CleanSpark vs. MicroStrategy: Evaluating Growth Potential in Bitcoin-Related Companies

For investors seeking exposure to *Bitcoin * without directly owning the cryptocurrency, CleanSpark (CLSK) and MicroStrategy (MSTR) present two intriguing options. Although both stocks are significantly impacted by Bitcoin's price fluctuations, their business models differ greatly. CleanSpark is primarily involved in Bitcoin mining, while MicroStrategy functions mainly as a major Bitcoin holding entity with a software foundation.

Investors looking to gain equity exposure in a Bitcoin-related company might consider investing in one of these stocks. Let's examine their fundamentals, growth potential, and market challenges to determine which presents a more compelling investment opportunity.

The Case for CleanSpark Stock

CleanSpark is dedicated to mining Bitcoin using energy-efficient data centers. Recent results indicate increased Bitcoin production and enhanced scalability. In fiscal 2025, the company produced 7,873 Bitcoins, marking a 10.9% increase from the previous year. The average revenue per Bitcoin was around $98,000, a 55% rise year over year, contributing to a strong fiscal 2025 financial performance. CleanSpark's revenues for fiscal 2025 surged 102.2% year over year to $766.3 million, with earnings of $1.12, a significant improvement from a loss of 69 cents in fiscal 2024.

The company is expanding its hashrate by acquiring and developing new sites, upgrading to more efficient machines, and enhancing its energy mix. CleanSpark owns and operates over 1.3 gigawatts (GW) of power and land across several U.S. states, including Georgia, Mississippi, Tennessee, New York, and Texas. As of September 30, 2025, CleanSpark's average hashrate reached 45.6 exahash per second (EH/s), up from 27.6 EH/s a year earlier.

However, the capital-intensive nature of Bitcoin mining remains a significant concern. To continue increasing its hashrate, CleanSpark must invest in machines, infrastructure, and power arrangements, often resulting in issuing new shares or incurring debt, which can dilute existing investors' holdings. In November 2025, the company raised $1.15 billion through convertible senior notes, raising potential equity dilution concerns.

Despite this, CleanSpark is actively transitioning from a pure Bitcoin miner to a broader digital infrastructure and artificial intelligence (AI) or high-performance computing (HPC) data center provider. The company is leveraging its existing assets, including power infrastructure and land, to develop advanced data centers for the rapidly growing AI and HPC sectors.

This diversification strategy positions CleanSpark to benefit from long-term growth drivers beyond the cyclical nature of Bitcoin prices. By having dual exposure to both crypto mining and AI infrastructure, CleanSpark offers more stable growth prospects over the long term. This strategic shift helps mitigate risks to the company's future revenue streams.

The Case for MicroStrategy Stock

MicroStrategy has evolved from a software analytics company into one of the largest corporate Bitcoin holders. The company's long-term prospects are closely tied to its substantial Bitcoin treasury and disciplined accumulation strategy. As of October 26, 2025, MicroStrategy held approximately 640,808 BTC, valued at nearly $71 billion, making it one of the largest corporate Bitcoin positions globally and a significant asset on its balance sheet.

Year-to-date, MicroStrategy has achieved a 26% BTC yield and nearly $12.9 billion in Bitcoin-related gains, highlighting the strength of its treasury strategy. With a full-year BTC yield target of 30% for 2025, the company remains focused on long-term value creation.

MicroStrategy's growing Bitcoin holdings are boosting its financial performance. In the third quarter of 2025, its revenues increased 11% year over year to $128.7 million, with earnings of $8.42 per share, a sharp improvement from a loss of $1.72 in the same quarter the previous year.

MicroStrategy's software business continues to show steady momentum, providing a solid foundation beneath its Bitcoin-heavy strategy. The double-digit revenue growth in the third quarter of 2025 was driven by rising demand for its analytics solutions and increased customer adoption.

Subscription services were a key highlight, surging 65% year over year, marking a strong shift toward recurring, high-margin revenues. This growth in subscriptions enhances revenue stability and reduces reliance on one-time license sales.

By consistently expanding its software segment alongside its Bitcoin treasury strategy, MicroStrategy is strengthening its long-term value proposition. The growing analytics platform not only diversifies revenues but also helps balance the higher volatility associated with digital-asset holdings.

CLSK vs. MSTR: Which Stock Has a Better Sales Growth Outlook?

According to the Zacks Consensus Estimate, CleanSpark has a more favorable sales outlook than MicroStrategy in the near term. The consensus estimate for CLSK's fiscal 2026 revenues is projected at $1 billion, indicating a year-over-year increase of 30.8%.

Conversely, the Zacks Consensus Estimate for MicroStrategy's 2025 and 2026 revenues is set at $473.1 million and $496.1 million, respectively, with projected year-over-year growth of just 2.1% and 4.9%.

CLSK vs. MSTR: Stock Price Performance and Valuation

Year-to-date, CleanSpark shares have gained 47.9%, outperforming MicroStrategy stock, which has declined by 39.2%.

In terms of valuation, CleanSpark trades at a forward 12-month price-to-sales (P/S) multiple of 3.47, significantly lower than MicroStrategy's 100.19.

While both stocks offer strong Bitcoin-linked exposure, CleanSpark provides faster expected revenue growth, a more attractive valuation, and a clearer path to diversification through AI and HPC data centers. MicroStrategy's slower sales growth outlook and higher valuations make it less appealing at present. Overall, CleanSpark appears better positioned for long-term upside relative to its risks and current valuation.

Currently, both CleanSpark and MicroStrategy hold a Zacks Rank #3 (Hold). You can view the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.

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