Reviewing EVgo (NASDAQ:EVGO) & Autoliv (NYSE:ALV)

Autoliv (NYSE:ALV) and EVgo (NASDAQ:EVGO) are both auto/tires/trucks companies, but which is the superior business? We will contrast the two companies based on the strength of their analyst recommendations, risk, earnings, dividends, institutional ownership, valuation and profitability.

Insider and Institutional Ownership

69.6% of Autoliv shares are held by institutional investors. Comparatively, 17.4% of EVgo shares are held by institutional investors. 0.2% of Autoliv shares are held by insiders. Comparatively, 58.8% of EVgo shares are held by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company will outperform the market over the long term.

Valuation and Earnings

This table compares Autoliv and EVgo”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Autoliv	$10.82 billion	0.74	$735.00 million	$9.56	11.21
EVgo	$384.09 million	1.44	-$41.57 million	($0.32)	-5.53

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

Analyst Ratings

This is a summary of recent recommendations for Autoliv and EVgo, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Autoliv	0	3	10	0	2.77
EVgo	1	3	6	0	2.50

Autoliv presently has a consensus target price of $134.50, suggesting a potential upside of 25.51%. EVgo has a consensus target price of $5.58, suggesting a potential upside of 215.25%. Given EVgo’s higher possible upside, analysts clearly believe EVgo is more favorable than Autoliv.

Volatility and Risk

Autoliv has a beta of 1.35, indicating that its share price is 35% more volatile than the S&P 500. Comparatively, EVgo has a beta of 2.8, indicating that its share price is 180% more volatile than the S&P 500.

Profitability

This table compares Autoliv and EVgo’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Autoliv	6.80%	30.42%	9.01%
EVgo	-10.82%	N/A	-4.60%

Summary

Autoliv beats EVgo on 10 of the 14 factors compared between the two stocks.

About Autoliv

Autoliv, Inc., through its subsidiaries, develops, manufactures, and supplies passive safety systems to the automotive industry in Europe, the Americas, China, Japan, and rest of Asia. It offers passive safety systems, including modules and components for frontal-impact airbag protection systems, side-impact airbag protection systems, seatbelts, steering wheels, and inflator technologies. The company also provides mobility safety solutions, such as pedestrian protection, battery cut-off switches, connected safety services, and safety solutions for riders of powered two wheelers. It primarily serves car manufacturers. Autoliv, Inc. was founded in 1953 and is headquartered in Stockholm, Sweden.

About EVgo

EVgo, Inc. owns and operates a direct current fast charging network for electric vehicles (EVs) in the United States. The company offers electricity directly to drivers, who access its publicly available networked chargers; original equipment manufacturer charging and related services; fleet and rideshare public charging services; and charging as a service and fleet dedicated charging services. It also provides ancillary services, such as customization of digital applications, charging data integration, loyalty programs, access to chargers behind parking lot or garage pay gates, microtargeted advertising, and charging reservations; and hardware, design, and construction services for charging sites, as well as ongoing operations, maintenance, and networking and software integration solutions through eXtend. In addition, it offers PlugShare such as data, research, and advertising services and equipment procurement and operational services. EVgo, Inc. was incorporated in 2010 and is headquartered in Los Angeles, California.EVgo, Inc. operates as a subsidiary of EVgo Holdings LLC.