Comparing Joby Aviation (NYSE:JOBY) and Controladora Vuela Compania de Aviacion (NYSE:VLRS)

Controladora Vuela Compania de Aviacion (NYSE:VLRS) and Joby Aviation (NYSE:JOBY) are both transportation companies, but which is the superior stock? We will compare the two businesses based on the strength of their valuation, institutional ownership, profitability, analyst recommendations, earnings, dividends and risk.

Analyst Recommendations

This is a summary of current ratings and price targets for Controladora Vuela Compania de Aviacion and Joby Aviation, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Controladora Vuela Compania de Aviacion	1	5	6	0	2.42
Joby Aviation	3	4	2	0	1.89

Controladora Vuela Compania de Aviacion presently has a consensus target price of $8.97, indicating a potential upside of 28.55%. Joby Aviation has a consensus target price of $13.81, indicating a potential upside of 42.47%. Given Joby Aviation’s higher probable upside, analysts plainly believe Joby Aviation is more favorable than Controladora Vuela Compania de Aviacion.

Valuation and Earnings

This table compares Controladora Vuela Compania de Aviacion and Joby Aviation”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Controladora Vuela Compania de Aviacion	$3.04 billion	N/A	-$104.00 million	($0.89)	-7.84
Joby Aviation	$53.42 million	165.48	-$929.84 million	($1.14)	-8.50

Controladora Vuela Compania de Aviacion has higher revenue and earnings than Joby Aviation. Joby Aviation is trading at a lower price-to-earnings ratio than Controladora Vuela Compania de Aviacion, indicating that it is currently the more affordable of the two stocks.

Insider and Institutional Ownership

53.3% of Controladora Vuela Compania de Aviacion shares are owned by institutional investors. Comparatively, 52.9% of Joby Aviation shares are owned by institutional investors. 2.5% of Controladora Vuela Compania de Aviacion shares are owned by company insiders. Comparatively, 28.5% of Joby Aviation shares are owned 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.

Volatility and Risk

Controladora Vuela Compania de Aviacion has a beta of 1.86, indicating that its share price is 86% more volatile than the S&P 500. Comparatively, Joby Aviation has a beta of 2.59, indicating that its share price is 159% more volatile than the S&P 500.

Profitability

This table compares Controladora Vuela Compania de Aviacion and Joby Aviation’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Controladora Vuela Compania de Aviacion	-3.42%	-38.03%	-1.84%
Joby Aviation	N/A	-71.47%	-52.76%

Summary

Controladora Vuela Compania de Aviacion beats Joby Aviation on 9 of the 13 factors compared between the two stocks.

About Controladora Vuela Compania de Aviacion

Controladora Vuela Compañía de Aviación, S.A.B. de C.V., through its subsidiary, Concesionaria Vuela Compañía de Aviación, S.A.P.I. de C.V., provides air transportation services for passengers, cargo, and mail in Mexico and internationally. The company operates approximately 590 daily flights on routes connecting 43 cities in Mexico, 22 cities in the United States, 4 cities in Central America, and 2 cities in South America. As of December 31, 2022, it leased 116 aircrafts and 23 spare engines. The company also offers merchandising, travel agency, and loyalty program, as well as specialized and aeronautical technical services. Controladora Vuela Compañía de Aviación, S.A.B. de C.V. was incorporated in 2005 and is headquartered in Mexico City, Mexico.

About Joby Aviation

Joby Aviation, Inc., a vertically integrated air mobility company, engages in building an electric vertical takeoff and landing aircraft optimized to deliver air transportation as a service. The company intends to build an aerial ridesharing service, as well as developing an application-based platform that will enable consumers to book rides. Joby Aviation, Inc. was founded in 2009 and is headquartered in Santa Cruz, California.