Head to Head Analysis: BRP (NASDAQ:DOOO) vs. Niu Technologies (NASDAQ:NIU)

BRP (NASDAQ:DOOO) and Niu Technologies (NASDAQ:NIU) are both auto/tires/trucks companies, but which is the better stock? We will compare the two companies based on the strength of their valuation, analyst recommendations, institutional ownership, dividends, profitability, earnings and risk.

Profitability

This table compares BRP and Niu Technologies’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
BRP	0.45%	67.30%	4.72%
Niu Technologies	-0.94%	-4.37%	-1.35%

Analyst Recommendations

This is a summary of current ratings and recommmendations for BRP and Niu Technologies, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
BRP	0	4	8	2	2.86
Niu Technologies	1	1	0	0	1.50

BRP currently has a consensus target price of $94.75, suggesting a potential upside of 69.26%. Niu Technologies has a consensus target price of $3.50, suggesting a potential upside of 17.06%. Given BRP’s stronger consensus rating and higher possible upside, equities analysts clearly believe BRP is more favorable than Niu Technologies.

Institutional and Insider Ownership

75.1% of Niu Technologies shares are held by institutional investors. 10.2% of Niu Technologies shares are held by company 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.

Volatility and Risk

BRP has a beta of 1.26, indicating that its share price is 26% more volatile than the S&P 500. Comparatively, Niu Technologies has a beta of -0.07, indicating that its share price is 107% less volatile than the S&P 500.

Valuation & Earnings

This table compares BRP and Niu Technologies”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
BRP	$8.03 billion	0.51	-$154.60 million	$0.37	151.30
Niu Technologies	$616.02 million	0.38	-$5.63 million	($0.08)	-37.38

Niu Technologies has lower revenue, but higher earnings than BRP. Niu Technologies is trading at a lower price-to-earnings ratio than BRP, indicating that it is currently the more affordable of the two stocks.

Summary

BRP beats Niu Technologies on 12 of the 15 factors compared between the two stocks.

About BRP

BRP Inc., together with its subsidiaries, designs, develops, manufactures, distributes, and markets powersports vehicles and marine products in the United States, Canada, Europe, the Asia Pacific, Mexico, Austria, and internationally. The Powersports segment offers year-round products, such as Can-Am all-terrain vehicles, side-by-side vehicles, and three-wheeled vehicles; and seasonal products, including Ski-Doo and Lynx snowmobiles, Sea-Doo personal watercrafts and pontoons, Rotax engines for karts and recreational aircraft, and Pinion gearboxes with smart shift systems. The Marine segment provides Alumacraft, Manitou, Quintrex, Stacer, and Yellowfin boats; Rotax engines for jet boats; and Rotax S outboard engine. The company was formerly known as J.A. Bombardier (J.A.B.) Inc. and changed its name to BRP Inc. in April 2013. BRP Inc. was founded in 1937 and is headquartered in Valcourt, Canada.

About Niu Technologies

Niu Technologies designs, manufactures, and sells electric scooters in the People’s Republic of China, Europe, and internationally. The company offers RQi, NQi, MQi, SQi, UQi, F, and Gova series smart electric scooters, motorcycles, mopeds, and bicycles; KQi series kick-scooters; BQi series e-bikes; and Niu Aero Sports Bicycles. It also provides accessories and spare parts under the NIU brand name comprising scooter accessories, such as raincoats, gloves, knee pads, storage baskets and tail boxes, smart phone holders, backrests, and locks; lifestyle accessories, which includes T-shirts, coats, jeans, hats, bags, jewelry, notebooks, badges, key chain, and mugs; and performance upgrade components consisting of upgraded wheels, shock absorbers, brake calipers, and carbon fiber body panels. In addition, the company operates NIU app, which provides online repair request, service station locator, theft reporting, smart check, smart services, scooter status, historical riding data, and key diagnostics, as well as NIU cover, which provides insurance services. It sells and services its products through city partners and franchised stores, distributors, third-party e-commerce platforms, and its online store. The company was incorporated in 2014 and is headquartered in Beijing, the People’s Republic of China.