Critical Analysis: Kandi Technologies Group (NASDAQ:KNDI) versus Fisker (NYSE:FSRN)

Fisker (NYSE:FSRN) and Kandi Technologies Group (NASDAQ:KNDI) are both small-cap auto/tires/trucks companies, but which is the superior investment? We will contrast the two companies based on the strength of their profitability, dividends, institutional ownership, valuation, earnings, risk and analyst recommendations.

Institutional & Insider Ownership

33.6% of Fisker shares are owned by institutional investors. Comparatively, 3.7% of Kandi Technologies Group shares are owned by institutional investors. 26.3% of Fisker shares are owned by company insiders. Comparatively, 16.8% of Kandi Technologies Group shares are owned by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock is poised for long-term growth.

Profitability

This table compares Fisker and Kandi Technologies Group’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Fisker	-278.72%	-161.43%	-23.26%
Kandi Technologies Group	0.01%	N/A	N/A

Valuation and Earnings

This table compares Fisker and Kandi Technologies Group’s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Fisker	$272.89 million	0.02	-$939.95 million	($2.22)	0.00
Kandi Technologies Group	$123.60 million	1.22	$10,000.00	$0.03	57.33

Kandi Technologies Group has lower revenue, but higher earnings than Fisker. Fisker is trading at a lower price-to-earnings ratio than Kandi Technologies Group, indicating that it is currently the more affordable of the two stocks.

Analyst Ratings

This is a breakdown of recent ratings and recommmendations for Fisker and Kandi Technologies Group, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Fisker	0	0	0	0	N/A
Kandi Technologies Group	0	0	0	0	N/A

Risk & Volatility

Fisker has a beta of 0.16, suggesting that its stock price is 84% less volatile than the S&P 500. Comparatively, Kandi Technologies Group has a beta of 1.35, suggesting that its stock price is 35% more volatile than the S&P 500.

Summary

Kandi Technologies Group beats Fisker on 8 of the 11 factors compared between the two stocks.

About Fisker

Fisker Inc. develops, manufactures, markets, leases, or sells electric vehicles. It operates through three segments: The White Space, The Value Segment, and The Conservative Premium segments. The company is also involved in asset-light automotive business. In addition, it offers fisker flexible platform agnostic design, a process that develops and designs electric vehicles in specific segment size. The company was incorporated in 2016 and is headquartered in Manhattan Beach, California.

About Kandi Technologies Group

Kandi Technologies Group, Inc. engages in designing, developing, manufacturing, and commercializing electric vehicle (EV) products and parts in the People's Republic of China and the United States. It offers also off-road vehicles, including all-terrain vehicles, utility vehicles, go-karts, electric scooters, and electric self-balancing scooters, as well as related parts; and battery packs and smart battery swap system. The company was formerly known as Kandi Technologies, Corp. and changed its name to Kandi Technologies Group, Inc. in December 2012. Kandi Technologies Group, Inc. was founded in 2002 and is headquartered in Jinhua, the People's Republic of China.