Polestar Automotive Holding UK (NASDAQ:PSNY) and Nikola (NASDAQ:NKLA) Critical Comparison

Polestar Automotive Holding UK (NASDAQ:PSNYGet Free Report) and Nikola (NASDAQ:NKLAGet Free Report) are both auto/tires/trucks companies, but which is the superior business? We will compare the two businesses based on the strength of their institutional ownership, earnings, dividends, profitability, valuation, risk and analyst recommendations.

Profitability

This table compares Polestar Automotive Holding UK and Nikola’s net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Polestar Automotive Holding UK -25.83% N/A -21.58%
Nikola N/A -122.20% -61.92%

Analyst Ratings

This is a summary of recent ratings and price targets for Polestar Automotive Holding UK and Nikola, as reported by MarketBeat.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Polestar Automotive Holding UK 2 2 2 0 2.00
Nikola 0 3 1 0 2.25

Polestar Automotive Holding UK currently has a consensus target price of $3.83, indicating a potential upside of 162.33%. Nikola has a consensus target price of $1.33, indicating a potential upside of 85.96%. Given Polestar Automotive Holding UK’s higher probable upside, equities research analysts clearly believe Polestar Automotive Holding UK is more favorable than Nikola.

Institutional and Insider Ownership

1.0% of Polestar Automotive Holding UK shares are held by institutional investors. Comparatively, 37.4% of Nikola shares are held by institutional investors. 0.0% of Polestar Automotive Holding UK shares are held by insiders. Comparatively, 10.0% of Nikola shares are held by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock will outperform the market over the long term.

Valuation and Earnings

This table compares Polestar Automotive Holding UK and Nikola’s gross revenue, earnings per share (EPS) and valuation.

Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio
Polestar Automotive Holding UK $2.46 billion 1.27 -$465.79 million N/A N/A
Nikola $35.84 million 26.72 -$966.28 million ($1.26) -0.57

Polestar Automotive Holding UK has higher revenue and earnings than Nikola.

Volatility & Risk

Polestar Automotive Holding UK has a beta of 1.53, meaning that its share price is 53% more volatile than the S&P 500. Comparatively, Nikola has a beta of 1.99, meaning that its share price is 99% more volatile than the S&P 500.

About Polestar Automotive Holding UK

(Get Free Report)

Polestar Automotive Holding UK PLC manufactures and sells premium electric vehicles. The company was founded in 2017 and is headquartered in Gothenburg, Sweden.

About Nikola

(Get Free Report)

Nikola Corporation operates as a technology innovator and integrator that develops energy and transportation solutions in the United States and internationally. The company operates in truck and energy units. It commercializes battery electric vehicles (BEV) and hydrogen fuel cell electric vehicles (FCEV) to the trucking sector. In addition, it develops a network of hydrogen fueling stations; and offers BEV charging solutions for its FCEV and BEV customers, as well as other third-party customers. Further, its products include Nikola Tre Class 8 truck and the Nikola's Class 8 FCEV. Additionally, the company assembles, integrates, and commissions its vehicles in collaboration with its business partners and suppliers. Nikola Corporation founded in 2015 and is headquartered in Phoenix, Arizona.

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