Critical Analysis: Iochpe-Maxion (OTCMKTS:IOCJY) vs. U Power (NASDAQ:UCAR)

Iochpe-Maxion (OTCMKTS:IOCJY) and U Power (NASDAQ:UCAR) are both small-cap auto/tires/trucks companies, but which is the better investment? We will compare the two businesses based on the strength of their risk, earnings, analyst recommendations, institutional ownership, profitability, valuation and dividends.

Analyst Ratings

This is a summary of current ratings and target prices for Iochpe-Maxion and U Power, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Iochpe-Maxion	0	0	0	0	N/A
U Power	0	0	0	0	N/A

Profitability

This table compares Iochpe-Maxion and U Power’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Iochpe-Maxion	0.50%	1.74%	0.50%
U Power	N/A	N/A	N/A

Insider & Institutional Ownership

13.2% of U Power shares are held by institutional investors. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock is poised for long-term growth.

Volatility and Risk

Iochpe-Maxion has a beta of 1.26, suggesting that its stock price is 26% more volatile than the S&P 500. Comparatively, U Power has a beta of 2.23, suggesting that its stock price is 123% more volatile than the S&P 500.

Valuation & Earnings

This table compares Iochpe-Maxion and U Power”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Iochpe-Maxion	$3.00 billion	0.09	$6.16 million	$0.05	11.57
U Power	$31.06 million	0.12	-$2.72 million	N/A	N/A

Iochpe-Maxion has higher revenue and earnings than U Power.

Summary

Iochpe-Maxion beats U Power on 5 of the 8 factors compared between the two stocks.

About Iochpe-Maxion

Iochpe-Maxion S.A. produces and sells automotive wheels and structural components for commercial and light vehicles in North America, South America, Europe, Asia, and internationally. It operates in two divisions, Maxion Wheels and Maxion Structural Components. The company offers heavy steel wheels; light steel wheels for automobiles, pick-ups, and SUVs, as well as light and medium commercial vehicles; wheels for agricultural machinery; and light aluminum wheels for automobiles. It also provides heavy structural components, including frames, side members, and cross members. In addition, the company offers light and automotive structural components, such as stampings for passenger vehicles, handbrake levers, pedal and welded assemblies, structural parts, and other automotive components. Further, it produces railway wheels, freight cars, and castings, as well as industrial castings. The company was founded in 1918 and is headquartered in Cruzeiro, Brazil.

About U Power

U Power Limited, together with its subsidiaries, engages in the development, manufacture, and sale of new energy vehicles and battery swapping stations in the People's Republic of China. It also offers battery swapping and sourcing, as well as technical and consultation services. The company was founded in 2013 and is headquartered in Wuhu, the People's Republic of China.