Head to Head Survey: Blackbaud (NASDAQ:BLKB) and TeraWulf (NASDAQ:WULF)

TeraWulf (NASDAQ:WULF) and Blackbaud (NASDAQ:BLKB) are both mid-cap technology companies, but which is the better investment? We will contrast the two companies based on the strength of their institutional ownership, dividends, earnings, risk, analyst recommendations, valuation and profitability.

Earnings and Valuation

This table compares TeraWulf and Blackbaud”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
TeraWulf	$168.46 million	42.92	-$661.42 million	($4.37)	-3.32
Blackbaud	$1.13 billion	1.81	$114.97 million	$3.20	14.09

Blackbaud has higher revenue and earnings than TeraWulf. TeraWulf is trading at a lower price-to-earnings ratio than Blackbaud, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares TeraWulf and Blackbaud’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
TeraWulf	-1,179.94%	-458.62%	-8.54%
Blackbaud	13.12%	197.49%	6.33%

Volatility and Risk

TeraWulf has a beta of 3.7, suggesting that its share price is 270% more volatile than the S&P 500. Comparatively, Blackbaud has a beta of 0.99, suggesting that its share price is 1% less volatile than the S&P 500.

Analyst Ratings

This is a summary of current ratings and target prices for TeraWulf and Blackbaud, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
TeraWulf	1	2	16	3	2.95
Blackbaud	1	2	2	0	2.20

TeraWulf presently has a consensus price target of $34.21, indicating a potential upside of 136.08%. Blackbaud has a consensus price target of $49.50, indicating a potential upside of 9.80%. Given TeraWulf’s stronger consensus rating and higher probable upside, analysts clearly believe TeraWulf is more favorable than Blackbaud.

Institutional and Insider Ownership

62.5% of TeraWulf shares are held by institutional investors. Comparatively, 94.2% of Blackbaud shares are held by institutional investors. 15.9% of TeraWulf shares are held by insiders. Comparatively, 2.0% of Blackbaud shares are held by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock will outperform the market over the long term.

Summary

Blackbaud beats TeraWulf on 8 of the 15 factors compared between the two stocks.

About TeraWulf

TeraWulf Inc., together with its subsidiaries, operates as a digital asset technology company in the United States. The company develops, owns, and operates bitcoin mining facilities in New York and Pennsylvania. It is also involved in the provision of miner hosting services to third-party entities. The company was founded in 2021 and is headquartered in Easton, Maryland.

About Blackbaud

Blackbaud, Inc. provides cloud software solutions to nonprofits, foundations, education institutions, and healthcare organizations in the United States and internationally. The company offers fundraising and engagement solutions, such as Blackbaud Raiser's Edge NXT, Blackbaud CRM, Blackbaud eTapestry, Blackbaud Luminate Online, Blackbaud TeamRaiser, JustGiving, Blackbaud Fundraiser Performance Management, Blackbaud Guided Fundraising, and Blackbaud Altru; and financial management solutions comprising Blackbaud Financial Edge NXT, Blackbaud Tuition Management, and Blackbaud Financial Aid and Billing Management. It also provides grant and award management solutions, consisting of Blackbaud Grantmaking and Blackbaud Award Management; education solutions, such as Blackbaud Student Information System, Blackbaud Learning Management System, Blackbaud Enrollment Management System, and Blackbaud School Website System; social responsibility solutions, which includes YourCause GrantsConnect and YourCause CSRconnect, and EVERFI; Blackbaud Merchant Services and Blackbaud Purchase Cards payment services; and Blackbaud's Intelligence for Good solutions, as well as Data Health, Insights, and Performance solutions and services. The company sells its solutions and related services through its direct sales force. Blackbaud, Inc. was founded in 1981 and is headquartered in Charleston, South Carolina.