Comparing Isuzu Motors (OTCMKTS:ISUZY) & XPeng (NYSE:XPEV)

XPeng (NYSE:XPEV) and Isuzu Motors (OTCMKTS:ISUZY) are both large-cap auto/tires/trucks companies, but which is the better investment? We will contrast the two businesses based on the strength of their valuation, risk, earnings, analyst recommendations, dividends, institutional ownership and profitability.

Analyst Ratings

This is a breakdown of current ratings and target prices for XPeng and Isuzu Motors, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
XPeng	2	4	8	3	2.71
Isuzu Motors	0	0	0	0	0.00

XPeng presently has a consensus price target of $25.37, suggesting a potential upside of 19.82%. Given XPeng’s stronger consensus rating and higher possible upside, analysts clearly believe XPeng is more favorable than Isuzu Motors.

Profitability

This table compares XPeng and Isuzu Motors’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
XPeng	-4.02%	-9.25%	-3.12%
Isuzu Motors	3.99%	8.16%	3.99%

Risk and Volatility

XPeng has a beta of 2.54, meaning that its share price is 154% more volatile than the S&P 500. Comparatively, Isuzu Motors has a beta of 0.6, meaning that its share price is 40% less volatile than the S&P 500.

Valuation and Earnings

This table compares XPeng and Isuzu Motors”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
XPeng	$5.60 million	3,587.96	-$805.43 million	($0.42)	-50.41
Isuzu Motors	$21.07 billion	0.51	$886.80 million	$1.28	11.81

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

Insider & Institutional Ownership

21.1% of XPeng shares are held by institutional investors. 27.6% of XPeng shares are held by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock will outperform the market over the long term.

Summary

XPeng beats Isuzu Motors on 8 of the 15 factors compared between the two stocks.

About XPeng

XPeng Inc. designs, develops, manufactures, and markets smart electric vehicles (EVs) in the People's Republic of China. It offers SUVs under the G3, G3i, and G9 names; four-door sports sedans under the P7 and P7i names; and family sedans under the P5 name. The company also provides sales contracts, super charging, maintenance, technical support, auto financing, insurance, technology support, ride-hailing, automotive loan referral, and other services, as well as vehicle leasing and insurance agency services. In addition, it offers advanced driver-assistance system technology and in-car intelligent operating system; and vehicle systems comprising powertrains, and the electrical and electronic architecture. XPeng Inc. was founded in 2015 and is headquartered in Guangzhou, the People's Republic of China.

About Isuzu Motors

Isuzu Motors Limited manufactures and sells commercial vehicles, light commercial vehicles, and diesel engines and components worldwide. Its products include heavy and medium duty trucks and buses, and light-duty trucks; passenger pickup vehicles, pickup trucks, and SUVs; and marine and industrial engines. The company also supplies diesel engines to manufacturers in various fields, including construction machinery, agricultural equipment, power generators, and commercial vessels. In addition, it provides after-sales services; repair services of commercial vehicles and buses; and commercial vehicle leasing, and maintenance contract services. Further, the company manufactures automobile parts and engines. Additionally, it engages in the import, wholesale, supply, and export of vehicles, and components and parts; and logistics management activities, as well as import, assembly, and wholesale of pickup trucks and derivatives. The company was formerly known as Diesel Automobile Industry Co., Ltd. and changed its name to Isuzu Motors Limited in July 1949. Isuzu Motors Limited was founded in 1916 and is headquartered in Yokohama-shi, Japan.