Financial Comparison: Optiva (OTCMKTS:RKNEF) and Hut 8 (NASDAQ:HUT)

Hut 8 (NASDAQ:HUT) and Optiva (OTCMKTS:RKNEF) are both technology companies, but which is the superior investment? We will compare the two companies based on the strength of their analyst recommendations, earnings, institutional ownership, valuation, profitability, risk and dividends.

Valuation & Earnings

This table compares Hut 8 and Optiva”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Hut 8	$317.95 million	30.84	-$226.15 million	($5.45)	-14.60
Optiva	N/A	N/A	N/A	N/A	N/A

Optiva has lower revenue, but higher earnings than Hut 8.

Insider & Institutional Ownership

31.8% of Hut 8 shares are owned by institutional investors. 10.4% of Hut 8 shares are owned by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company will outperform the market over the long term.

Analyst Recommendations

This is a breakdown of current ratings for Hut 8 and Optiva, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Hut 8	1	0	17	2	3.00
Optiva	0	0	0	0	0.00

Hut 8 currently has a consensus target price of $144.89, indicating a potential upside of 82.12%. Given Hut 8’s stronger consensus rating and higher possible upside, equities analysts plainly believe Hut 8 is more favorable than Optiva.

Profitability

This table compares Hut 8 and Optiva’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Hut 8	-188.59%	-0.97%	-0.36%
Optiva	N/A	N/A	N/A

Summary

Hut 8 beats Optiva on 7 of the 10 factors compared between the two stocks.

About Hut 8

Hut 8 Corp., together with its subsidiaries, acquires, builds, manages, and operates data centers for digital assets mining, computing, and artificial intelligence in the United States. It operates in four segments: Digital Assets Mining, Managed Services, High Performance Computing Colocation and Cloud, and Other. The company mines Bitcoin. It also offers managed services for energy infrastructure development, such as site design, procurement, and construction management; software automation, process design, personnel hiring, and team training; utilities contracts, hosting operations, and customer management; energy portfolio optimization and strategic initiatives; and finance, accounting, and safety services for digital asset mining site owners, governments, and data center developers. In addition, the company provides colocation, cloud, and connectivity services; hosting services, which include the provision of mining equipment and space, as well as monitors, troubleshoots, repairs, and maintains customer mining equipment; and equipment sales and repair services. Hut 8 Corp. was founded in 2017 and is based in Miami, Florida.

About Optiva

Optiva Inc. provides cloud-native monetization and business support systems products to communication service providers (CSP) in Europe, the Middle East, Africa, North America, Latin America, the Caribbean, Asia, and the Pacific Rim. The company’s cloud-native real-time converged charging and billing platform delivers a software platform, such as real-time charging, rating, billing, product catalog, policy management, and customer care for any digital services of a CSP. Its solutions include Optiva Business Support System (BSS) Platform, an end-to-end digital cloud native BSS solution on the private and public cloud for CSPs, including mobile network operators, MVNEs, and mobile virtual network operators; Optiva Charging Engine, a convergent charging solution, which is a cloud native platform for private and public cloud; Optiva MVNO Hubs, a unified and multi-tenant BSS -as a Service for MVNO/Es; and Optiva Partner Monetization, an end-to-end partner lifecycle management platform to onboard and manage telco B2B2X partner ecosystems. The company also offers payment solutions, policy control, wholesales billing, customer care, and subscriber self-service applications. In addition, it provides voucher management, collections and settlements, and dealer care services; professional services, such as installation, integration, and training; and post-contract customer support services. The company was formerly known as Redknee Solutions Inc. Optiva Inc. was founded in 1999 and is headquartered in Mississauga, Canada.