BRP (NASDAQ:DOOO) & Solid Power (NASDAQ:SLDP) Head-To-Head Survey

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

Profitability

This table compares Solid Power and BRP’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%
BRP	0.45%	67.30%	4.72%

Valuation & Earnings

This table compares Solid Power and BRP”s 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	37.46	-$96.52 million	($0.53)	-7.45
BRP	$8.03 billion	0.71	-$154.60 million	$0.37	210.39

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

Institutional & Insider Ownership

33.7% of Solid Power shares are owned by institutional investors. 4.9% of Solid Power shares are owned by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock is poised for long-term growth.

Analyst Recommendations

This is a summary of recent recommendations and price targets for Solid Power and BRP, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Solid Power	1	0	1	0	2.00
BRP	0	5	9	3	2.88

Solid Power currently has a consensus target price of $7.00, indicating a potential upside of 77.22%. BRP has a consensus target price of $84.40, indicating a potential upside of 8.42%. Given Solid Power’s higher probable upside, analysts plainly believe Solid Power is more favorable than BRP.

Volatility & Risk

Solid Power has a beta of 1.89, meaning that its share price is 89% more volatile than the S&P 500. Comparatively, BRP has a beta of 1.26, meaning that its share price is 26% more volatile than the S&P 500.

Summary

BRP beats Solid Power on 9 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 BRP

BRP Inc., together with its subsidiaries, designs, develops, manufactures, distributes, and markets powersports vehicles and marine products in the United States, Canada, Europe, the Asia Pacific, Mexico, Austria, and internationally. The Powersports segment offers year-round products, such as Can-Am all-terrain vehicles, side-by-side vehicles, and three-wheeled vehicles; and seasonal products, including Ski-Doo and Lynx snowmobiles, Sea-Doo personal watercrafts and pontoons, Rotax engines for karts and recreational aircraft, and Pinion gearboxes with smart shift systems. The Marine segment provides Alumacraft, Manitou, Quintrex, Stacer, and Yellowfin boats; Rotax engines for jet boats; and Rotax S outboard engine. The company was formerly known as J.A. Bombardier (J.A.B.) Inc. and changed its name to BRP Inc. in April 2013. BRP Inc. was founded in 1937 and is headquartered in Valcourt, Canada.