When it comes to growth stocks like Bitfarms (BITF 0.81%) and Robinhood (HOOD 0.59%), 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.
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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.
NASDAQ: BITF
Key Data Points
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.
NASDAQ: HOOD
Key Data Points
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.
