China Zenix Auto International (OTCMKTS:ZXAIY) and Worksport (NASDAQ:WKSP) Head to Head Survey

China Zenix Auto International (OTCMKTS:ZXAIY) and Worksport (NASDAQ:WKSP) are both small-cap auto/tires/trucks companies, but which is the better business? We will compare the two businesses based on the strength of their analyst recommendations, profitability, dividends, valuation, risk, earnings and institutional ownership.

Analyst Recommendations

This is a summary of recent ratings and recommmendations for China Zenix Auto International and Worksport, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
China Zenix Auto International	0	0	0	0	N/A
Worksport	0	0	0	0	N/A

Institutional & Insider Ownership

16.1% of Worksport shares are held by institutional investors. 11.7% of Worksport shares are held by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company will outperform the market over the long term.

Volatility & Risk

China Zenix Auto International has a beta of 2.6, meaning that its share price is 160% more volatile than the S&P 500. Comparatively, Worksport has a beta of 0.76, meaning that its share price is 24% less volatile than the S&P 500.

Profitability

This table compares China Zenix Auto International and Worksport’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
China Zenix Auto International	-41.87%	-40.07%	-24.13%
Worksport	-751.91%	-82.97%	-57.68%

Valuation & Earnings

This table compares China Zenix Auto International and Worksport’s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
China Zenix Auto International	$271.18 million	0.20	-$61.16 million	($2.23)	-0.46
Worksport	$1.53 million	11.15	-$14.93 million	($0.82)	-0.73

Worksport has lower revenue, but higher earnings than China Zenix Auto International. Worksport is trading at a lower price-to-earnings ratio than China Zenix Auto International, indicating that it is currently the more affordable of the two stocks.

About China Zenix Auto International

China Zenix Auto International Ltd. engages in the design, manufacture, and sale of steel wheels for commercial vehicles. It operates through the following segments: PRC Aftermarket Sales, PRC OEM Sales, and International Sales. The PRC Aftermarket Sales segment produces and sells steel and aluminum wheels to distributors. The PRC OEM Sales segment produces and sells steel and aluminum wheels to vehicle manufacturers. The International Sales segment manufactures wheels to distributors and vehicle manufacturers outside China. The company was founded on July 11, 2008 and is headquartered in Zhangzhou, China.

About Worksport

Worksport Ltd., through its subsidiary, designs and distributes truck tonneau covers in Canada and the United States. The company offers soft tonneau covers, such as vinyl wrapped tri- and quad-fold tonneau covers; and hard tonneau covers, including tri- and quad-fold aluminum covers. It also offers energy products, such as Worksport SOLIS, a tonneau cover with integrated solar panels; and Worksport COR energy storage system, a modular, portable power station. It serves its products to automotive accessories, consumer electronics, and residential and commercial HVAC system markets. The company also sells its products through wholesalers, private labels, distributors, and online retail channels, including eBay, Amazon, Walmart, and e-commerce platform hosted on Shopify. Worksport Ltd. is based in West Seneca, New York.