Head-To-Head Review: SES AI (NYSE:SES) & U Power (NASDAQ:UCAR)

U Power (NASDAQ:UCAR) and SES AI (NYSE:SES) 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 risk, institutional ownership, profitability, earnings, dividends, valuation and analyst recommendations.

Institutional and Insider Ownership

13.2% of U Power shares are owned by institutional investors. Comparatively, 29.8% of SES AI shares are owned by institutional investors. 13.8% of SES AI shares are owned by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company will outperform the market over the long term.

Profitability

This table compares U Power and SES AI’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
U Power	N/A	N/A	N/A
SES AI	-490.03%	-35.31%	-29.81%

Analyst Ratings

This is a breakdown of recent ratings for U Power and SES AI, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
U Power	1	0	1	0	2.00
SES AI	1	0	1	0	2.00

U Power presently has a consensus price target of $5.00, indicating a potential upside of 208.64%. SES AI has a consensus price target of $4.00, indicating a potential upside of 104.60%. Given U Power’s higher probable upside, research analysts plainly believe U Power is more favorable than SES AI.

Volatility and Risk

U Power has a beta of 1.21, meaning that its stock price is 21% more volatile than the S&P 500. Comparatively, SES AI has a beta of 0.56, meaning that its stock price is 44% less volatile than the S&P 500.

Valuation and Earnings

This table compares U Power and SES AI”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
U Power	$6.07 million	1.23	-$6.57 million	N/A	N/A
SES AI	$2.04 million	349.86	-$100.18 million	($0.28)	-6.98

U Power has higher revenue and earnings than SES AI.

Summary

U Power beats SES AI on 7 of the 10 factors compared between the two stocks.

About U Power

U Power Limited, together with its subsidiaries, engages in the development, manufacture, and sale of new energy vehicles and battery swapping stations in the People's Republic of China. It also offers battery swapping and sourcing, as well as technical and consultation services. The company was founded in 2013 and is headquartered in Wuhu, the People's Republic of China.

About SES AI

SES AI Corporation engages in the development and production of high-performance Lithium-metal rechargeable batteries for electric vehicles, electric vehicle take-off and landing, and other applications. The company was founded in 2012 and is headquartered in Woburn, Massachusetts.