Head-To-Head Comparison: Cenntro (NASDAQ:CENN) & Harley-Davidson (NYSE:HOG)

Harley-Davidson (NYSE:HOG) and Cenntro (NASDAQ:CENN) are both auto/tires/trucks companies, but which is the better investment? We will contrast the two businesses based on the strength of their earnings, profitability, dividends, risk, valuation, analyst recommendations and institutional ownership.

Analyst Ratings

This is a summary of recent ratings and price targets for Harley-Davidson and Cenntro, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Harley-Davidson	2	5	2	0	2.00
Cenntro	1	0	0	0	1.00

Harley-Davidson presently has a consensus target price of $24.25, suggesting a potential upside of 18.78%. Given Harley-Davidson’s stronger consensus rating and higher possible upside, equities analysts clearly believe Harley-Davidson is more favorable than Cenntro.

Risk & Volatility

Harley-Davidson has a beta of 1.39, indicating that its share price is 39% more volatile than the S&P 500. Comparatively, Cenntro has a beta of 1.63, indicating that its share price is 63% more volatile than the S&P 500.

Valuation & Earnings

This table compares Harley-Davidson and Cenntro”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Harley-Davidson	$4.47 billion	0.54	$338.74 million	$2.61	7.82
Cenntro	$31.30 million	0.36	-$44.87 million	($0.51)	-0.25

Harley-Davidson has higher revenue and earnings than Cenntro. Cenntro is trading at a lower price-to-earnings ratio than Harley-Davidson, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares Harley-Davidson and Cenntro’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Harley-Davidson	8.03%	10.27%	3.15%
Cenntro	-214.49%	-43.31%	-26.67%

Insider and Institutional Ownership

85.1% of Harley-Davidson shares are held by institutional investors. 0.9% of Harley-Davidson shares are held by company insiders. Comparatively, 16.2% of Cenntro shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock will outperform the market over the long term.

Summary

Harley-Davidson beats Cenntro on 12 of the 14 factors compared between the two stocks.

About Harley-Davidson

Harley-Davidson, Inc. manufactures and sells motorcycles in the United States and internationally. The company operates in three segments: Harley-Davidson Motor Company, LiveWire, and Harley-Davidson Financial Services. The Harley-Davidson Motor Company segment designs, manufactures, and sells motorcycles, including cruiser, trike, touring, standard, sportbike, adventure, and dual sport, as well as motorcycle parts, accessories, and apparel, as well as licenses its trademarks and related services. This segment sells its products to retail customers through a network of independent dealers, as well as e-commerce channels. The LiveWire segment sells electric motorcycles, balance bikes for kids, parts and accessories, apparel, and related parts and services. The Harley-Davidson Financial Services segment provides wholesale financing services, such as floorplan and open account financing of motorcycles, and parts and accessories; and retail financing services, such as installment lending for the purchase of new and used Harley-Davidson motorcycles, as well as point-of-sale insurance and voluntary protection products. This segment also licenses third-party financial institutions that issue credit cards bearing the Harley-Davidson brand. Harley-Davidson, Inc. was founded in 1903 and is based in Milwaukee, Wisconsin.

About Cenntro

Cenntro Inc. engages in the design, development, and manufacture of electric light and medium-duty commercial vehicles in Europe, Asia, and the United States. Its purpose-built electric commercial vehicles are designed to serve various fleet and municipal organizations in support of city services, last-mile delivery, and other commercial applications. The company sells its products under the Metro, Logistar, Logimax, Avantier, Teemak, and Antric One names. Cenntro Inc. was founded in 2013 and is headquartered in Freehold, New Jersey.