Head-To-Head Comparison: Aeva Technologies (NASDAQ:AEVA) versus Denso (OTCMKTS:DNZOY)

Denso (OTCMKTS:DNZOY) and Aeva Technologies (NASDAQ:AEVA) are both auto/tires/trucks companies, but which is the superior stock? We will contrast the two companies based on the strength of their earnings, risk, profitability, dividends, valuation, analyst recommendations and institutional ownership.

Earnings & Valuation

This table compares Denso and Aeva Technologies”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Denso	$47.03 billion	0.73	$2.77 billion	$0.92	12.77
Aeva Technologies	$18.08 million	44.46	-$145.43 million	($5.07)	-2.52

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

Risk and Volatility

Denso has a beta of 1.04, indicating that its stock price is 4% more volatile than the S&P 500. Comparatively, Aeva Technologies has a beta of 2.09, indicating that its stock price is 109% more volatile than the S&P 500.

Analyst Ratings

This is a summary of recent recommendations for Denso and Aeva Technologies, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Denso	0	4	0	0	2.00
Aeva Technologies	1	1	3	0	2.40

Aeva Technologies has a consensus price target of $26.50, suggesting a potential upside of 107.52%. Given Aeva Technologies’ stronger consensus rating and higher probable upside, analysts clearly believe Aeva Technologies is more favorable than Denso.

Profitability

This table compares Denso and Aeva Technologies’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Denso	5.12%	7.23%	4.57%
Aeva Technologies	-804.40%	-603.21%	-101.92%

Institutional and Insider Ownership

62.9% of Aeva Technologies shares are owned by institutional investors. 27.2% of Aeva Technologies shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company will outperform the market over the long term.

About Denso

DENSO Corporation engages in the manufacture and sale of automotive parts in Japan, rest of Asia, North America, Europe, and internationally. The company offers air-conditioning systems, including thermal management heat pump system, heat pump air-conditioning systems, refrigerant products, personal heating and cooling devices, air quality system, heat exchangers, bus air-conditioning systems, automotive freezers, and cooling products, as well as heating, ventilation, and air-conditioning units. It also provides gasoline, diesel, hybrid, electric vehicle, and fuel cell vehicle power-train systems; and safety and cockpit systems, such as driving environment recognition, vehicle dynamic control, collision safety, visibility support, cockpit information, and information security systems, as well as other products. In addition, the company offers automotive service parts and accessories, comprising spark plugs, oil and cabin air filters, wiper blades, air filter elements, starters, alternators, compressors, oxygen sensors, fuel pumps, air conditioner service parts, radiators, condensers, ion generators, air conditioners for busses and construction vehicles, and truck refrigeration products, as well as refrigerant recovery, recycling, and charging machines; and repair and support products and services. Further, it provides industrial solutions for factories in automotive parts production; agricultural solutions, including Profarm Controller, a climate control system for greenhouse and horticulture solutions; and household air conditioning equipment and industrial systems. The company was incorporated in 1949 and is headquartered in Kariya, Japan.

About Aeva Technologies

Aeva Technologies, Inc. engages in the design, development, manufacture, and sale of LiDAR sensing systems, and related perception and autonomy-enabling software solutions in North America, Europe, the Middle East, Africa, and Asia. The company develops its products using frequency modulated continuous wave (FMCW) sensing technology. It offers Aeries II, a 4D LiDAR solution that consist of 4D LiDAR sensing system with embedded software for automotive grade production across passenger car, trucking, and mobility applications; and Atlas, a FMCW 4D LiDAR with simultaneous velocity and range detection for the automotive market. The company's products are also used in industrial automation, consumer device, and security market applications. Aeva Technologies, Inc. was founded in 2017 and is headquartered in Mountain View, California.