Contrasting TriplePoint Venture Growth BDC (NYSE:TPVG) & BTGO (NYSE:BTGO)

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

Profitability

This table compares BTGO and TriplePoint Venture Growth BDC’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
BTGO	N/A	N/A	N/A
TriplePoint Venture Growth BDC	44.58%	10.68%	4.58%

Analyst Ratings

This is a breakdown of recent ratings and target prices for BTGO and TriplePoint Venture Growth BDC, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
BTGO	1	3	10	1	2.73
TriplePoint Venture Growth BDC	2	4	0	0	1.67

BTGO currently has a consensus price target of $12.77, suggesting a potential upside of 66.96%. TriplePoint Venture Growth BDC has a consensus price target of $5.25, suggesting a potential upside of 1.65%. Given BTGO’s stronger consensus rating and higher probable upside, analysts clearly believe BTGO is more favorable than TriplePoint Venture Growth BDC.

Insider & Institutional Ownership

12.8% of TriplePoint Venture Growth BDC shares are owned by institutional investors. 1.5% of TriplePoint Venture Growth BDC shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company will outperform the market over the long term.

Earnings & Valuation

This table compares BTGO and TriplePoint Venture Growth BDC”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
BTGO	$20.07 billion	0.04	-$14.78 million	($1.45)	-5.28
TriplePoint Venture Growth BDC	$90.93 million	2.31	$49.21 million	$0.99	5.22

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

Summary

TriplePoint Venture Growth BDC beats BTGO on 9 of the 14 factors compared between the two stocks.

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.

About TriplePoint Venture Growth BDC

TriplePoint Venture Growth BDC Corp. is a business development company specializing investments in venture capital-backed companies at the growth stage investments. It also provides debt financing to venture growth space companies which includes growth capital loans, secured and customized loans, equipment financings, revolving loans and direct equity investments. The fund seeks to invest in e-commerce, entertainment, technology and life sciences sector. Within technology the areas of focus include: Security, wireless communication equipments, network system and software, business applications software, conferencing equipments/services .big data, cloud computing, data storage, electronics, energy efficiency, hardware, information services, internet and media, networking, semiconductors, software, software as a service, and other technology related subsectors and within life sciences the areas of focus include: biotechnology, bio fuels/bio mass, diagnostic testing and bioinformatics, drug delivery, drug discovery, healthcare information systems, healthcare services, medical, surgical and therapeutic devices, pharmaceuticals and other life science related subsectors. Within growth capital loans it invests between $5 million and $50 million, for equipment financings it invests between $5 million and $25 million, for revolving loans it invests between $1 million and $25 million, and for direct equity investments it may invest between $0.1 million and $5 million (generally not exceeding 5% of the company’s total equity). The debt financing products are typically structured as lines of credit and it invests through warrants and secured loans. It targeted returns between 10% and 18%. It does not take board seat in the company.