Mazda Motor (OTCMKTS:MZDAY) versus BYD (OTCMKTS:BYDDF) Financial Analysis

Mazda Motor (OTCMKTS:MZDAY) and BYD (OTCMKTS:BYDDF) 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, risk, valuation, analyst recommendations, institutional ownership and dividends.

Analyst Ratings

This is a summary of current recommendations for Mazda Motor and BYD, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Mazda Motor	1	1	0	0	1.50
BYD	0	0	1	0	3.00

BYD has a consensus price target of $85.00, suggesting a potential upside of 488.56%. Given BYD’s stronger consensus rating and higher possible upside, analysts clearly believe BYD is more favorable than Mazda Motor.

Risk & Volatility

Mazda Motor has a beta of 0.63, suggesting that its share price is 37% less volatile than the S&P 500. Comparatively, BYD has a beta of 0.01, suggesting that its share price is 99% less volatile than the S&P 500.

Profitability

This table compares Mazda Motor and BYD’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Mazda Motor	0.39%	3.37%	1.52%
BYD	5.71%	22.70%	5.86%

Earnings & Valuation

This table compares Mazda Motor and BYD”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Mazda Motor	$32.96 billion	0.13	$752.92 million	$0.10	32.85
BYD	$108.10 billion	N/A	$5.60 billion	$0.71	20.34

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

Summary

BYD beats Mazda Motor on 9 of the 11 factors compared between the two stocks.

About Mazda Motor

Mazda Motor Corporation engages in the manufacture and sale of passenger cars and commercial vehicles in Japan, China, North America, Europe, and internationally. The company was formerly known as Toyo Kogyo Co., Ltd. and changed its name to Mazda Motor Corporation in May 1984. Mazda Motor Corporation was incorporated in 1920 and is headquartered in Hiroshima, Japan.

About BYD

BYD Company Limited, together with its subsidiaries, engages in automobiles and batteries business in the People's Republic of China, Hong Kong, Macau, Taiwan, and internationally. The company operates in two segments: Mobile Handset Components, Assembly Service and Other Products; and Automobiles and Related Products and Other Products. The Mobile Handset Components, Assembly Service and Other Products segment manufactures and sells mobile handset components, such as housings and electronic components; and offers assembly services. The Automobiles and Related Products and Other Products segment is involved in the manufacturing and sale of automobiles, and auto-related molds and components; rail transport and related business; and provision of automobile leasing and after sales services, automobile power batteries, lithium-ion batteries, photovoltaic, and iron battery products. The company develops urban rail transportation business. BYD Company Limited was founded in 1995 and is headquartered in Shenzhen, China.