Ford Motor (NYSE:F) & Volcon (NASDAQ:EMPD) Financial Review

Volcon (NASDAQ:EMPD) and Ford Motor (NYSE:F) are both auto/tires/trucks companies, but which is the better stock? We will compare the two businesses based on the strength of their profitability, earnings, analyst recommendations, dividends, risk, institutional ownership and valuation.

Volatility & Risk

Volcon has a beta of -0.62, indicating that its stock price is 162% less volatile than the S&P 500. Comparatively, Ford Motor has a beta of 1.6, indicating that its stock price is 60% more volatile than the S&P 500.

Profitability

This table compares Volcon and Ford Motor’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Volcon	-1,758.79%	-27.36%	-23.81%
Ford Motor	2.48%	11.94%	1.87%

Institutional & Insider Ownership

58.7% of Ford Motor shares are held by institutional investors. 0.1% of Volcon shares are held by insiders. Comparatively, 0.5% of Ford Motor shares are held by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock will outperform the market over the long term.

Analyst Recommendations

This is a breakdown of current recommendations and price targets for Volcon and Ford Motor, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Volcon	1	0	0	1	2.50
Ford Motor	2	11	3	0	2.06

Ford Motor has a consensus price target of $11.88, suggesting a potential downside of 10.44%. Given Ford Motor’s higher probable upside, analysts clearly believe Ford Motor is more favorable than Volcon.

Earnings and Valuation

This table compares Volcon and Ford Motor”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Volcon	$4.04 million	48.68	-$45.51 million	($15.42)	-0.35
Ford Motor	$189.59 billion	0.28	$5.88 billion	$1.16	11.44

Ford Motor has higher revenue and earnings than Volcon. Volcon is trading at a lower price-to-earnings ratio than Ford Motor, indicating that it is currently the more affordable of the two stocks.

Summary

Ford Motor beats Volcon on 12 of the 15 factors compared between the two stocks.

About Volcon

Volcon, Inc. develops, manufactures, and sells electric off road powersport vehicles in the United States. It provides electric two and four-wheel motorcycles, and utility terrain vehicles through its dealers. The company also offers a line of upgrades and accessories. Its products are designed for family off-road adventures, and work on the farm and fun transport around private land applications. The company was formerly known as Frog ePowersports, Inc. and changed its name to Volcon, Inc. in October 2020. Volcon, Inc. was incorporated in 2020 and is based in Round Rock, Texas.

About Ford Motor

Ford Motor Company develops, delivers, and services a range of Ford trucks, commercial cars and vans, sport utility vehicles, and Lincoln luxury vehicles worldwide. It operates through Ford Blue, Ford Model e, and Ford Pro; Ford Next; and Ford Credit segments. The company sells Ford and Lincoln vehicles, service parts, and accessories through distributors and dealers, as well as through dealerships to commercial fleet customers, daily rental car companies, and governments. It also engages in vehicle-related financing and leasing activities to and through automotive dealers. In addition, the company provides retail installment sale contracts for new and used vehicles; and direct financing leases for new vehicles to retail and commercial customers, such as leasing companies, government entities, daily rental companies, and fleet customers. Further, it offers wholesale loans to dealers to finance the purchase of vehicle inventory; and loans to dealers to finance working capital and enhance dealership facilities, purchase dealership real estate, and other dealer vehicle programs. The company was incorporated in 1903 and is based in Dearborn, Michigan.