Comparing EVgo (NASDAQ:EVGO) and Gentex (NASDAQ:GNTX)

EVgo (NASDAQ:EVGO) and Gentex (NASDAQ:GNTX) are both auto/tires/trucks companies, but which is the superior investment? We will compare the two companies based on the strength of their valuation, dividends, institutional ownership, profitability, earnings, analyst recommendations and risk.

Valuation and Earnings

This table compares EVgo and Gentex”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
EVgo	$256.83 million	5.66	-$44.33 million	($0.41)	-11.54
Gentex	$2.31 billion	2.69	$404.49 million	$1.77	15.99

Gentex has higher revenue and earnings than EVgo. EVgo is trading at a lower price-to-earnings ratio than Gentex, indicating that it is currently the more affordable of the two stocks.

Insider and Institutional Ownership

17.4% of EVgo shares are held by institutional investors. Comparatively, 86.8% of Gentex shares are held by institutional investors. 58.8% of EVgo shares are held by insiders. Comparatively, 0.5% of Gentex shares are held by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock is poised for long-term growth.

Profitability

This table compares EVgo and Gentex’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
EVgo	-15.72%	N/A	-5.85%
Gentex	16.82%	16.86%	14.90%

Analyst Recommendations

This is a summary of recent recommendations for EVgo and Gentex, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
EVgo	0	2	8	1	2.91
Gentex	0	7	2	0	2.22

EVgo presently has a consensus price target of $6.24, indicating a potential upside of 31.87%. Gentex has a consensus price target of $29.75, indicating a potential upside of 5.12%. Given EVgo’s stronger consensus rating and higher probable upside, equities analysts plainly believe EVgo is more favorable than Gentex.

Volatility and Risk

EVgo has a beta of 2.34, indicating that its share price is 134% more volatile than the S&P 500. Comparatively, Gentex has a beta of 0.85, indicating that its share price is 15% less volatile than the S&P 500.

Summary

Gentex beats EVgo on 8 of the 15 factors compared between the two stocks.

About EVgo

EVgo, Inc. owns and operates a direct current fast charging network for electric vehicles (EVs) in the United States. The company offers electricity directly to drivers, who access its publicly available networked chargers; original equipment manufacturer charging and related services; fleet and rideshare public charging services; and charging as a service and fleet dedicated charging services. It also provides ancillary services, such as customization of digital applications, charging data integration, loyalty programs, access to chargers behind parking lot or garage pay gates, microtargeted advertising, and charging reservations; and hardware, design, and construction services for charging sites, as well as ongoing operations, maintenance, and networking and software integration solutions through eXtend. In addition, it offers PlugShare such as data, research, and advertising services and equipment procurement and operational services. EVgo, Inc. was incorporated in 2010 and is headquartered in Los Angeles, California.EVgo, Inc. operates as a subsidiary of EVgo Holdings LLC.

About Gentex

Gentex Corporation designs, develops, manufactures, markets, and supplies digital vision, connected car, dimmable glass, and fire protection products in the United States, Germany, Japan, Mexico, Republic of Korea, and internationally. It operates through Automotive Products and Other segments. The company offers automotive products, including interior and exterior electrochromic automatic-dimming rearview mirrors, automotive electronics, and non-automatic-dimming rearview mirrors for automotive passenger cars, light trucks, pick-up trucks, sport utility vehicles, and vans for original equipment manufacturers, automotive suppliers, and various aftermarket and accessory customers. It also provides variable dimmable windows to aircraft manufacturers and airline operators. In addition, the company offers photoelectric smoke detectors and alarms, electrochemical carbon monoxide alarms and detectors, audible and visual signaling alarms, and bells and speakers used in fire detection systems in office buildings, hotels, and other commercial and residential buildings, as well as researches and develops nanofiber chemical sensing products. It sells its fire protection products directly, as well as through sales managers and manufacturer representative organizations to fire protection and security product distributors, electrical wholesale houses, and original equipment manufacturers of fire protection systems. Gentex Corporation was incorporated in 1974 and is headquartered in Zeeland, Michigan.