E.Merge Technology Acquisition (NASDAQ:ETAC) and QuantumScape (NYSE:QS) are both small-cap unclassified companies, but which is the better business? We will compare the two businesses based on the strength of their valuation, earnings, profitability, dividends, risk, institutional ownership and analyst recommendations.
Insider & Institutional Ownership
32.5% of E.Merge Technology Acquisition shares are owned by institutional investors. Comparatively, 25.6% of QuantumScape shares are owned by institutional investors. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company will outperform the market over the long term.
Analyst Recommendations
This is a breakdown of recent ratings for E.Merge Technology Acquisition and QuantumScape, as provided by MarketBeat.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score |
---|
E.Merge Technology Acquisition | 0 | 0 | 0 | 0 | N/A |
QuantumScape | 1 | 1 | 1 | 0 | 2.00 |
QuantumScape has a consensus target price of $46.6667, indicating a potential downside of 14.98%. Given QuantumScape's higher possible upside, analysts plainly believe QuantumScape is more favorable than E.Merge Technology Acquisition.
Profitability
This table compares E.Merge Technology Acquisition and QuantumScape's net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets |
---|
E.Merge Technology Acquisition | N/A | N/A | N/A |
QuantumScape | N/A | N/A | N/A |
Valuation & Earnings
This table compares E.Merge Technology Acquisition and QuantumScape's gross revenue, earnings per share and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio |
---|
E.Merge Technology Acquisition | N/A | N/A | N/A | N/A | N/A |
QuantumScape | N/A | N/A | N/A | N/A | N/A |
Summary
QuantumScape beats E.Merge Technology Acquisition on 2 of the 3 factors compared between the two stocks.