Head-To-Head Survey: Aptiv (NYSE:APTV) & Solid Power (NASDAQ:SLDP)

Solid Power (NASDAQ:SLDP) and Aptiv (NYSE:APTV) are both auto/tires/trucks companies, but which is the better stock? We will compare the two companies based on the strength of their risk, institutional ownership, profitability, earnings, valuation, analyst recommendations and dividends.

Profitability

This table compares Solid Power and Aptiv’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Solid Power	-429.55%	-24.88%	-23.07%
Aptiv	1.46%	18.51%	7.38%

Volatility & Risk

Solid Power has a beta of 1.87, suggesting that its share price is 87% more volatile than the S&P 500. Comparatively, Aptiv has a beta of 1.51, suggesting that its share price is 51% more volatile than the S&P 500.

Earnings & Valuation

This table compares Solid Power and Aptiv”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Solid Power	$20.14 million	44.48	-$96.52 million	($0.53)	-8.85
Aptiv	$19.71 billion	0.86	$1.79 billion	$1.26	62.07

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

Institutional and Insider Ownership

33.7% of Solid Power shares are owned by institutional investors. Comparatively, 94.2% of Aptiv shares are owned by institutional investors. 4.9% of Solid Power shares are owned by company insiders. Comparatively, 0.5% of Aptiv shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock will outperform the market over the long term.

Analyst Recommendations

This is a breakdown of recent ratings and recommmendations for Solid Power and Aptiv, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Solid Power	1	0	1	0	2.00
Aptiv	0	7	14	4	2.88

Solid Power presently has a consensus target price of $7.00, indicating a potential upside of 49.25%. Aptiv has a consensus target price of $96.63, indicating a potential upside of 23.55%. Given Solid Power’s higher probable upside, equities analysts plainly believe Solid Power is more favorable than Aptiv.

Summary

Aptiv beats Solid Power on 11 of the 15 factors compared between the two stocks.

About Solid Power

Solid Power, Inc. develops solid state battery technologies for the electric vehicles (EV) and other markets in the United States. The company sells its sulfide-based solid electrolyte; and licenses its solid-state cell designs and manufacturing processes. It also produces and sells 0.2, 2, 20 ampere-hour (Ah), and EV cells. Solid Power, Inc. was founded in 2011 and is headquartered in Louisville, Colorado.

About Aptiv

Aptiv PLC engages in design, manufacture, and sale of vehicle components in North America, Europe, Middle East, Africa, the Asia Pacific, South America, and internationally. The company provides electrical, electronic, and safety technology solutions to the automotive and commercial vehicle markets. It operates through two segments, Signal and Power Solutions, and Advanced Safety and User Experience. The Signal and Power Solutions segment designs, manufactures, and assembles vehicle’s electrical architecture, including engineered component products, connectors, wiring assemblies and harnesses, cable management products, electrical centers, and hybrid high voltage and safety distribution systems. Its Advanced Safety and User Experience segment provides critical technologies and services for vehicle safety, security, comfort, and convenience, such as sensing and perception systems, electronic control units, multi-domain controllers, vehicle connectivity systems, application software, autonomous driving technologies, and end-to-end DevOps tools. The company was formerly known as Delphi Automotive PLC and changed its name to Aptiv PLC in December 2017. Aptiv PLC was incorporated in 2011 and is based in Dublin, Ireland.