Reviewing SunCar Technology Group (NASDAQ:SDA) and EVgo (NYSE:EVGO)

EVgo (NYSE:EVGO) and SunCar Technology Group (NASDAQ:SDA) are both small-cap auto/tires/trucks companies, but which is the superior investment? We will contrast the two businesses based on the strength of their institutional ownership, analyst recommendations, earnings, valuation, risk, profitability and dividends.

Profitability

This table compares EVgo and SunCar Technology Group’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
EVgo	-20.54%	N/A	-4.85%
SunCar Technology Group	N/A	N/A	N/A

Analyst Ratings

This is a breakdown of recent ratings and target prices for EVgo and SunCar Technology Group, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
EVgo	0	3	3	0	2.50
SunCar Technology Group	0	0	0	0	N/A

EVgo presently has a consensus price target of $4.67, indicating a potential upside of 124.36%. Given EVgo’s higher probable upside, equities analysts plainly believe EVgo is more favorable than SunCar Technology Group.

Volatility and Risk

EVgo has a beta of 2.53, indicating that its share price is 153% more volatile than the S&P 500. Comparatively, SunCar Technology Group has a beta of -0.15, indicating that its share price is 115% less volatile than the S&P 500.

Earnings and Valuation

This table compares EVgo and SunCar Technology Group’s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
EVgo	$160.95 million	3.90	-$42.43 million	($0.38)	-5.47
SunCar Technology Group	$363.75 million	2.05	-$26.91 million	N/A	N/A

SunCar Technology Group has higher revenue and earnings than EVgo.

Insider and Institutional Ownership

17.4% of EVgo shares are held by institutional investors. Comparatively, 0.3% of SunCar Technology Group shares are held by institutional investors. 67.0% of EVgo shares are held by insiders. Comparatively, 22.2% of SunCar Technology Group shares are held 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.

Summary

EVgo beats SunCar Technology Group on 6 of the 10 factors compared between the two stocks.

About EVgo

EVgo, Inc. owns and operates a direct current fast charging network for electric vehicles (EVs) in the United States. The company offers electricity directly to drivers, who access its publicly available networked chargers; original equipment manufacturer charging and related services; fleet and rideshare public charging services; and charging as a service and fleet dedicated charging services. It also provides ancillary services, such as customization of digital applications, charging data integration, loyalty programs, access to chargers behind parking lot or garage pay gates, microtargeted advertising, and charging reservations; and hardware, design, and construction services for charging sites, as well as ongoing operations, maintenance, and networking and software integration solutions through eXtend. In addition, it offers PlugShare such as data, research, and advertising services and equipment procurement and operational services. EVgo, Inc. was incorporated in 2010 and is headquartered in Los Angeles, California.EVgo, Inc. operates as a subsidiary of LS Power Development, LLC.

About SunCar Technology Group

SunCar Technology Group Inc., through its subsidiaries, provides digitalized automotive after-sales service and online insurance intermediation services in the People's Republic of China. It operates through three segments: Insurance Intermediation Business; Automotive After-Sales Business; and Technology Business. The company offers customized after-sale services to banking, insurance companies, and other customer types; and auto mobile insurance comprising statutory automobile liability insurance and commercial automobile insurance. In addition, it provides auto insurance SaaS products and other technical services. The company is based in Shanghai, China.