Contrasting Honda Motor (NYSE:HMC) & Mullen Automotive (NASDAQ:MULN)

Honda Motor (NYSE:HMC) and Mullen Automotive (NASDAQ:MULN) are both auto/tires/trucks companies, but which is the superior business? We will contrast the two businesses based on the strength of their profitability, risk, earnings, dividends, valuation, analyst recommendations and institutional ownership.

Insider & Institutional Ownership

5.3% of Honda Motor shares are owned by institutional investors. Comparatively, 11.7% of Mullen Automotive shares are owned by institutional investors. 0.0% of Honda Motor shares are owned by company insiders. Comparatively, 4.6% of Mullen Automotive 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.

Analyst Ratings

This is a summary of recent recommendations and price targets for Honda Motor and Mullen Automotive, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Honda Motor	0	1	0	0	2.00
Mullen Automotive	0	0	0	0	0.00

Profitability

This table compares Honda Motor and Mullen Automotive’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Honda Motor	4.53%	7.53%	3.31%
Mullen Automotive	N/A	N/A	N/A

Volatility & Risk

Honda Motor has a beta of 0.59, suggesting that its stock price is 41% less volatile than the S&P 500. Comparatively, Mullen Automotive has a beta of 1.94, suggesting that its stock price is 94% more volatile than the S&P 500.

Valuation and Earnings

This table compares Honda Motor and Mullen Automotive”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Honda Motor	$21,617.02 billion	0.00	$7.64 billion	$4.05	7.02
Mullen Automotive	$370,000.00	4.37	-$972.26 million	N/A	N/A

Honda Motor has higher revenue and earnings than Mullen Automotive.

Summary

Honda Motor beats Mullen Automotive on 6 of the 10 factors compared between the two stocks.

About Honda Motor

Honda Motor Co., Ltd. develops, manufactures, and distributes motorcycles, automobiles, power, and other products in Japan, North America, Europe, Asia, and internationally. It operates through four segments: Motorcycle Business, Automobile Business, Financial Services Business, and Power Product and Other Businesses. The Motorcycle Business segment produces motorcycles, including sports, business, and commuter models; and various off-road vehicles, such as all-terrain vehicles and side-by-sides. The Automobile Business segment offers passenger cars, light trucks, and mini vehicles. The Financial Services Business segment provides various financial services, including retail lending and leasing services to customers, as well as wholesale financing services to dealers. The Power Product and Other Businesses manufactures and sells power products, such as general purpose engines, lawn mowers, generators, water pumps, brush cutters, tillers, outboard marine engines, and snow throwers. This segment also offers HondaJet aircraft. The company also sells spare parts; and provides after-sale services through retail dealers directly, as well as through independent distributors and licensees. Honda Motor Co., Ltd. was founded in 1946 and is headquartered in Tokyo, Japan.

About Mullen Automotive

Mullen Automotive, Inc., an electric vehicle company, manufactures, sells, and distributes electric vehicles. Its products include passenger electric vehicles and commercial vehicles; and provides solid-state polymer battery technology. The company is headquartered in Brea, California.