Reviewing Kaixin (NASDAQ:KXIN) and Subaru (OTCMKTS:FUJHY)

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

Institutional & Insider Ownership

2.0% of Kaixin shares are owned by institutional investors. Comparatively, 0.0% of Subaru 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.

Profitability

This table compares Kaixin and Subaru’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Kaixin	N/A	N/A	N/A
Subaru	2.27%	3.84%	2.05%

Analyst Recommendations

This is a breakdown of recent ratings and recommmendations for Kaixin and Subaru, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Kaixin	1	0	0	0	1.00
Subaru	1	0	1	1	2.67

Risk & Volatility

Kaixin has a beta of 1.11, meaning that its share price is 11% more volatile than the S&P 500. Comparatively, Subaru has a beta of 0.34, meaning that its share price is 66% less volatile than the S&P 500.

Valuation and Earnings

This table compares Kaixin and Subaru”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Kaixin	$31.53 million	0.00	-$40.97 million	N/A	N/A
Subaru	$30.77 billion	0.46	$2.23 billion	$0.50	19.70

Subaru has higher revenue and earnings than Kaixin.

Summary

Subaru beats Kaixin on 9 of the 12 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 Subaru

Subaru Corporation manufactures and sells automobiles and aerospace products in Japan, rest of Asia, North America, Europe, and internationally. It operates through three segments: Automotive, Aerospace, and Others. The company manufactures, sells, and repairs passenger cars and their components, aircrafts, aerospace-related machinery, and related components; and rents and manages real estate properties. It is also involved in the shipping, land freight, and warehousing of vehicles; leasing and rental of vehicles; credit and financing of vehicles; inspection, service, and maintenance of aircrafts; and IT system development and operation services. The company was formerly known as Fuji Heavy Industries Ltd. and changed its name to Subaru Corporation in April 2017. The company was founded in 1917 and is headquartered in Tokyo, Japan.