Head-To-Head Analysis: Wabash National (NYSE:WNC) versus Solid Power (NASDAQ:SLDP)

Wabash National (NYSE:WNC) and Solid Power (NASDAQ:SLDP) are both small-cap auto/tires/trucks companies, but which is the superior business? We will contrast the two companies based on the strength of their analyst recommendations, profitability, dividends, risk, valuation, earnings and institutional ownership.

Risk and Volatility

Wabash National has a beta of 1.67, meaning that its stock price is 67% more volatile than the S&P 500. Comparatively, Solid Power has a beta of 1.94, meaning that its stock price is 94% more volatile than the S&P 500.

Profitability

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

	Net Margins	Return on Equity	Return on Assets
Wabash National	13.71%	-22.79%	-6.77%
Solid Power	-429.54%	-23.88%	-22.13%

Institutional & Insider Ownership

97.1% of Wabash National shares are held by institutional investors. Comparatively, 33.7% of Solid Power shares are held by institutional investors. 2.8% of Wabash National shares are held by company insiders. Comparatively, 4.9% of Solid Power shares are held by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock will outperform the market over the long term.

Earnings & Valuation

This table compares Wabash National and Solid Power”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Wabash National	$1.54 billion	0.25	$211.45 million	$4.87	1.97
Solid Power	$21.75 million	34.18	-$93.41 million	($0.50)	-6.74

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

Analyst Ratings

This is a breakdown of current recommendations and price targets for Wabash National and Solid Power, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Wabash National	1	2	0	0	1.67
Solid Power	1	1	2	0	2.25

Wabash National presently has a consensus target price of $10.00, suggesting a potential upside of 4.42%. Solid Power has a consensus target price of $7.00, suggesting a potential upside of 107.72%. Given Solid Power’s stronger consensus rating and higher probable upside, analysts clearly believe Solid Power is more favorable than Wabash National.

Summary

Wabash National beats Solid Power on 8 of the 14 factors compared between the two stocks.

About Wabash National

Wabash National Corporation provides connected solutions for the transportation, logistics, and distribution industries primarily in the United States. The company operates through two segments, Transportation Solutions and Parts & Services. The Transportation Solutions segment designs and manufactures transportation-related equipment and products dry and refrigerated van trailers, platform trailers, tank trailers, and truck-mounted tanks; truck bodies for dry-freight transportation; cargo and cargo XL bodies for commercial applications; refrigerated truck bodies; platform truck bodies; and used trailers, as well as laminated hardwood oak flooring products. The Parts & Services segment provides aftermarket parts and services; steel flatbed bodies, truck body mounting, shelving for package delivery, partitions, roof racks, hitches, liftgates, thermal solutions, and others; truck body repair parts; and door repair and replacement, collision repair, and basic maintenance services. It also develops and scales a digital marketplace for the transportation and logistics distribution industry; operates a parts and services distribution platform; and stainless steel storage tanks and silos, mixers, and processors for the dairy, food and beverage, pharmaceutical, chemical, craft brewing, and biotech markets; trailers as a service; and composite products, including truck bodies, overhead doors, and other industrial application products, as well as used trailers. The company offers its products under the Wabash, DuraPlate, DuraPlateHD, DuraPlate AeroSkirt, and AeroSkirt CX brands, as well as EcoNex brand. It serves its products to truckload common carriers, leasing companies, private fleet carriers, less-than-truckload common carriers, and package carriers. Wabash National Corporation was founded in 1985 and is headquartered in Lafayette, Indiana.

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.