Canoo (NYSE:GOEV) and Adient (NYSE:ADNT) are both auto/tires/trucks companies, but which is the superior investment? We will contrast the two businesses based on the strength of their earnings, risk, analyst recommendations, valuation, institutional ownership, dividends and profitability.
Earnings & Valuation
This table compares Canoo and Adient's top-line revenue, earnings per share and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio |
---|
Canoo | N/A | N/A | $1.16 million | N/A | N/A |
Adient | $12.67 billion | 0.34 | $-547,000,000.00 | ($0.04) | -1,132.50 |
Canoo has higher earnings, but lower revenue than Adient.
Risk & Volatility
Canoo has a beta of 0.42, indicating that its share price is 58% less volatile than the S&P 500. Comparatively, Adient has a beta of 3.3, indicating that its share price is 230% more volatile than the S&P 500.
Analyst Ratings
This is a breakdown of recent recommendations for Canoo and Adient, as reported by MarketBeat.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score |
---|
Canoo | 0 | 1 | 1 | 0 | 2.50 |
Adient | 2 | 2 | 8 | 0 | 2.50 |
Canoo presently has a consensus price target of $15.00, suggesting a potential upside of 82.70%. Adient has a consensus price target of $44.1818, suggesting a potential downside of 2.47%. Given Canoo's higher possible upside, equities analysts plainly believe Canoo is more favorable than Adient.
Profitability
This table compares Canoo and Adient's net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets |
---|
Canoo | N/A | -29.50% | -0.48% |
Adient | -4.32% | -0.23% | -0.04% |
Institutional and Insider Ownership
84.9% of Adient shares are held by institutional investors. 26.3% of Canoo shares are held by insiders. Comparatively, 0.2% of Adient shares are held by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company will outperform the market over the long term.
Summary
Adient beats Canoo on 6 of the 10 factors compared between the two stocks.