Critical Analysis: Hino Motors (OTCMKTS:HINOY) versus Kaixin (NASDAQ:KXIN)

Kaixin (NASDAQ:KXIN) and Hino Motors (OTCMKTS:HINOY) are both auto/tires/trucks companies, but which is the better stock? We will contrast the two companies based on the strength of their earnings, institutional ownership, valuation, risk, dividends, profitability and analyst recommendations.

Volatility and Risk

Kaixin has a beta of 1.1, suggesting that its share price is 10% more volatile than the S&P 500. Comparatively, Hino Motors has a beta of -0.23, suggesting that its share price is 123% less volatile than the S&P 500.

Analyst Recommendations

This is a summary of recent ratings and recommmendations for Kaixin and Hino Motors, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Kaixin	1	0	0	0	1.00
Hino Motors	0	0	0	0	0.00

Profitability

This table compares Kaixin and Hino Motors’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Kaixin	N/A	N/A	N/A
Hino Motors	1.56%	-4.31%	-0.78%

Institutional & Insider Ownership

2.0% of Kaixin shares are owned by institutional investors. 20.8% of Kaixin shares are owned by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock is poised for long-term growth.

Earnings and Valuation

This table compares Kaixin and Hino Motors”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Kaixin	$31.53 million	0.07	-$40.97 million	N/A	N/A
Hino Motors	$11.15 billion	N/A	-$1.44 billion	$2.90	9.57

Kaixin has higher earnings, but lower revenue than Hino Motors.

Summary

Kaixin beats Hino Motors on 7 of the 9 factors compared between the two stocks.

About Kaixin

Kaixin Auto Holdings primarily engages in the sale of domestic and imported automobiles in the People's Republic of China. It focuses on automobiles brands, such as Audi, BMW, Mercedes-Benz, Land Rover, Bentley, Rolls-Royce, and Porsche. The company is headquartered in Beijing, the People's Republic of China.

About Hino Motors

Hino Motors, Ltd. manufactures and sells large commercial vehicles under the Hino brand worldwide. It offers trucks and buses; and light commercial vehicles and passenger vehicles, as well as various engines, service parts, etc. The company was founded in 1910 and is headquartered in Hino, Japan. Hino Motors, Ltd. operates as a subsidiary of Toyota Motor Corporation.