Analyzing Volkswagen (OTCMKTS:VWAGY) and Lightning eMotors (NYSE:ZEV)

Volkswagen (OTCMKTS:VWAGY) and Lightning eMotors (NYSE:ZEV) are both auto/tires/trucks companies, but which is the superior business? We will compare the two businesses based on the strength of their earnings, valuation, analyst recommendations, profitability, dividends, institutional ownership and risk.

Earnings and Valuation

This table compares Volkswagen and Lightning eMotors’ revenue, earnings per share and valuation.

Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio
Volkswagen $265.83 billion 0.68 $10.13 billion $1.98 18.18
Lightning eMotors N/A N/A -$2.73 million N/A N/A

Volkswagen has higher revenue and earnings than Lightning eMotors.

Analyst Ratings

This is a summary of current ratings for Volkswagen and Lightning eMotors, as reported by MarketBeat.com.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Volkswagen 1 6 11 0 2.56
Lightning eMotors 0 0 3 0 3.00

Lightning eMotors has a consensus price target of $15.33, indicating a potential upside of 82.98%. Given Lightning eMotors’ stronger consensus rating and higher probable upside, analysts plainly believe Lightning eMotors is more favorable than Volkswagen.

Profitability

This table compares Volkswagen and Lightning eMotors’ net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Volkswagen 4.91% 9.20% 2.31%
Lightning eMotors N/A -56.16% -1.38%

Insider and Institutional Ownership

0.0% of Volkswagen shares are owned by institutional investors. Comparatively, 10.2% of Lightning eMotors shares are owned by institutional investors. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company is poised for long-term growth.

Summary

Volkswagen beats Lightning eMotors on 6 of the 9 factors compared between the two stocks.

About Volkswagen

Volkswagen AG engages in the production and sale of passenger cars and light commercial vehicles. The firm also develops vehicles and components for the brands of the group. It operates through following segments: Passenger Cars, Commercial Vehicles, Power Engineering, and Financial Services. The Passenger Cars segment covers the development of vehicles and engines; production and sale of passenger cars and light commercial vehicles; and the corresponding genuine parts business. The Commercial Vehicles segment covers the development, production, and sale of light commercial vehicles, trucks, and buses; and the corresponding genuine parts business and related services. The Power Engineering segment deals with the development and production of large-bore diesel engines, turbo compressors, industrial turbine,s and chemical reactor systems; and the production of gear units, propulsion component,s and testing systems. The Financial Services segment involves dealer and customer financing, leasing, banking, insurance, fleet management services. The company was founded on May 28, 1937 and is headquartered in Wolfsburg, Germany.

About Lightning eMotors

Lightning eMotors, Inc. produces electric fleet medium- and heavy-duty vehicles. The company's vehicles include delivery trucks, shuttle buses, passenger vans, chassis-cab models, and city transit buses. It also offers charging stations, installation project management, and maintenance and support, including Charging-as-a-Service. The company was founded in 2008 and is headquartered in Loveland, Colorado.

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