Comparing Brilliance China Automotive (OTCMKTS:BCAUY) and Polestar Automotive Holding UK (NASDAQ:PSNY)

Polestar Automotive Holding UK (NASDAQ:PSNY) and Brilliance China Automotive (OTCMKTS:BCAUY) are both mid-cap auto/tires/trucks companies, but which is the better business? We will compare the two businesses based on the strength of their valuation, institutional ownership, risk, dividends, analyst recommendations, profitability and earnings.

Volatility & Risk

Polestar Automotive Holding UK has a beta of 1.53, indicating that its share price is 53% more volatile than the S&P 500. Comparatively, Brilliance China Automotive has a beta of 1.05, indicating that its share price is 5% more volatile than the S&P 500.

Insider & Institutional Ownership

1.0% of Polestar Automotive Holding UK shares are held by institutional investors. 0.0% of Polestar Automotive Holding UK shares 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.

Profitability

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

	Net Margins	Return on Equity	Return on Assets
Polestar Automotive Holding UK	N/A	N/A	N/A
Brilliance China Automotive	N/A	N/A	N/A

Analyst Ratings

This is a summary of current recommendations for Polestar Automotive Holding UK and Brilliance China Automotive, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Polestar Automotive Holding UK	2	5	0	0	1.71
Brilliance China Automotive	0	0	0	0	0.00

Polestar Automotive Holding UK presently has a consensus target price of $1.53, suggesting a potential upside of 39.35%. Given Polestar Automotive Holding UK’s stronger consensus rating and higher probable upside, equities research analysts clearly believe Polestar Automotive Holding UK is more favorable than Brilliance China Automotive.

Earnings and Valuation

This table compares Polestar Automotive Holding UK and Brilliance China Automotive”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Polestar Automotive Holding UK	$2.38 billion	0.99	-$1.19 billion	($0.57)	-1.93
Brilliance China Automotive	$548.32 million	4.23	$978.56 million	N/A	N/A

Brilliance China Automotive has lower revenue, but higher earnings than Polestar Automotive Holding UK.

Summary

Polestar Automotive Holding UK beats Brilliance China Automotive on 6 of the 8 factors compared between the two stocks.

About Polestar Automotive Holding UK

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

About Brilliance China Automotive

Brilliance China Automotive Holdings Limited, an investment holding company, manufactures and sells BMW vehicles and automotive components in the People's Republic of China and internationally. The company offers minibuses under the JinBei, Renault, Haise, Grand Haise, and Granse brands, as well as multi-purpose vehicles under the Huasong brand. Its automotive components include moldings, seats, axles, safety and airbag systems, and interior decoration products, as well as engines for minibuses, sedans, sport utility vehicles, light duty trucks, etc. The company also provides BMW sport activity vehicles. In addition, it offers auto-financing services to customers and dealers. Brilliance China Automotive Holdings Limited has strategic partnerships and alliances with BMW, Toyota, Magna, Bosch, Continental, Delphi, TI Automotive, and Johnson Controls. The company was incorporated in 1992 and is headquartered in Central, Hong Kong.