Bitfarms vs. Robinhood: The Better Growth Story
Key Points
Investors are pricing in aggressive earnings growth for Bitfarms in 2026.
Robinhood reached all-time highs in 2025 and is expanding into new revenue streams.
- 10 stocks we like better than Robinhood Markets ›
When it comes to growth stocks like Bitfarms (NASDAQ: BITF) and Robinhood (NASDAQ: HOOD), the story behind the numbers often matters just as much as the numbers themselves.
Bitfarms is pivoting from Bitcoin mining to high-performance computing (HPC) and AI infrastructure, with the goal of completing the transition by 2027. Robinhood is expanding into prediction markets, which are also booming. While both narratives are compelling, the conservative approach in this pair appears to be the better option for investors.
Where to invest $1,000 right now? Our analyst team just revealed what they believe are the 10 best stocks to buy right now, when you join Stock Advisor. See the stocks »
Image source: Getty Images.
There's high upside and high risk with Bitfarms
Investors are extremely optimistic about Bitfarms' future, as the stock has a forward P/E ratio of 84.04 (as of Dec. 24, 2025) for 2026, nearly four times its trailing ratio. However, expectation remains ahead of execution. Bitfarms stock has fallen 62% since early October 2025, and the company has missed earnings-per-share (EPS) estimates for three consecutive fiscal quarters, including its latest third-quarter 2025 EPS of negative 0.08, which worsened from the previous quarter. There's also the question of whether it can adapt and sustain itself in the competitive markets of AI and computing. Other mining companies, including Cipher Mining and IREN, are also undergoing similar transitions.
Robinhood's prediction market is primed to generate substantial revenue
Robinhood is another young company, but it has established itself as a leading mobile trading platform. Share prices surged as high as 300% in 2025, and EPS has grown for three consecutive fiscal quarters, including a 0.61 EPS in Q3 2025, beating expectations by nearly 20%. The brokerage's prediction market has become its fastest-growing product. Users can place bets on real-world events, such as political elections, TV award winners, and, as of late 2025, sports betting.
Robinhood is the safer growth story
Bitfarms' growth story is overly optimistic, relying on a future transition, yet it lacks a solid foundation. However, Robinhood's strong earnings pattern and expansion into a growing market lean toward a story that's steadier and more sustainable for growth.
Should you buy stock in Robinhood Markets right now?
Before you buy stock in Robinhood Markets, consider this:
The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Robinhood Markets wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.
Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $509,470!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,167,988!*
Now, it’s worth noting Stock Advisor’s total average return is 991% — a market-crushing outperformance compared to 196% for the S&P 500. Don't miss the latest top 10 list, available with Stock Advisor, and join an investing community built by individual investors for individual investors.
See the 10 stocks »
*Stock Advisor returns as of December 28, 2025.
Adé Hennis has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.
Recommended Articles
