Critical Analysis: EZGO Technologies (NASDAQ:EZGO) vs. Zapp Electric Vehicles Group (NASDAQ:ZAPP)

Zapp Electric Vehicles Group (NASDAQ:ZAPP) and EZGO Technologies (NASDAQ:EZGO) 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, risk, dividends, analyst recommendations, profitability, earnings and valuation.

Profitability

This table compares Zapp Electric Vehicles Group and EZGO Technologies’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Zapp Electric Vehicles Group	N/A	N/A	N/A
EZGO Technologies	N/A	N/A	N/A

Risk & Volatility

Zapp Electric Vehicles Group has a beta of 0.79, meaning that its stock price is 21% less volatile than the S&P 500. Comparatively, EZGO Technologies has a beta of 1.94, meaning that its stock price is 94% more volatile than the S&P 500.

Institutional & Insider Ownership

8.0% of EZGO Technologies shares are held by institutional investors. 40.1% of EZGO Technologies shares are held by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock will outperform the market over the long term.

Analyst Recommendations

This is a summary of recent ratings and recommmendations for Zapp Electric Vehicles Group and EZGO Technologies, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Zapp Electric Vehicles Group	0	0	1	2	3.67
EZGO Technologies	0	0	0	0	0.00

Zapp Electric Vehicles Group currently has a consensus target price of $7.00, suggesting a potential upside of 244.83%. Given Zapp Electric Vehicles Group’s stronger consensus rating and higher possible upside, analysts plainly believe Zapp Electric Vehicles Group is more favorable than EZGO Technologies.

Earnings & Valuation

This table compares Zapp Electric Vehicles Group and EZGO Technologies”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Zapp Electric Vehicles Group	N/A	N/A	-$222.10 million	N/A	N/A
EZGO Technologies	$19.33 million	0.13	-$6.78 million	N/A	N/A

EZGO Technologies has higher revenue and earnings than Zapp Electric Vehicles Group.

Summary

EZGO Technologies beats Zapp Electric Vehicles Group on 5 of the 9 factors compared between the two stocks.

About Zapp Electric Vehicles Group

Zapp Electric Vehicles Limited operates an electric motorcycle company. Its i300 is the first in a suite of electric two-wheelers that the company plans to bring to market. It offers a direct-to-customer experience known as DSDTC (drop-ship-direct-to-customer). The company sells its product the i300, to customers online and delivered to the home, as well as provides at-home inspection, service, and support throughout the vehicle ownership lifecycle. The company was incorporated in 2017 and is based in Bangkok, Thailand, with additional office in Paris, France.

About EZGO Technologies

EZGO Technologies Ltd., through its subsidiaries, designs, manufactures, rents, and sells e-bicycles and e-tricycles in the People's Republic of China. It operates in three segments: Battery Cells and Packs; E-Bicycles Sales; and Electronic Control System and Intelligent Robots. The company rents and sells lithium batteries under the Hengmao brand; sells, franchises, and operates smart charging piles for e-bicycles and other electronic devices; and sells battery cells and packs. It also designs and sells intelligent robots, and electric vehicle accessories and electronic control systems; and provide after-sales services for e-bicycles, including technical support, parts supply, and sales of peripheral products and derivatives, including raincoats, helmets, and mobile phone brackets. In addition, the company engages in the development, operation, and maintenance of software related to e-bicycle and battery rental services; manufacturing of industrial automatic control devices and systems; equipment maintenance and repair activities; and import and export trade of e-motor bicycles. It offers its e-bicycles and e-tricycles under the Cenbird and EZGO brands; and smart charging piles, intelligent robots, and electronic control systems under the Hengdian brand name. The company was formerly known as EZGO IOT Tech & Services Co., Ltd. EZGO Technologies Ltd. was founded in 2014 and is headquartered in Changzhou, China.