Lotus Technology (LOT) vs. Its Competitors Critical Review

Lotus Technology (NASDAQ:LOT) is one of 669 publicly-traded companies in the “Holding & other investment offices” industry, but how does it compare to its competitors? We will compare Lotus Technology to similar companies based on the strength of its dividends, institutional ownership, valuation, profitability, risk, analyst recommendations and earnings.

Insider and Institutional Ownership

63.4% of Lotus Technology shares are held by institutional investors. Comparatively, 53.9% of shares of all “Holding & other investment offices” companies are held by institutional investors. 0.2% of Lotus Technology shares are held by company insiders. Comparatively, 25.4% of shares of all “Holding & other investment offices” companies are held 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.

Valuation and Earnings

This table compares Lotus Technology and its competitors revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Lotus Technology	$137.17 million	-$742.00 million	-13.02
Lotus Technology Competitors	$1.10 billion	-$60.22 million	47.63

Lotus Technology’s competitors have higher revenue and earnings than Lotus Technology. Lotus Technology is trading at a lower price-to-earnings ratio than its competitors, indicating that it is currently more affordable than other companies in its industry.

Volatility and Risk

Lotus Technology has a beta of -0.16, meaning that its share price is 116% less volatile than the S&P 500. Comparatively, Lotus Technology’s competitors have a beta of 0.04, meaning that their average share price is 96% less volatile than the S&P 500.

Analyst Recommendations

This is a summary of recent recommendations for Lotus Technology and its competitors, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Lotus Technology	0	0	0	0	N/A
Lotus Technology Competitors	121	555	855	14	2.49

As a group, “Holding & other investment offices” companies have a potential upside of 74.30%. Given Lotus Technology’s competitors higher possible upside, analysts clearly believe Lotus Technology has less favorable growth aspects than its competitors.

Profitability

This table compares Lotus Technology and its competitors’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Lotus Technology	N/A	-4.09%	-39.40%
Lotus Technology Competitors	-34.70%	-44.81%	-0.04%

Summary

Lotus Technology competitors beat Lotus Technology on 7 of the 10 factors compared.

About Lotus Technology

Lotus Technology Inc. engagers in the design, development, and sale of sports luxury lifestyle battery electric vehicles. It offers electric sports car models, including Eletre and Emeya. The company is based in Shanghai, China.