Head to Head Review: American Outdoor Brands (NASDAQ:AOUT) versus Kandi Technologies Group (NASDAQ:KNDI)

Kandi Technologies Group (NASDAQ:KNDI) and American Outdoor Brands (NASDAQ:AOUT) are both small-cap consumer discretionary companies, but which is the better stock? We will contrast the two companies based on the strength of their institutional ownership, earnings, dividends, profitability, analyst recommendations, valuation and risk.

Profitability

This table compares Kandi Technologies Group and American Outdoor Brands’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Kandi Technologies Group	N/A	N/A	N/A
American Outdoor Brands	-4.78%	0.62%	0.44%

Institutional & Insider Ownership

3.7% of Kandi Technologies Group shares are owned by institutional investors. Comparatively, 49.9% of American Outdoor Brands shares are owned by institutional investors. 16.8% of Kandi Technologies Group shares are owned by company insiders. Comparatively, 5.3% of American Outdoor Brands shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock will outperform the market over the long term.

Valuation and Earnings

This table compares Kandi Technologies Group and American Outdoor Brands”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Kandi Technologies Group	$127.57 million	0.58	-$50.50 million	($0.58)	-1.49
American Outdoor Brands	$222.32 million	0.51	-$80,000.00	($0.78)	-11.58

American Outdoor Brands has higher revenue and earnings than Kandi Technologies Group. American Outdoor Brands is trading at a lower price-to-earnings ratio than Kandi Technologies Group, indicating that it is currently the more affordable of the two stocks.

Volatility & Risk

Kandi Technologies Group has a beta of 0.55, indicating that its share price is 45% less volatile than the S&P 500. Comparatively, American Outdoor Brands has a beta of 0.4, indicating that its share price is 60% less volatile than the S&P 500.

Analyst Ratings

This is a summary of current recommendations for Kandi Technologies Group and American Outdoor Brands, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Kandi Technologies Group	1	0	0	0	1.00
American Outdoor Brands	2	0	2	0	2.00

American Outdoor Brands has a consensus target price of $12.50, suggesting a potential upside of 38.43%. Given American Outdoor Brands’ stronger consensus rating and higher possible upside, analysts plainly believe American Outdoor Brands is more favorable than Kandi Technologies Group.

Summary

American Outdoor Brands beats Kandi Technologies Group on 8 of the 14 factors compared between the two stocks.

About Kandi Technologies Group

Kandi Technologies Group, Inc. engages in designing, developing, manufacturing, and commercializing electric vehicle (EV) products and parts in the People's Republic of China and the United States. It offers also off-road vehicles, including all-terrain vehicles, utility vehicles, go-karts, electric scooters, and electric self-balancing scooters, as well as related parts; and battery packs and smart battery swap system. The company was formerly known as Kandi Technologies, Corp. and changed its name to Kandi Technologies Group, Inc. in December 2012. Kandi Technologies Group, Inc. was founded in 2002 and is headquartered in Jinhua, the People's Republic of China.

About American Outdoor Brands

American Outdoor Brands, Inc. provides outdoor products and accessories for rugged outdoor enthusiasts in the United States and internationally. It offers hunting, fishing, camping, shooting, and personal security and defense products. The company also provides shooting sports accessories products include rests, vaults, and other related accessories; outdoor lifestyle products, such as premium sportsmen knives and tools for fishing and hunting; land management tools for hunting preparedness; harvesting products for post-hunt or post-fishing activities; outdoor cooking products; and camping, survival, and emergency preparedness products. In addition, it offers electro-optical devices, including hunting optics, firearm aiming devices, flashlights, and laser grips; and reloading, gunsmithing, and firearm cleaning supplies. The company sells its products through e-commerce and traditional distribution channels under the Adventurer, Harvester, Marksman, and Defender brand lanes. American Outdoor Brands, Inc. was incorporated in 2020 and is headquartered in Columbia, Missouri.