Cleanspark | 2 | 0 | 14 | 1 | 2.82 |
Microsoft currently has a consensus target price of $609.54, indicating a potential upside of 17.01%. Cleanspark has a consensus target price of $22.75, indicating a potential upside of 196.80%. Given Cleanspark’s higher possible upside, analysts clearly believe Cleanspark is more favorable than Microsoft.
Insider and Institutional Ownership
71.1% of Microsoft shares are owned by institutional investors. Comparatively, 43.1% of Cleanspark shares are owned by institutional investors. 0.0% of Microsoft shares are owned by insiders. Comparatively, 2.1% of Cleanspark shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company is poised for long-term growth.
Summary
Microsoft beats Cleanspark on 11 of the 14 factors compared between the two stocks.
About Microsoft
Microsoft Corporation develops and supports software, services, devices and solutions worldwide. The Productivity and Business Processes segment offers office, exchange, SharePoint, Microsoft Teams, office 365 Security and Compliance, Microsoft viva, and Microsoft 365 copilot; and office consumer services, such as Microsoft 365 consumer subscriptions, Office licensed on-premises, and other office services. This segment also provides LinkedIn; and dynamics business solutions, including Dynamics 365, a set of intelligent, cloud-based applications across ERP, CRM, power apps, and power automate; and on-premises ERP and CRM applications. The Intelligent Cloud segment offers server products and cloud services, such as azure and other cloud services; SQL and windows server, visual studio, system center, and related client access licenses, as well as nuance and GitHub; and enterprise services including enterprise support services, industry solutions, and nuance professional services. The More Personal Computing segment offers Windows, including windows OEM licensing and other non-volume licensing of the Windows operating system; Windows commercial comprising volume licensing of the Windows operating system, windows cloud services, and other Windows commercial offerings; patent licensing; and windows Internet of Things; and devices, such as surface, HoloLens, and PC accessories. Additionally, this segment provides gaming, which includes Xbox hardware and content, and first- and third-party content; Xbox game pass and other subscriptions, cloud gaming, advertising, third-party disc royalties, and other cloud services; and search and news advertising, which includes Bing, Microsoft News and Edge, and third-party affiliates. The company sells its products through OEMs, distributors, and resellers; and directly through digital marketplaces, online, and retail stores. The company was founded in 1975 and is headquartered in Redmond, Washington.
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.
Receive News & Ratings for Microsoft Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Microsoft and related companies with MarketBeat.com's FREE daily email newsletter.
