Financial Analysis: Faraday Future Intelligent Electric (FFAI) vs. Its Competitors

Faraday Future Intelligent Electric (NASDAQ:FFAI) is one of 71 public companies in the “AUTO/TRUCK – ORIG” industry, but how does it weigh in compared to its peers? We will compare Faraday Future Intelligent Electric to related companies based on the strength of its analyst recommendations, earnings, dividends, institutional ownership, profitability, valuation and risk.

Insider & Institutional Ownership

71.7% of Faraday Future Intelligent Electric shares are owned by institutional investors. Comparatively, 65.0% of shares of all “AUTO/TRUCK – ORIG” companies are owned by institutional investors. 0.4% of Faraday Future Intelligent Electric shares are owned by company insiders. Comparatively, 7.8% of shares of all “AUTO/TRUCK – ORIG” companies are owned by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company is poised for long-term growth.

Analyst Ratings

This is a summary of recent ratings and price targets for Faraday Future Intelligent Electric and its peers, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Faraday Future Intelligent Electric	1	1	0	0	1.50
Faraday Future Intelligent Electric Competitors	671	3352	4632	230	2.50

As a group, “AUTO/TRUCK – ORIG” companies have a potential upside of 18.98%. Given Faraday Future Intelligent Electric’s peers stronger consensus rating and higher possible upside, analysts clearly believe Faraday Future Intelligent Electric has less favorable growth aspects than its peers.

Risk & Volatility

Faraday Future Intelligent Electric has a beta of 4.53, meaning that its share price is 353% more volatile than the S&P 500. Comparatively, Faraday Future Intelligent Electric’s peers have a beta of 3.23, meaning that their average share price is 223% more volatile than the S&P 500.

Earnings and Valuation

This table compares Faraday Future Intelligent Electric and its peers gross revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Faraday Future Intelligent Electric	$614,000.00	-$355.85 million	-0.40
Faraday Future Intelligent Electric Competitors	$7.81 billion	$183.45 million	24.82

Faraday Future Intelligent Electric’s peers have higher revenue and earnings than Faraday Future Intelligent Electric. Faraday Future Intelligent Electric is trading at a lower price-to-earnings ratio than its peers, indicating that it is currently more affordable than other companies in its industry.

Profitability

This table compares Faraday Future Intelligent Electric and its peers’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Faraday Future Intelligent Electric	-54,380.62%	-187.07%	-52.34%
Faraday Future Intelligent Electric Competitors	-1,739.88%	-13.78%	-4.82%

Summary

Faraday Future Intelligent Electric peers beat Faraday Future Intelligent Electric on 11 of the 13 factors compared.

About Faraday Future Intelligent Electric

Faraday Future Intelligent Electric Inc. engages in the design, development, manufacture, engineering, sale, and distribution of electric vehicles and related products in the United States and internationally. The company was founded in 2014 and is headquartered in Gardena, California.