Head to Head Review: China Yuchai International (NYSE:CYD) and Cooper-Standard (NYSE:CPS)

Cooper-Standard (NYSE:CPS) and China Yuchai International (NYSE:CYD) are both small-cap auto/tires/trucks companies, but which is the better investment? We will compare the two companies based on the strength of their institutional ownership, valuation, risk, analyst recommendations, earnings, dividends and profitability.

Risk & Volatility

Cooper-Standard has a beta of 2.69, indicating that its stock price is 169% more volatile than the S&P 500. Comparatively, China Yuchai International has a beta of 1.11, indicating that its stock price is 11% more volatile than the S&P 500.

Profitability

This table compares Cooper-Standard and China Yuchai International’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Cooper-Standard	1.08%	N/A	-0.58%
China Yuchai International	N/A	N/A	N/A

Institutional & Insider Ownership

69.1% of Cooper-Standard shares are owned by institutional investors. 8.8% of Cooper-Standard 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.

Earnings & Valuation

This table compares Cooper-Standard and China Yuchai International”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Cooper-Standard	$85.43 billion	0.01	-$78.75 million	$1.82	16.91
China Yuchai International	$22.63 billion	0.06	$45.03 million	N/A	N/A

China Yuchai International has lower revenue, but higher earnings than Cooper-Standard.

Analyst Recommendations

This is a breakdown of recent ratings and target prices for Cooper-Standard and China Yuchai International, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Cooper-Standard	1	2	1	0	2.00
China Yuchai International	0	3	0	0	2.00

Cooper-Standard presently has a consensus target price of $26.50, indicating a potential downside of 13.91%. Given Cooper-Standard’s higher possible upside, equities research analysts plainly believe Cooper-Standard is more favorable than China Yuchai International.

Summary

Cooper-Standard beats China Yuchai International on 7 of the 10 factors compared between the two stocks.

About Cooper-Standard

Cooper-Standard Holdings Inc., through its subsidiary, Cooper-Standard Automotive Inc., manufactures and sells sealing, fuel and brake delivery, and fluid transfer systems in the United States, Mexico, China, Poland, Canada, Germany, France, and internationally. The company offers sealing systems, including dynamic seals, static seals, encapsulated glasses, textured surfaces with cloth appearance, obstacle detection sensor systems, FlushSeal systems, variable extrusions, specialty sealing products, stainless steel trims, and frameless systems. It also provides fuel and brake delivery systems comprising chassis and tank fuel lines and bundles, metallic brake lines and bundles, quick connects, low oligomer multi-layer convoluted tubes, brake jounce lines, direct injection and port fuel rails, MagAlloy break tube coating, and ArmorTube brake tube coating. In addition, the company offers fluid transfer systems, such as heater/coolant hoses, turbo charger hoses, charged air cooler ducts/assemblies, diesel particulate filter lines, secondary air hoses, degas tanks and deaerators, brake and clutch hoses, air intake and discharge systems, transmission oil cooling hoses, high temperature MLTs, and multilayer tubing for glycol thermal management. Its products are primarily used in passenger vehicles and light trucks that are manufactured by automotive original equipment manufacturers and replacement markets. Cooper-Standard Holdings Inc. was founded in 1960 and is headquartered in Northville, Michigan.

About China Yuchai International

China Yuchai International Limited, through its subsidiaries, manufactures, assembles, and sells diesel and natural gas engines for trucks, buses and passenger vehicles, marine, industrial, construction, agriculture, and generator set applications in the People’s Republic of China and internationally. It operates through two segments, Yuchai and HLGE. The Yuchai segment manufactures on- and off-road powertrain solutions and applications. The HLGE is engaged in hospitality and property development activities. The company provides diesel engines comprising 4- and 6-cylinder diesel engines, high horsepower marine diesel engines, and power generator engines; natural gas engines, methanol combustion engines, diesel power generators, diesel engine parts, and remanufacturing services; as well as plug in hybrid engines, range extenders, power generation powertrains, hybrid powertrains, integrated electric drive axel powertrains, and fuel cell systems. It also offers maintenance and retrofitting services. It distributes its engines directly to auto original equipment manufacturers, agents, and retailers. The company was founded in 1951 and is based in Singapore.