Polaris (NYSE:PII) vs. Lucid Group (NASDAQ:LCID) Financial Comparison

Polaris (NYSE:PII) and Lucid Group (NASDAQ:LCID) are both auto/tires/trucks companies, but which is the better stock? We will contrast the two companies based on the strength of their analyst recommendations, profitability, institutional ownership, risk, dividends, valuation and earnings.

Profitability

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

	Net Margins	Return on Equity	Return on Assets
Polaris	-6.13%	5.91%	1.12%
Lucid Group	-248.09%	-304.01%	-41.43%

Volatility & Risk

Polaris has a beta of 1.26, suggesting that its share price is 26% more volatile than the S&P 500. Comparatively, Lucid Group has a beta of 0.89, suggesting that its share price is 11% less volatile than the S&P 500.

Institutional & Insider Ownership

88.1% of Polaris shares are owned by institutional investors. Comparatively, 75.2% of Lucid Group shares are owned by institutional investors. 2.4% of Polaris shares are owned by insiders. Comparatively, 60.0% of Lucid Group 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.

Analyst Ratings

This is a breakdown of recent ratings and recommmendations for Polaris and Lucid Group, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Polaris	1	10	1	0	2.00
Lucid Group	3	7	1	0	1.82

Polaris currently has a consensus price target of $64.44, suggesting a potential downside of 6.47%. Lucid Group has a consensus price target of $9.67, suggesting a potential upside of 88.07%. Given Lucid Group’s higher probable upside, analysts plainly believe Lucid Group is more favorable than Polaris.

Valuation and Earnings

This table compares Polaris and Lucid Group”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Polaris	$7.15 billion	0.55	-$465.50 million	($7.84)	-8.79
Lucid Group	$1.35 billion	1.48	-$2.70 billion	($13.19)	-0.39

Polaris has higher revenue and earnings than Lucid Group. Polaris 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

Polaris beats Lucid Group on 9 of the 13 factors compared between the two stocks.

About Polaris

Polaris Inc. designs, engineers, manufactures, and markets powersports vehicles in the United States, Canada, and internationally. It operates through three segments: Off-Road, On-Road, and Marine. The company offers off-road vehicles (ORVs), including all-terrain vehicles and side-by-side vehicles; military and commercial ORVs; snowmobiles; motorcycles; and moto-roadsters, quadricycles, and boats. It also provides ORV accessories comprising winches, bumper/brushguards, plows, racks, wheels and tires, pull-behinds, cab systems, lighting and audio systems, cargo box accessories, tracks, and oil; snowmobile accessories, which include covers, traction products, reverse kits, electric starters, tracks, bags, windshields, oil, and lubricants; and motorcycle accessories, such as saddle bags, handlebars, backrests, exhausts, windshields, seats, oil, and various chrome accessories. In addition, the company offers light duty hauling and passenger vehicles; gear and apparel, such as helmets, goggles, jackets, gloves, boots, bibs, hats, pants, and leathers; and pontoon and deck boats. The company provides its products through dealers and distributors, and online; and retail and e-commerce marketplaces. The company was formerly known as Polaris Industries Inc. Polaris Inc. was founded in 1945 and is headquartered in Medina, Minnesota.

About Lucid Group

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.