Analyzing Symbotic (NASDAQ:SYM) and Westport Fuel Systems (NASDAQ:WPRT)

Westport Fuel Systems (NASDAQ:WPRT) and Symbotic (NASDAQ:SYM) are both industrials companies, but which is the better stock? We will compare the two businesses based on the strength of their valuation, profitability, dividends, analyst recommendations, risk, earnings and institutional ownership.

Analyst Ratings

This is a breakdown of current ratings for Westport Fuel Systems and Symbotic, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Westport Fuel Systems	1	2	1	0	2.00
Symbotic	2	5	7	0	2.36

Westport Fuel Systems presently has a consensus price target of $1.82, indicating a potential downside of 19.96%. Symbotic has a consensus price target of $65.83, indicating a potential upside of 87.88%. Given Symbotic’s stronger consensus rating and higher probable upside, analysts plainly believe Symbotic is more favorable than Westport Fuel Systems.

Earnings and Valuation

This table compares Westport Fuel Systems and Symbotic”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Westport Fuel Systems	$23.32 million	1.70	-$61.63 million	($2.41)	-0.95
Symbotic	$2.65 billion	8.01	-$16.94 million	$0.09	389.33

Symbotic has higher revenue and earnings than Westport Fuel Systems. Westport Fuel Systems is trading at a lower price-to-earnings ratio than Symbotic, indicating that it is currently the more affordable of the two stocks.

Institutional & Insider Ownership

21.3% of Westport Fuel Systems shares are owned by institutional investors. 0.8% of Westport Fuel Systems shares are owned by company insiders. Comparatively, 8.2% of Symbotic shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company is poised for long-term growth.

Profitability

This table compares Westport Fuel Systems and Symbotic’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Westport Fuel Systems	-493.15%	-51.88%	-37.23%
Symbotic	0.48%	1.40%	0.41%

Volatility & Risk

Westport Fuel Systems has a beta of 2.12, indicating that its share price is 112% more volatile than the S&P 500. Comparatively, Symbotic has a beta of 2.06, indicating that its share price is 106% more volatile than the S&P 500.

Summary

Symbotic beats Westport Fuel Systems on 12 of the 14 factors compared between the two stocks.

About Westport Fuel Systems

Westport Fuel Systems Inc. engages in the engineering, manufacturing, and supplying alternative fuel systems and components for use in transportation applications in Europe, Asia, North America, South America, and internationally. The company operates through two segments, Original Equipment Manufacturers and Independent Aftermarket. It offers alternative fuel systems and components, such as liquefied petroleum gas (LPG), compressed natural gas (CNG), liquefied natural gas (LNG), renewable natural gas or biomethane, and hydrogen; and pressure regulators, injectors, electronic control units, valves and filters, complete bi-fuel, mono-fuel and dual-fuel LPG and natural gas conversion kits and high-pressure hydrogen components. The company provides Westport’s LNG high pressure direct injection 2.0 fuel system and bi-fuel products; offers turnkey solutions covering all process phases, including prototyping, development, calibration, validation, homologation, vehicle conversion and logistic services, as well as systems for diesel-powered vehicles; and supplies hydrogen fuel system components for light, medium, and heavy-duty applications. It offers its products under the AFS, BRC, Emer, GFI, HPDI, Stako, Prins, Zavoli, OMVL, TA Gas Technology, Vialle, and Valtek brands. The company was formerly known as Westport Innovations Inc. and changed its name to Westport Fuel Systems Inc. in June 2016. Westport Fuel Systems Inc. was incorporated in 1995 and is headquartered in Vancouver, Canada.

About Symbotic

Symbotic Inc., an automation technology company, engages in developing technologies to improve operating efficiencies in modern warehouses. The company automates the processing of pallets and cases in large warehouses or distribution centers for retail companies. Its systems enhance operations at the front end of the supply chain. The company was founded in 2006 and is headquartered in Wilmington, Massachusetts.