Comparing Aisin Seiki (OTCMKTS:ASEKY) & EVgo (NASDAQ:EVGO)

EVgo (NASDAQ:EVGO) and Aisin Seiki (OTCMKTS:ASEKY) are both auto/tires/trucks companies, but which is the better investment? We will compare the two businesses based on the strength of their analyst recommendations, risk, dividends, profitability, earnings, institutional ownership and valuation.

Profitability

This table compares EVgo and Aisin Seiki’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
EVgo	-10.82%	N/A	-4.60%
Aisin Seiki	3.26%	7.21%	3.86%

Institutional and Insider Ownership

17.4% of EVgo shares are owned by institutional investors. 58.8% of EVgo shares are owned by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company will outperform the market over the long term.

Earnings and Valuation

This table compares EVgo and Aisin Seiki”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
EVgo	$384.09 million	1.40	-$41.57 million	($0.32)	-5.38
Aisin Seiki	$32.15 billion	0.33	$699.31 million	$1.46	9.53

Aisin Seiki has higher revenue and earnings than EVgo. EVgo is trading at a lower price-to-earnings ratio than Aisin Seiki, indicating that it is currently the more affordable of the two stocks.

Analyst Recommendations

This is a summary of recent ratings for EVgo and Aisin Seiki, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
EVgo	1	3	6	0	2.50
Aisin Seiki	1	1	0	0	1.50

EVgo currently has a consensus target price of $5.58, suggesting a potential upside of 224.42%. Given EVgo’s stronger consensus rating and higher probable upside, analysts clearly believe EVgo is more favorable than Aisin Seiki.

Volatility & Risk

EVgo has a beta of 2.63, suggesting that its share price is 163% more volatile than the S&P 500. Comparatively, Aisin Seiki has a beta of 0.44, suggesting that its share price is 56% less volatile than the S&P 500.

About EVgo

EVgo, Inc. owns and operates a direct current fast charging network for electric vehicles (EVs) in the United States. The company offers electricity directly to drivers, who access its publicly available networked chargers; original equipment manufacturer charging and related services; fleet and rideshare public charging services; and charging as a service and fleet dedicated charging services. It also provides ancillary services, such as customization of digital applications, charging data integration, loyalty programs, access to chargers behind parking lot or garage pay gates, microtargeted advertising, and charging reservations; and hardware, design, and construction services for charging sites, as well as ongoing operations, maintenance, and networking and software integration solutions through eXtend. In addition, it offers PlugShare such as data, research, and advertising services and equipment procurement and operational services. EVgo, Inc. was incorporated in 2010 and is headquartered in Los Angeles, California.EVgo, Inc. operates as a subsidiary of EVgo Holdings LLC.

About Aisin Seiki

Aisin Corporation manufactures and sells automotive parts, and energy and lifestyle related products. It provides powertrain products comprising 1 motor hybrid transmission and eaxle products; chassis and vehicle safety systems, such as automated parking systems and electronically controlled brake systems; power sliding door systems and sunroof products; connected and sharing solutions; and repair and maintenance products. The company also offers energy solutions comprising ENE·FARM, a system that generates electricity by extracting hydrogen from gas; gas heat pump air conditioners; warm water shower toilet seats; and peltier modules that are thermoelectric conversion devices, which function as heat pumps by sending direct current. In addition, it provides ILY-Ai, a multifunctional personal shopping mobility product for various user needs; fiber laser; and audio equipment. Aisin Corporation was founded in 1943 and is headquartered in Kariya, Japan.