Lucid Group (NASDAQ:LCID) versus VinFast Auto (NASDAQ:VFS) Critical Analysis

Lucid Group (NASDAQ:LCIDGet Free Report) and VinFast Auto (NASDAQ:VFSGet Free Report) are both mid-cap auto/tires/trucks companies, but which is the better stock? We will contrast the two businesses based on the strength of their analyst recommendations, earnings, dividends, valuation, risk, profitability and institutional ownership.

Risk and Volatility

Lucid Group has a beta of 0.79, meaning that its stock price is 21% less volatile than the S&P 500. Comparatively, VinFast Auto has a beta of 0.91, meaning that its stock price is 9% less volatile than the S&P 500.

Analyst Recommendations

This is a summary of recent ratings and target prices for Lucid Group and VinFast Auto, as reported by MarketBeat.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Lucid Group 2 8 2 0 2.00
VinFast Auto 0 1 2 0 2.67

Lucid Group currently has a consensus target price of $2.6755, suggesting a potential upside of 31.80%. VinFast Auto has a consensus target price of $5.75, suggesting a potential upside of 65.71%. Given VinFast Auto’s stronger consensus rating and higher possible upside, analysts plainly believe VinFast Auto is more favorable than Lucid Group.

Institutional and Insider Ownership

75.2% of Lucid Group shares are held by institutional investors. 64.0% of Lucid Group shares are held by company insiders. Comparatively, 16.2% of VinFast Auto shares are held by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company will outperform the market over the long term.

Profitability

This table compares Lucid Group and VinFast Auto’s net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Lucid Group -259.57% -79.40% -26.63%
VinFast Auto -149.32% N/A -52.16%

Earnings and Valuation

This table compares Lucid Group and VinFast Auto”s gross revenue, earnings per share and valuation.

Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio
Lucid Group $807.83 million 7.72 -$2.71 billion ($1.15) -1.77
VinFast Auto $1.81 billion 4.49 -$3.18 billion ($1.40) -2.48

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

Summary

Lucid Group beats VinFast Auto on 7 of the 13 factors compared between the two stocks.

About Lucid Group

(Get Free Report)

Lucid Group, Inc. a technology company, designs, engineers, manufactures, and sells electric vehicles (EV), EV powertrains, and battery systems. It also designs and develops proprietary software in-house for Lucid vehicles. The company sells vehicles directly to consumers through its retail sales network and direct online sales, including Lucid Financial Services. Lucid Group, Inc. was founded in 2007 and is headquartered in Newark, California. Lucid Group, Inc. operates as a subsidiary of Ayar Third Investment Company.

About VinFast Auto

(Get Free Report)

VinFast Auto Ltd. engages in the design and manufacture of electric vehicles (EV), e-scooters, and e-buses in Vietnam, Canada, and the United States. The company operates through three segments: Automobiles, E-scooter, and Spare Parts & Aftermarket Services. The Automobiles segment offers design, development, manufacturing, and sale of cars and electric buses, and related battery lease and battery charging services for electric cars and buses. The E-scooter segment provides design, development, manufacturing, and sales of e-scooters, and related battery lease and battery charging service for e-scooters. The Spare Parts, and Aftermarket Services segment engages in sale of spare parts and aftermarket services for automobiles and e-scooters. VinFast Auto Ltd. is based in Hai Phong City, Vietnam. VinFast Auto Ltd. is a subsidiary of Vingroup Joint Stock Company.

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