Analyzing XPeng (NYSE:XPEV) & Fisker (NYSE:FSRN)

Fisker (NYSE:FSRN) and XPeng (NYSE:XPEV) are both auto/tires/trucks companies, but which is the superior investment? We will compare the two companies based on the strength of their analyst recommendations, dividends, valuation, earnings, profitability, risk and institutional ownership.

Valuation & Earnings

This table compares Fisker and XPeng”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Fisker	$272.89 million	0.11	-$939.95 million	($2.22)	-0.01
XPeng	$4.32 billion	2.29	-$1.47 billion	($1.22)	-8.60

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

Profitability

This table compares Fisker and XPeng’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Fisker	-278.72%	-161.43%	-23.26%
XPeng	-21.64%	-23.38%	-10.14%

Risk and Volatility

Fisker has a beta of 0.16, indicating that its share price is 84% less volatile than the S&P 500. Comparatively, XPeng has a beta of 2.79, indicating that its share price is 179% more volatile than the S&P 500.

Institutional & Insider Ownership

33.6% of Fisker shares are owned by institutional investors. Comparatively, 23.1% of XPeng shares are owned by institutional investors. 26.3% of Fisker shares are owned by insiders. Comparatively, 27.6% of XPeng shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company will outperform the market over the long term.

Analyst Ratings

This is a summary of recent recommendations for Fisker and XPeng, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Fisker	0	0	0	0	N/A
XPeng	0	1	4	1	3.00

XPeng has a consensus target price of $9.42, suggesting a potential downside of 10.20%. Given XPeng’s higher probable upside, analysts plainly believe XPeng is more favorable than Fisker.

Summary

XPeng beats Fisker on 11 of the 14 factors compared between the two stocks.

About Fisker

Fisker Inc. develops, manufactures, markets, leases, or sells electric vehicles. It operates through three segments: The White Space, The Value Segment, and The Conservative Premium segments. The company is also involved in asset-light automotive business. In addition, it offers fisker flexible platform agnostic design, a process that develops and designs electric vehicles in specific segment size. The company was incorporated in 2016 and is headquartered in Manhattan Beach, California.

About XPeng

XPeng Inc. designs, develops, manufactures, and markets smart electric vehicles (EVs) in the People's Republic of China. It offers SUVs under the G3, G3i, and G9 names; four-door sports sedans under the P7 and P7i names; and family sedans under the P5 name. The company also provides sales contracts, super charging, maintenance, technical support, auto financing, insurance, technology support, ride-hailing, automotive loan referral, and other services, as well as vehicle leasing and insurance agency services. In addition, it offers advanced driver-assistance system technology and in-car intelligent operating system; and vehicle systems comprising powertrains, and the electrical and electronic architecture. XPeng Inc. was founded in 2015 and is headquartered in Guangzhou, the People's Republic of China.