Reviewing EHang (EH) & Its Competitors

EHang (NASDAQ:EH) is one of 229 public companies in the “Aerospace & Defense” industry, but how does it weigh in compared to its competitors? We will compare EHang to related businesses based on the strength of its analyst recommendations, dividends, risk, institutional ownership, profitability, valuation and earnings.

Profitability

This table compares EHang and its competitors’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
EHang	-74.74%	-32.73%	-17.02%
EHang Competitors	-289.58%	-47.50%	-4.35%

Insider and Institutional Ownership

94.0% of EHang shares are owned by institutional investors. Comparatively, 49.5% of shares of all “Aerospace & Defense” companies are owned by institutional investors. 39.6% of EHang shares are owned by insiders. Comparatively, 11.8% of shares of all “Aerospace & Defense” companies are owned by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company is poised for long-term growth.

Risk & Volatility

EHang has a beta of 1.15, meaning that its share price is 15% more volatile than the S&P 500. Comparatively, EHang’s competitors have a beta of 1.34, meaning that their average share price is 34% more volatile than the S&P 500.

Analyst Recommendations

This is a breakdown of recent ratings and price targets for EHang and its competitors, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
EHang	3	5	0	0	1.62
EHang Competitors	2150	8236	12723	577	2.50

EHang currently has a consensus price target of $6.70, suggesting a potential upside of 78.19%. As a group, “Aerospace & Defense” companies have a potential upside of 25.03%. Given EHang’s higher possible upside, research analysts plainly believe EHang is more favorable than its competitors.

Earnings and Valuation

This table compares EHang and its competitors gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
EHang	$72.86 million	-$39.47 million	-6.06
EHang Competitors	$8.43 billion	$569.01 million	25.13

EHang’s competitors have higher revenue and earnings than EHang. EHang is trading at a lower price-to-earnings ratio than its competitors, indicating that it is currently more affordable than other companies in its industry.

Summary

EHang competitors beat EHang on 7 of the 12 factors compared.

EHang Company Profile

EHang Holdings Limited operates as an autonomous aerial vehicle (AAV) technology platform company in the People's Republic of China, East Asia, West Asia, Europe, and internationally. It designs, develops, manufactures, sells, and operates AAVs, as well as their supporting systems and infrastructure for various industries and applications, including passenger transportation, logistics, smart city management, and aerial media solutions. The company was incorporated in 2014 and is headquartered in Guangzhou, the People's Republic of China.