Lotus Technology (LOT) & The Competition Critical Review

Lotus Technology (NASDAQ:LOT) is one of 69 publicly-traded companies in the “Motor vehicles & car bodies” industry, but how does it compare to its competitors? We will compare Lotus Technology to related companies based on the strength of its valuation, institutional ownership, earnings, risk, dividends, profitability and analyst recommendations.

Volatility & Risk

Lotus Technology has a beta of -0.09, suggesting that its share price is 109% less volatile than the S&P 500. Comparatively, Lotus Technology’s competitors have a beta of 3.68, suggesting that their average share price is 268% more volatile than the S&P 500.

Valuation & Earnings

This table compares Lotus Technology and its competitors revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Lotus Technology	$679.01 million	-$742.00 million	-14.77
Lotus Technology Competitors	$48.43 billion	$2.49 billion	-10.22

Lotus Technology’s competitors have higher revenue and earnings than Lotus Technology. Lotus Technology is trading at a lower price-to-earnings ratio than its competitors, indicating that it is currently more affordable than other companies in its industry.

Analyst Recommendations

This is a summary of current recommendations for Lotus Technology and its competitors, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Lotus Technology	0	1	0	0	2.00
Lotus Technology Competitors	962	2497	3382	151	2.39

Lotus Technology currently has a consensus price target of $7.00, indicating a potential downside of 1.27%. As a group, “Motor vehicles & car bodies” companies have a potential upside of 7.70%. Given Lotus Technology’s competitors stronger consensus rating and higher possible upside, analysts clearly believe Lotus Technology has less favorable growth aspects than its competitors.

Insider & Institutional Ownership

63.4% of Lotus Technology shares are held by institutional investors. Comparatively, 46.0% of shares of all “Motor vehicles & car bodies” companies are held by institutional investors. 0.2% of Lotus Technology shares are held by insiders. Comparatively, 12.5% of shares of all “Motor vehicles & car bodies” companies are held by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company is poised for long-term growth.

Profitability

This table compares Lotus Technology and its competitors’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Lotus Technology	N/A	-0.62%	-39.40%
Lotus Technology Competitors	-150.54%	-25.94%	-9.14%

Summary

Lotus Technology competitors beat Lotus Technology on 10 of the 13 factors compared.

About Lotus Technology

Lotus Technology Inc. engages in the design, development, and sale of battery electric lifestyle vehicles worldwide. It also distributes sports cars. The company sells its products under the Lotus brand. Lotus Technology Inc. is based in Shanghai, China.