NewHold Investment Corp III (NASDAQ:NHIC) vs. Fluence Energy (NASDAQ:FLNC) Critical Survey

Fluence Energy (NASDAQ:FLNC) and NewHold Investment Corp III (NASDAQ:NHIC) are both industrials companies, but which is the superior investment? We will contrast the two businesses based on the strength of their risk, analyst recommendations, earnings, dividends, valuation, profitability and institutional ownership.

Institutional & Insider Ownership

53.2% of Fluence Energy shares are held by institutional investors. 0.7% of Fluence Energy shares are held by insiders. Comparatively, 13.8% of NewHold Investment Corp III shares are held by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company will outperform the market over the long term.

Analyst Recommendations

This is a breakdown of recent recommendations and price targets for Fluence Energy and NewHold Investment Corp III, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Fluence Energy	4	13	6	0	2.09
NewHold Investment Corp III	1	0	0	0	1.00

Fluence Energy currently has a consensus price target of $17.89, suggesting a potential upside of 57.06%. Given Fluence Energy’s stronger consensus rating and higher probable upside, equities research analysts clearly believe Fluence Energy is more favorable than NewHold Investment Corp III.

Profitability

This table compares Fluence Energy and NewHold Investment Corp III’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Fluence Energy	-3.13%	-16.79%	-3.37%
NewHold Investment Corp III	N/A	-79.90%	N/A

Risk and Volatility

Fluence Energy has a beta of 2.78, meaning that its share price is 178% more volatile than the S&P 500. Comparatively, NewHold Investment Corp III has a beta of 0.3, meaning that its share price is 70% less volatile than the S&P 500.

Valuation & Earnings

This table compares Fluence Energy and NewHold Investment Corp III”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Fluence Energy	$2.26 billion	0.93	-$48.31 million	($0.61)	-18.67
NewHold Investment Corp III	N/A	N/A	$4.92 million	($0.07)	-151.57

NewHold Investment Corp III has lower revenue, but higher earnings than Fluence Energy. NewHold Investment Corp III is trading at a lower price-to-earnings ratio than Fluence Energy, indicating that it is currently the more affordable of the two stocks.

Summary

Fluence Energy beats NewHold Investment Corp III on 8 of the 13 factors compared between the two stocks.

About Fluence Energy

Fluence Energy, Inc., through its subsidiaries, offers energy storage products and solution, services, and artificial intelligence enabled software-as-a-service products for renewables and storage applications in the Americas, the Asia Pacific, Europe, the Middle East, and Africa. The company sells energy storage products with integrated hardware, software, and digital intelligence. Its energy storage products include Gridstack Pro, a large-scale front-of-the-meter application; Gridstack, a front-of-the-meter application; Sunstack, a DC-coupled energy storage product for DC-coupled solar + storage projects; Edgestack, for smaller-scale commercial and industrial use cases; and Ultrastack, for critical system requirements of distribution and transmission networks. The company also provides engineering and delivery services to support the deployment of its storage products; operational and maintenance services; and digital applications. It serves independent power producers, developer, utilities, and other generators. Fluence Energy, Inc. was founded in 2018 and is headquartered in Arlington, Virginia. Fluence Energy, Inc. is a joint venture of Siemens Aktiengesellschaft and The AES Corporation.

About NewHold Investment Corp III

NewHold Investment Corp. does not have significant operations. It focuses on effecting a merger, share exchange, asset acquisition, stock purchase, recapitalization, reorganization, or other similar business combination, with one or more target businesses. The company was formerly known as NewHold Industrial Corp. and changed its name to NewHold Investment Corp. in February 2020. NewHold Investment Corp. was incorporated in 2020 and is based in Houston, Texas.