Comparing Renault (OTCMKTS:RNLSY) & Volkswagen (OTCMKTS:VWAGY)

Renault (OTCMKTS:RNLSY) and Volkswagen (OTCMKTS:VWAGY) are both large-cap auto/tires/trucks companies, but which is the superior business? We will compare the two businesses based on the strength of their analyst recommendations, earnings, dividends, risk, institutional ownership, profitability and valuation.

Volatility & Risk

Renault has a beta of 1.3, meaning that its stock price is 30% more volatile than the S&P 500. Comparatively, Volkswagen has a beta of 1.27, meaning that its stock price is 27% more volatile than the S&P 500.

Profitability

This table compares Renault and Volkswagen’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Renault	N/A	N/A	N/A
Volkswagen	2.57%	4.21%	1.31%

Dividends

Renault pays an annual dividend of $0.29 per share and has a dividend yield of 3.6%. Volkswagen pays an annual dividend of $0.45 per share and has a dividend yield of 3.7%. Volkswagen pays out 24.9% of its earnings in the form of a dividend.

Analyst Recommendations

This is a breakdown of current ratings and price targets for Renault and Volkswagen, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Renault	0	1	0	1	3.00
Volkswagen	0	5	1	1	2.43

Valuation & Earnings

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

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Renault	$60.85 billion	0.19	$150.41 million	N/A	N/A
Volkswagen	$351.35 billion	0.17	$12.28 billion	$1.81	6.73

Volkswagen has higher revenue and earnings than Renault.

Summary

Volkswagen beats Renault on 7 of the 11 factors compared between the two stocks.

About Renault

Renault SA engages in the design, manufacture, sale, repair, maintenance, and leasing of motor vehicles in Europe, Eurasia, Africa, the Middle East, the Asia Pacific, and the Americas. It also engages in the design and production of parts and equipment used for manufacturing and operation vehicles. The company operates through Automotive, Sale Financing, and Mobility Services segments. Its Automotive segment produces, sells, and distributes passenger cars and light commercial vehicles; and invests in automotive-sector associates and joint ventures primarily in Nissan. The company's Sale Financing segment offers sale financing, leasing, maintenance, and services contract under the Mobilize Financial Services brand. Its Mobility Services segment provides mobility and energy solutions for electric vehicle users under the Mobilize brand. In addition, it is also involved in the design, manufacture, and sale of passenger cars and light commercial vehicles under the Renault, Dacia, Alpine, and Mobilize brands. Further, the company offers used vehicles and spare parts; and engages in business-to-business powertrain activities, and research and advanced engineering activities. Renault SA was founded in 1898 and is based in Boulogne-Billancourt, France.

About Volkswagen

Volkswagen AG manufactures and sells automobiles in Germany, other European countries, North America, South America, the Asia-Pacific, and internationally. The company operates through four segments: Passenger Cars and Light Commercial Vehicles, Commercial Vehicles, Power Engineering, and Financial Services. The Passenger Cars and Light Commercial Vehicles segment engages in the development of vehicles, engines, and vehicle software; produces and sells passenger cars and light commercial vehicles, and related parts; and offers motorcycles. The Commercial Vehicles segment develops, produces, and sells trucks and buses; and offers parts and related services. The Power Engineering segment offers large-bore diesel engines, turbomachinery, and propulsion components. The Financial Services segment provides dealership and customer financing, leasing, direct banking and insurance, fleet management, and mobility services. It sells its products under the Volkswagen Passenger Cars, koda, SEAT/CUPRA, Volkswagen Commercial Vehicles, Audi, Lamborghini, Bentley, Ducati, Porsche, Scania, MAN, Volkswagen Truck & Bus, Navistar commercial vehicles, and Bugatti brands. The company was founded in 1937 and is headquartered in Wolfsburg, Germany. Volkswagen AG operates as a subsidiary of Porsche Automobil Holding SE.