Contrasting Lucid Group (NASDAQ:LCID) and Envirotech Vehicles (NASDAQ:EVTV)

Lucid Group (NASDAQ:LCID) and Envirotech Vehicles (NASDAQ:EVTV) are both 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.

Valuation & Earnings

This table compares Lucid Group and Envirotech Vehicles”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Lucid Group	$807.83 million	4.45	-$2.71 billion	($10.71)	-1.04
Envirotech Vehicles	$1.87 million	3.91	-$8.85 million	($11.60)	-0.18

Envirotech Vehicles has lower revenue, but higher earnings than Lucid Group. Lucid Group is trading at a lower price-to-earnings ratio than Envirotech Vehicles, indicating that it is currently the more affordable of the two stocks.

Analyst Ratings

This is a breakdown of recent ratings for Lucid Group and Envirotech Vehicles, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Lucid Group	5	5	2	0	1.75
Envirotech Vehicles	1	0	0	0	1.00

Lucid Group presently has a consensus price target of $18.92, indicating a potential upside of 70.62%. Given Lucid Group’s stronger consensus rating and higher probable upside, research analysts plainly believe Lucid Group is more favorable than Envirotech Vehicles.

Profitability

This table compares Lucid Group and Envirotech Vehicles’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Lucid Group	-224.99%	-85.13%	-26.23%
Envirotech Vehicles	-753.60%	-152.81%	-58.76%

Institutional and Insider Ownership

75.2% of Lucid Group shares are owned by institutional investors. Comparatively, 5.7% of Envirotech Vehicles shares are owned by institutional investors. 64.0% of Lucid Group shares are owned by company insiders. Comparatively, 17.8% of Envirotech Vehicles 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.

Volatility and Risk

Lucid Group has a beta of 1.16, meaning that its stock price is 16% more volatile than the S&P 500. Comparatively, Envirotech Vehicles has a beta of 0.71, meaning that its stock price is 29% less volatile than the S&P 500.

Summary

Lucid Group beats Envirotech Vehicles on 12 of the 14 factors compared between the two stocks.

About Lucid Group

Lucid Group, Inc. a technology company, designs, engineers, manufactures, and sells electric vehicles (EV), EV powertrains, and battery systems. It also designs and develops proprietary software in-house for Lucid vehicles. The company sells vehicles directly to consumers through its retail sales network and direct online sales, including Lucid Financial Services. Lucid Group, Inc. was founded in 2007 and is headquartered in Newark, California. Lucid Group, Inc. operates as a subsidiary of Ayar Third Investment Company.

About Envirotech Vehicles

Envirotech Vehicles, Inc. manufactures and provides zero-emission electric vehicles in the United States. It offers Class 2 through logistics vans; class 4 through urban trucks, school buses, electric forklifts, street sweepers, neighborhood electric vehicles, and right-hand drive vans and urban trucks. The company also offers vehicle maintenance and safety inspection services. It serves commercial and last-mile fleets, school districts, public and private transportation service companies, and colleges and universities. The company was formerly known as ADOMANI, Inc. and changed its name to Envirotech Vehicles, Inc. in May 2021. Envirotech Vehicles, Inc. is headquartered in Osceola, Arkansas.