WeRide (NASDAQ:WRD) versus Wabash National (NYSE:WNC) Head-To-Head Survey

WeRide (NASDAQ:WRD) and Wabash National (NYSE:WNC) are both auto/tires/trucks companies, but which is the better investment? We will contrast the two companies based on the strength of their institutional ownership, dividends, earnings, risk, analyst recommendations, valuation and profitability.

Analyst Recommendations

This is a summary of recent ratings and recommmendations for WeRide and Wabash National, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
WeRide	1	0	7	1	2.89
Wabash National	1	2	0	0	1.67

WeRide currently has a consensus target price of $12.48, suggesting a potential upside of 55.27%. Wabash National has a consensus target price of $10.00, suggesting a potential upside of 15.14%. Given WeRide’s stronger consensus rating and higher probable upside, equities analysts clearly believe WeRide is more favorable than Wabash National.

Valuation and Earnings

This table compares WeRide and Wabash National”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
WeRide	$684.59 million	3.73	-$230.20 million	($0.75)	-10.72
Wabash National	$1.54 billion	0.23	$211.45 million	$4.87	1.78

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

Profitability

This table compares WeRide and Wabash National’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
WeRide	-240.54%	-24.38%	-21.89%
Wabash National	13.71%	-22.79%	-6.77%

Volatility & Risk

WeRide has a beta of 2.95, meaning that its stock price is 195% more volatile than the S&P 500. Comparatively, Wabash National has a beta of 1.67, meaning that its stock price is 67% more volatile than the S&P 500.

Institutional and Insider Ownership

97.1% of Wabash National shares are owned by institutional investors. 2.8% of Wabash National shares are owned by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock will outperform the market over the long term.

Summary

Wabash National beats WeRide on 9 of the 15 factors compared between the two stocks.

About WeRide

WeRide, Inc. engages in the development of an autonomous driving technology platform. It offers Robotaxi, Robobus, Robovan, Robosweeper, and advanced driving solutions, providing smart services in online ride-hailing, on-demand transport, urban logistics, and environmental sanitation. The company was founded by Tony Xu Han and Yan Li in February 2017 and is headquartered in Guangzhou, China.

About Wabash National

Wabash National Corporation provides connected solutions for the transportation, logistics, and distribution industries primarily in the United States. The company operates through two segments, Transportation Solutions and Parts & Services. The Transportation Solutions segment designs and manufactures transportation-related equipment and products dry and refrigerated van trailers, platform trailers, tank trailers, and truck-mounted tanks; truck bodies for dry-freight transportation; cargo and cargo XL bodies for commercial applications; refrigerated truck bodies; platform truck bodies; and used trailers, as well as laminated hardwood oak flooring products. The Parts & Services segment provides aftermarket parts and services; steel flatbed bodies, truck body mounting, shelving for package delivery, partitions, roof racks, hitches, liftgates, thermal solutions, and others; truck body repair parts; and door repair and replacement, collision repair, and basic maintenance services. It also develops and scales a digital marketplace for the transportation and logistics distribution industry; operates a parts and services distribution platform; and stainless steel storage tanks and silos, mixers, and processors for the dairy, food and beverage, pharmaceutical, chemical, craft brewing, and biotech markets; trailers as a service; and composite products, including truck bodies, overhead doors, and other industrial application products, as well as used trailers. The company offers its products under the Wabash, DuraPlate, DuraPlateHD, DuraPlate AeroSkirt, and AeroSkirt CX brands, as well as EcoNex brand. It serves its products to truckload common carriers, leasing companies, private fleet carriers, less-than-truckload common carriers, and package carriers. Wabash National Corporation was founded in 1985 and is headquartered in Lafayette, Indiana.