Reviewing XOS (NASDAQ:XOS) & Traton (OTCMKTS:TRATF)

XOS (NASDAQ:XOS) and Traton (OTCMKTS:TRATF) are both industrials companies, but which is the superior stock? We will compare the two businesses based on the strength of their valuation, profitability, institutional ownership, analyst recommendations, risk, earnings and dividends.

Institutional and Insider Ownership

12.9% of XOS shares are held by institutional investors. 53.1% of XOS shares are held by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock will outperform the market over the long term.

Profitability

This table compares XOS and Traton’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
XOS	-76.21%	-84.60%	-41.69%
Traton	N/A	N/A	N/A

Analyst Recommendations

This is a summary of recent ratings and recommmendations for XOS and Traton, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
XOS	0	1	2	0	2.67
Traton	0	0	0	0	N/A

XOS currently has a consensus price target of $15.00, indicating a potential upside of 232.59%. Given XOS’s higher probable upside, research analysts clearly believe XOS is more favorable than Traton.

Earnings & Valuation

This table compares XOS and Traton”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
XOS	$63.77 million	0.56	-$75.84 million	($10.74)	-0.42
Traton	N/A	N/A	N/A	N/A	N/A

Traton has lower revenue, but higher earnings than XOS.

Summary

XOS beats Traton on 5 of the 8 factors compared between the two stocks.

About XOS

Xos, Inc. designs, manufactures, and sells battery-electric commercial vehicles. The company provides class 5-6 medium duty rolling chassis, such as commercial stepvans and armored trucks; class 7-8 heavy duty chassis; and Xos product development. It offers Xos provides mix-use powertrain solutions for off-highway, industrial and other commercial equipment, and specialty vehicles, such as school buses, medical and dental clinics, blood donation vehicles, and mobile command vehicles. In addition, the company offers energy solutions, a comprehensive charging infrastructure business that offers mobile and stationary multi-application chargers, mobile energy storage, and turnkey energy infrastructure services to accelerate client transitions to electric fleets; Xos Hub, a rapid-deployment mobile charger designed to expedite fleet transitions to electric vehicles; and Xosphere, a platform that interconnects vehicle, maintenance, charging, and service data to improve overall customer experience. Further, it offers X-Pack, a proprietary battery pack technology for last-mile commercial use cases; X-Platform foundation of Xos vehicle products; and vehicle control software, which include powertrain controls, body controls, and instrument cluster and infotainment. Xos, Inc. was founded in 2020 and is headquartered in Los Angeles, California.

About Traton

Traton SE manufactures and sells commercial vehicles worldwide. It operates in Industrial Business and Financial Services segments. The company offers light- to heavy-duty trucks for distributors, long-distance vans, and construction vehicles, as well as city buses, and intercity and travel coaches; bus chassis, commercial trucks, and diesel engines; and school and commercial buses under the IC Bus brand. It also provides a cloud-based platform for the transport and logistics industry under the RIO brand; and after-sales services and custom digital solutions. The company offers its products and services under the MAN, Scania, Navistar, and Volkswagen Truck & Bus brands. In addition, it provides customers financing solutions, such as loans and leases. The company was founded in 2015 and is headquartered in Munich, Germany. Traton SE is a subsidiary of Volkswagen Finance Luxemburg S.A.