Head-To-Head Survey: Aptiv (NYSE:APTV) vs. Solid Power (NASDAQ:SLDP)

Solid Power (NASDAQ:SLDP) and Aptiv (NYSE:APTV) are both auto/tires/trucks companies, but which is the superior stock? We will compare the two businesses based on the strength of their analyst recommendations, valuation, profitability, institutional ownership, risk, dividends and earnings.

Institutional and Insider Ownership

33.7% of Solid Power shares are held by institutional investors. Comparatively, 94.2% of Aptiv shares are held by institutional investors. 7.2% of Solid Power shares are held by company insiders. Comparatively, 0.5% of Aptiv shares are held 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 current recommendations for Solid Power and Aptiv, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Solid Power	1	0	1	0	2.00
Aptiv	0	7	14	4	2.88

Solid Power currently has a consensus target price of $7.00, suggesting a potential upside of 50.86%. Aptiv has a consensus target price of $96.63, suggesting a potential upside of 24.99%. Given Solid Power’s higher probable upside, analysts clearly believe Solid Power is more favorable than Aptiv.

Volatility & Risk

Solid Power has a beta of 1.87, suggesting that its stock price is 87% more volatile than the S&P 500. Comparatively, Aptiv has a beta of 1.51, suggesting that its stock price is 51% more volatile than the S&P 500.

Valuation and Earnings

This table compares Solid Power and Aptiv”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Solid Power	$20.14 million	44.01	-$96.52 million	($0.53)	-8.75
Aptiv	$19.71 billion	0.85	$1.79 billion	$1.26	61.36

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

Profitability

This table compares Solid Power and Aptiv’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Solid Power	-429.55%	-24.88%	-23.07%
Aptiv	1.46%	18.51%	7.38%

Summary

Aptiv beats Solid Power on 11 of the 15 factors compared between the two stocks.

About Solid Power

Solid Power, Inc. develops solid state battery technologies for the electric vehicles (EV) and other markets in the United States. The company sells its sulfide-based solid electrolyte; and licenses its solid-state cell designs and manufacturing processes. It also produces and sells 0.2, 2, 20 ampere-hour (Ah), and EV cells. Solid Power, Inc. was founded in 2011 and is headquartered in Louisville, Colorado.

About Aptiv

Aptiv PLC engages in design, manufacture, and sale of vehicle components in North America, Europe, Middle East, Africa, the Asia Pacific, South America, and internationally. The company provides electrical, electronic, and safety technology solutions to the automotive and commercial vehicle markets. It operates through two segments, Signal and Power Solutions, and Advanced Safety and User Experience. The Signal and Power Solutions segment designs, manufactures, and assembles vehicle’s electrical architecture, including engineered component products, connectors, wiring assemblies and harnesses, cable management products, electrical centers, and hybrid high voltage and safety distribution systems. Its Advanced Safety and User Experience segment provides critical technologies and services for vehicle safety, security, comfort, and convenience, such as sensing and perception systems, electronic control units, multi-domain controllers, vehicle connectivity systems, application software, autonomous driving technologies, and end-to-end DevOps tools. The company was formerly known as Delphi Automotive PLC and changed its name to Aptiv PLC in December 2017. Aptiv PLC was incorporated in 2011 and is based in Dublin, Ireland.