NeoVolta (NASDAQ:NEOV) & Hoku (OTCMKTS:HOKUQ) Critical Analysis

NeoVolta (NASDAQ:NEOV) and Hoku (OTCMKTS:HOKUQ) are both small-cap oils/energy companies, but which is the superior stock? We will contrast the two companies based on the strength of their dividends, profitability, valuation, institutional ownership, risk, earnings and analyst recommendations.

Volatility and Risk

NeoVolta has a beta of -1.42, indicating that its stock price is 242% less volatile than the S&P 500. Comparatively, Hoku has a beta of -15, indicating that its stock price is 1,600% less volatile than the S&P 500.

Earnings & Valuation

This table compares NeoVolta and Hoku”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
NeoVolta	$2.47 million	63.59	-$2.30 million	($0.09)	-52.33
Hoku	N/A	N/A	N/A	N/A	N/A

Hoku has lower revenue, but higher earnings than NeoVolta.

Profitability

This table compares NeoVolta and Hoku’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
NeoVolta	-114.93%	-58.84%	-57.81%
Hoku	N/A	N/A	N/A

Insider and Institutional Ownership

5.1% of NeoVolta shares are owned by institutional investors. 15.2% of NeoVolta shares are owned by company insiders. Comparatively, 2.2% of Hoku shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock will outperform the market over the long term.

Analyst Recommendations

This is a breakdown of current recommendations for NeoVolta and Hoku, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
NeoVolta	0	0	1	0	3.00
Hoku	0	0	0	0	0.00

NeoVolta currently has a consensus target price of $7.50, suggesting a potential upside of 59.24%. Given NeoVolta’s stronger consensus rating and higher probable upside, research analysts clearly believe NeoVolta is more favorable than Hoku.

Summary

NeoVolta beats Hoku on 7 of the 10 factors compared between the two stocks.

About NeoVolta

NeoVolta Inc. designs, manufactures, and sells energy storage systems in the United States. It provides NV14, NV14-K, and NV 24 energy storage systems, which stores and uses energy through batteries and an inverter at residential or commercial sites. The company markets and sells its products directly to certified solar installers and solar equipment distributors. NeoVolta Inc. was formed in 2018 and is headquartered in Poway, California.

About Hoku

Hoku Corporation operates as a solar energy products and services company primarily in the United States. It focuses on manufacturing polysilicon, a primary material used in the manufacture of photovoltaic (PV) modules; and designing, engineering, and installing turnkey PV systems and related services in Hawaii using solar modules purchased from third-party suppliers. The company was formerly known as Hoku Scientific, Inc. and changed its name to Hoku Corporation in March 2010. Hoku Corporation was incorporated in 2001 and is headquartered in Honolulu, Hawaii. On July 2, 2013, Hoku Corporation along with its affiliates filed a voluntary petition for liquidation under Chapter 7 in the U.S. Bankruptcy Court for the District of Idaho.