Analyzing Toyota Motor (NYSE:TM) & GreenPower Motor (NASDAQ:GP)

GreenPower Motor (NASDAQ:GP) and Toyota Motor (NYSE:TM) are both auto/tires/trucks companies, but which is the better business? We will compare the two businesses based on the strength of their dividends, valuation, analyst recommendations, institutional ownership, profitability, risk and earnings.

Earnings and Valuation

This table compares GreenPower Motor and Toyota Motor”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
GreenPower Motor	$19.85 million	0.36	-$18.66 million	($0.62)	-0.38
Toyota Motor	$315.45 billion	0.85	$31.45 billion	$20.74	9.63

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

Analyst Ratings

This is a summary of recent ratings and target prices for GreenPower Motor and Toyota Motor, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
GreenPower Motor	0	0	1	0	3.00
Toyota Motor	1	2	2	0	2.20

GreenPower Motor currently has a consensus price target of $30.00, indicating a potential upside of 12,676.83%. Given GreenPower Motor’s stronger consensus rating and higher possible upside, analysts plainly believe GreenPower Motor is more favorable than Toyota Motor.

Profitability

This table compares GreenPower Motor and Toyota Motor’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
GreenPower Motor	-94.78%	-561.91%	-48.06%
Toyota Motor	8.77%	11.63%	4.58%

Volatility and Risk

GreenPower Motor has a beta of 3.03, suggesting that its share price is 203% more volatile than the S&P 500. Comparatively, Toyota Motor has a beta of 0.61, suggesting that its share price is 39% less volatile than the S&P 500.

Insider & Institutional Ownership

1.7% of GreenPower Motor shares are owned by institutional investors. Comparatively, 1.5% of Toyota Motor shares are owned by institutional investors. 28.1% of GreenPower Motor shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock is poised for long-term growth.

Summary

Toyota Motor beats GreenPower Motor on 9 of the 14 factors compared between the two stocks.

About GreenPower Motor

GreenPower Motor Company Inc. designs, manufactures, and distributes electric vehicles for commercial markets in the United States and Canada. The company offers commercial vehicles for delivery, public transit, schools, vanpools, micro-transit, shuttles, and other; and passenger, student, low floor transit, and cargo transportation. It leases its vehicles to customers. GreenPower Motor Company Inc. was founded in 2010 and is headquartered in Vancouver, Canada.

About Toyota Motor

Toyota Motor Corporation designs, manufactures, assembles, and sells passenger vehicles, minivans and commercial vehicles, and related parts and accessories in Japan, North America, Europe, Asia, Central and South America, Oceania, Africa, and the Middle East. It operates in Automotive, Financial Services, and All Other segments. The company offers subcompact and compact cars; mini-vehicles; mid-size, luxury, sports, and specialty cars; recreational and sport-utility vehicles; pickup trucks; minivans; trucks; and buses. It offers vehicles under the Toyota and Lexus brand names. Further, the company provides financial services, such as retail financing and leasing, wholesale financing, insurance, and credit cards. Additionally, it operates GAZOO.com, a web portal for automobile information, as well as engages in telecommunications and other businesses. The company was founded in 1933 and is headquartered in Toyota, Japan.