Financial Contrast: Mobileye Global (NASDAQ:MBLY) vs. Stoneridge (NYSE:SRI)

Mobileye Global (NASDAQ:MBLY) and Stoneridge (NYSE:SRI) are both consumer discretionary companies, but which is the superior investment? We will compare the two companies based on the strength of their profitability, risk, analyst recommendations, earnings, institutional ownership, valuation and dividends.

Profitability

This table compares Mobileye Global and Stoneridge’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Mobileye Global	-201.49%	0.70%	0.67%
Stoneridge	-15.64%	-24.91%	-8.33%

Earnings and Valuation

This table compares Mobileye Global and Stoneridge”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Mobileye Global	$1.89 billion	3.47	-$392.00 million	($4.99)	-1.57
Stoneridge	$861.26 million	0.22	-$102.83 million	($4.26)	-1.59

Stoneridge has lower revenue, but higher earnings than Mobileye Global. Stoneridge is trading at a lower price-to-earnings ratio than Mobileye Global, indicating that it is currently the more affordable of the two stocks.

Institutional & Insider Ownership

13.3% of Mobileye Global shares are owned by institutional investors. Comparatively, 98.1% of Stoneridge shares are owned by institutional investors. 10.0% of Mobileye Global shares are owned by insiders. Comparatively, 11.0% of Stoneridge shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company will outperform the market over the long term.

Volatility and Risk

Mobileye Global has a beta of 1.22, indicating that its share price is 22% more volatile than the S&P 500. Comparatively, Stoneridge has a beta of 1.88, indicating that its share price is 88% more volatile than the S&P 500.

Analyst Recommendations

This is a summary of current ratings and price targets for Mobileye Global and Stoneridge, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Mobileye Global	2	9	10	2	2.52
Stoneridge	1	2	0	0	1.67

Mobileye Global currently has a consensus price target of $12.16, suggesting a potential upside of 55.40%. Stoneridge has a consensus price target of $16.00, suggesting a potential upside of 135.99%. Given Stoneridge’s higher probable upside, analysts clearly believe Stoneridge is more favorable than Mobileye Global.

Summary

Mobileye Global beats Stoneridge on 8 of the 15 factors compared between the two stocks.

About Mobileye Global

Mobileye Global Inc. develops and deploys advanced driver assistance systems (ADAS) and autonomous driving technologies and solutions worldwide. The company operates through Mobileye and Other segments. It offers Driver Assist comprising ADAS and autonomous vehicle solutions that covers safety features, such as real-time detection of road users, geometry, semantics, and markings to provide safety alerts and emergency interventions; Cloud-Enhanced Driver Assist, a solution for drivers with interpretations of a scene in real-time; Mobileye SuperVision Lite, a navigation and assisted driving solution; and Mobileye SuperVision, an operational point-to-point assisted driving navigation solution on various road types and includes cloud-based enhancements, such as road experience management. The company also provides Mobileye Chauffeur, a first-generation solution for eyes-off/hands-off driving with a human driver still in the driver’s seat; Mobileye Drive, a self-driving system comprising of radar and lidar subsystems, as well as collision avoidance systems, including Mobileye 8 Connect for light and medium-duty vehicles, and Mobileye Shield+ for large vehicles. It serves original equipment manufacturers. The company was founded in 1999 and is headquartered in Jerusalem, Israel. Mobileye Global Inc. operates as a subsidiary of Intel Overseas Funding Corporation.

About Stoneridge

Stoneridge, Inc., together with its subsidiaries, designs and manufactures engineered electrical and electronic systems, components, and modules for the automotive, commercial, off-highway, motorcycle, and agricultural vehicle markets in North America, South America, Europe, and internationally. The company operates through three segments: Control Devices, Electronics, and Stoneridge Brazil. The Control Devices segment offers actuators, sensors, switches, actuators, and connectors that monitor, measure, or activate specific functions within a vehicle. The Electronics segment designs and manufactures driver information systems, vision and safety systems, connectivity and compliance products, and electronic control units. Its products collect, store, and display vehicle information, such as speed, pressure, maintenance data, trip information, operator performance, temperature, distance traveled, and driver messages related to vehicle performance. This segment also offers electronic control units that regulate, coordinate, monitor, and direct the operation of the electrical system within a vehicle. The Stoneridge Brazil segment designs, manufactures, and sells vehicle tracking devices and monitoring services; vehicle security alarms and convenience accessories, including parking sensors and rearview cameras; in-vehicle audio and infotainment devices; and driver information systems and telematics solutions. The company provides its products and systems to various original equipment manufacturers and tier 1 customers, as well as aftermarket distributors. Stoneridge, Inc. was founded in 1965 and is headquartered in Novi, Michigan.