Critical Review: Kaixin (NASDAQ:KXIN) vs. Isuzu Motors (OTCMKTS:ISUZY)

Kaixin (NASDAQ:KXIN) and Isuzu Motors (OTCMKTS:ISUZY) are both auto/tires/trucks companies, but which is the better investment? We will contrast the two companies based on the strength of their profitability, dividends, institutional ownership, earnings, risk, analyst recommendations and valuation.

Profitability

This table compares Kaixin and Isuzu Motors’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Kaixin	N/A	N/A	N/A
Isuzu Motors	4.09%	8.55%	4.07%

Analyst Recommendations

This is a summary of current ratings and target prices for Kaixin and Isuzu Motors, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Kaixin	1	0	0	0	1.00
Isuzu Motors	0	0	0	0	0.00

Risk and Volatility

Kaixin has a beta of 1.1, suggesting that its share price is 10% more volatile than the S&P 500. Comparatively, Isuzu Motors has a beta of 0.48, suggesting that its share price is 52% less volatile than the S&P 500.

Earnings & Valuation

This table compares Kaixin and Isuzu Motors”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Kaixin	$31.53 million	0.04	-$40.97 million	N/A	N/A
Isuzu Motors	$21.07 billion	0.53	$886.80 million	$1.28	12.20

Isuzu Motors has higher revenue and earnings than Kaixin.

Institutional & Insider Ownership

2.0% of Kaixin shares are owned by institutional investors. 20.8% of Kaixin shares are owned by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock is poised for long-term growth.

Summary

Isuzu Motors beats Kaixin on 6 of the 10 factors compared between the two stocks.

About Kaixin

Kaixin Auto Holdings primarily engages in the sale of domestic and imported automobiles in the People's Republic of China. It focuses on automobiles brands, such as Audi, BMW, Mercedes-Benz, Land Rover, Bentley, Rolls-Royce, and Porsche. The company is headquartered in Beijing, the People's Republic of China.

About Isuzu Motors

Isuzu Motors Limited manufactures and sells commercial vehicles, light commercial vehicles, and diesel engines and components worldwide. Its products include heavy and medium duty trucks and buses, and light-duty trucks; passenger pickup vehicles, pickup trucks, and SUVs; and marine and industrial engines. The company also supplies diesel engines to manufacturers in various fields, including construction machinery, agricultural equipment, power generators, and commercial vessels. In addition, it provides after-sales services; repair services of commercial vehicles and buses; and commercial vehicle leasing, and maintenance contract services. Further, the company manufactures automobile parts and engines. Additionally, it engages in the import, wholesale, supply, and export of vehicles, and components and parts; and logistics management activities, as well as import, assembly, and wholesale of pickup trucks and derivatives. The company was formerly known as Diesel Automobile Industry Co., Ltd. and changed its name to Isuzu Motors Limited in July 1949. Isuzu Motors Limited was founded in 1916 and is headquartered in Yokohama-shi, Japan.