Comparing Niu Technologies (NASDAQ:NIU) and Great Wall Motor (OTCMKTS:GWLLF)

Great Wall Motor (OTCMKTS:GWLLF) and Niu Technologies (NASDAQ:NIU) are both consumer cyclical companies, but which is the superior business? We will contrast the two businesses based on the strength of their institutional ownership, analyst recommendations, valuation, dividends, risk, profitability and earnings.

Profitability

This table compares Great Wall Motor and Niu Technologies’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Great Wall Motor	N/A	N/A	N/A
Niu Technologies	-10.22%	-26.48%	-11.77%

Analyst Ratings

This is a summary of current ratings and price targets for Great Wall Motor and Niu Technologies, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Great Wall Motor	0	0	0	0	N/A
Niu Technologies	0	0	0	0	N/A

Insider and Institutional Ownership

10.8% of Great Wall Motor shares are held by institutional investors. Comparatively, 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 endowments, large money managers and hedge funds believe a company will outperform the market over the long term.

Earnings and Valuation

This table compares Great Wall Motor and Niu Technologies”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Great Wall Motor	N/A	N/A	N/A	$2.66	0.69
Niu Technologies	$2.85 billion	0.06	-$38.29 million	($0.47)	-5.06

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

Summary

Great Wall Motor beats Niu Technologies on 5 of the 8 factors compared between the two stocks.

About Great Wall Motor

Great Wall Motor Company Limited researches and develops, manufactures, and sells automobiles, and automotive parts and components in China, Europe, ASEAN countries, Latin America, the Middle East, Australia, South Africa, and internationally. The company offers SUVs, sedans, pick-up trucks, multi-purpose vehicles, and energy vehicles primarily under the Haval, WEY, ORA, Tank, and Great Wall Pickup brand names. It also provides investment and financing, logistics and goods transportation, buildings rental, after-sales, customer sales, technical development and consulting, technical, and finance leasing services; consulting services on automotive research and development; and operates investment platform. In addition, the company repairs automobiles; transports general goods; researches, develops, and manufactures auto moulds; researches and develops unmanned vehicles; researches and manufactures motorcycles and related parts; and automotive technology research and development, and technical consultancy services, as well as processes, recycles, and sells waste and used materials; and sells lubricants. Further, it engages in the wholesale and retail of car accessories; research and test development of engineering technology; international trading activities; scrap car recycling and dismantling activities; and provision of insurance brokering, technical, and computer system services, as well as development of network and information security software. The company was formerly known as Baoding Great Wall Motor Company Limited and changed its name to Great Wall Motor Company Limited in May 2003. The company was founded in 1984 and is headquartered in Baoding, China. Great Wall Motor Company Limited is a subsidiary of Baoding Innovation Great Wall Asset Management Company Limited.

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.