Critical Review: NeoVolta (NASDAQ:NEOV) versus Stabilis Solutions (NASDAQ:SLNG)

NeoVolta (NASDAQ:NEOV) and Stabilis Solutions (NASDAQ:SLNG) are both small-cap energy companies, but which is the superior investment? We will contrast the two businesses based on the strength of their institutional ownership, earnings, dividends, profitability, risk, valuation and analyst recommendations.

Analyst Recommendations

This is a breakdown of current recommendations for NeoVolta and Stabilis Solutions, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
NeoVolta	0	0	1	0	3.00
Stabilis Solutions	0	0	1	0	3.00

NeoVolta presently has a consensus price target of $7.50, suggesting a potential upside of 31.35%. Stabilis Solutions has a consensus price target of $10.00, suggesting a potential upside of 148.14%. Given Stabilis Solutions’ higher possible upside, analysts plainly believe Stabilis Solutions is more favorable than NeoVolta.

Insider & Institutional Ownership

5.1% of NeoVolta shares are held by institutional investors. Comparatively, 3.8% of Stabilis Solutions shares are held by institutional investors. 15.2% of NeoVolta shares are held by company insiders. Comparatively, 72.2% of Stabilis Solutions shares are held by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock is poised for long-term growth.

Earnings & Valuation

This table compares NeoVolta and Stabilis Solutions”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
NeoVolta	$2.64 million	73.80	-$2.30 million	($0.12)	-47.58
Stabilis Solutions	$73.29 million	1.02	$4.60 million	$0.04	100.75

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

Profitability

This table compares NeoVolta and Stabilis Solutions’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
NeoVolta	-96.69%	-105.35%	-88.75%
Stabilis Solutions	1.28%	1.35%	1.05%

Risk and Volatility

NeoVolta has a beta of -0.93, indicating that its share price is 193% less volatile than the S&P 500. Comparatively, Stabilis Solutions has a beta of 0.11, indicating that its share price is 89% less volatile than the S&P 500.

Summary

Stabilis Solutions beats NeoVolta on 10 of the 12 factors compared between the two stocks.

About NeoVolta

NeoVolta Inc. designs, manufactures, and sells energy storage systems in the United States. It provides NV14, NV14-K, and NV 24 energy storage systems, which stores and uses energy through batteries and an inverter at residential or commercial sites. The company markets and sells its products directly to certified solar installers and solar equipment distributors. NeoVolta Inc. was formed in 2018 and is headquartered in Poway, California.

About Stabilis Solutions

Stabilis Solutions, Inc., together with its subsidiaries, an energy transition company, provides clean energy production, storage, transportation, and fueling solutions primarily using liquefied natural gas (LNG) to various end markets in North America. The company offers LNG solutions to customers in aerospace, agriculture, energy, industrial, marine bunkering, mining, pipeline, remote power, and utility markets. It also provides engineering and field support services, as well as rents cryogenic equipment. The company was founded in 2013 and is headquartered in Houston, Texas. Stabilis Solutions, Inc. is a subsidiary of LNG Investment Company LLC.