Critical Review: Patrick Industries (NASDAQ:PATK) vs. U Power (NASDAQ:UCAR)

Patrick Industries (NASDAQ:PATK) and U Power (NASDAQ:UCAR) are both construction companies, but which is the superior investment? We will contrast the two companies based on the strength of their analyst recommendations, institutional ownership, valuation, earnings, risk, profitability and dividends.

Volatility & Risk

Patrick Industries has a beta of 1.62, suggesting that its stock price is 62% more volatile than the S&P 500. Comparatively, U Power has a beta of 1.85, suggesting that its stock price is 85% more volatile than the S&P 500.

Analyst Recommendations

This is a summary of current recommendations for Patrick Industries and U Power, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Patrick Industries	0	1	7	0	2.88
U Power	0	0	0	0	0.00

Patrick Industries currently has a consensus price target of $139.88, indicating a potential upside of 3.27%. Given Patrick Industries’ stronger consensus rating and higher possible upside, analysts plainly believe Patrick Industries is more favorable than U Power.

Institutional and Insider Ownership

93.3% of Patrick Industries shares are owned by institutional investors. Comparatively, 13.2% of U Power shares are owned by institutional investors. 4.7% of Patrick Industries shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock is poised for long-term growth.

Valuation and Earnings

This table compares Patrick Industries and U Power”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Patrick Industries	$3.47 billion	0.87	$142.90 million	$6.96	19.46
U Power	$2.78 million	6.18	-$2.72 million	N/A	N/A

Patrick Industries has higher revenue and earnings than U Power.

Profitability

This table compares Patrick Industries and U Power’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Patrick Industries	4.24%	14.84%	5.49%
U Power	N/A	N/A	N/A

Summary

Patrick Industries beats U Power on 10 of the 12 factors compared between the two stocks.

About Patrick Industries

Patrick Industries, Inc. manufactures and distributes component products and materials for the recreational vehicle, marine, manufactured housing, and industrial markets in the United States, Mexico, China, and Canada. Its Manufacturing segment manufactures and sells laminated products for furniture, shelving, wall, countertop, and cabinet products; cabinet doors, fiberglass bath fixtures, and tile systems; hardwood furniture, vinyl printing, amplifiers, tower speakers, soundbars, and subwoofers; solid surface, granite, and quartz countertop fabrication; aluminum products; fiberglass and plastic components; RV paintings; decorative vinyl and paper laminated panels; softwoods lumber; custom cabinets; polymer-based flooring products; dash panels; and other products. This segment also provides wrapped vinyl, paper, and hardwood profile mouldings; interior passage doors; air handling products; slide-out trim and fascia; treated, untreated, and laminated plywood; fiberglass and plastic helm systems and components; boat towers, tops, trailers, and frames; adhesives and sealants; thermoformed shower surrounds; specialty bath, and closet building products; wiring and wire harnesses; aluminum and plastic fuel tanks; CNC molds, composite parts, marine hardware; slotwall panels, components; and other products. The company's Distribution segment distributes pre-finished wall and ceiling panels, drywall and finishing products, electronic and audio system components, appliances, marine accessories, wiring products, electrical and plumbing products, fiber reinforced polyester products; cement siding products, raw and processed lumber, interior passage, roofing, laminate, and ceramic flooring products, shower doors, furniture, fireplaces and surrounds, interior and exterior lighting products, and other products. This segment also offers transportation and logistics services. Patrick Industries, Inc. was incorporated in 1959 and is based in Elkhart, Indiana.

About U Power

U Power Limited, together with its subsidiaries, engages in the development, manufacture, and sale of new energy vehicles and battery swapping stations in the People's Republic of China. It also offers battery swapping and sourcing, as well as technical and consultation services. The company was founded in 2013 and is headquartered in Wuhu, the People's Republic of China.