Head-To-Head Review: Polestar Automotive Holding UK (NASDAQ:PSNY) versus Rivian Automotive (NASDAQ:RIVN)

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

Risk & Volatility

Polestar Automotive Holding UK has a beta of 1.53, meaning that its stock price is 53% more volatile than the S&P 500. Comparatively, Rivian Automotive has a beta of 2.12, meaning that its stock price is 112% more volatile than the S&P 500.

Profitability

This table compares Polestar Automotive Holding UK and Rivian 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
Rivian Automotive	-121.38%	-72.78%	-35.06%

Earnings & Valuation

This table compares Polestar Automotive Holding UK and Rivian 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	$2.06 billion	1.14	-$1.19 billion	($0.57)	-1.93
Rivian Automotive	$4.55 billion	2.92	-$5.43 billion	($5.60)	-2.32

Polestar Automotive Holding UK has higher earnings, but lower revenue than Rivian Automotive. Rivian Automotive is trading at a lower price-to-earnings ratio than Polestar Automotive Holding UK, indicating that it is currently the more affordable of the two stocks.

Analyst Ratings

This is a summary of recent ratings and recommmendations for Polestar Automotive Holding UK and Rivian Automotive, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Polestar Automotive Holding UK	2	4	1	0	1.86
Rivian Automotive	1	12	10	0	2.39

Polestar Automotive Holding UK currently has a consensus price target of $1.53, indicating a potential upside of 39.35%. Rivian Automotive has a consensus price target of $15.73, indicating a potential upside of 20.98%. Given Polestar Automotive Holding UK’s higher probable upside, analysts clearly believe Polestar Automotive Holding UK is more favorable than Rivian Automotive.

Institutional & Insider Ownership

1.0% of Polestar Automotive Holding UK shares are held by institutional investors. Comparatively, 66.3% of Rivian Automotive shares are held by institutional investors. 0.0% of Polestar Automotive Holding UK shares are held by company insiders. Comparatively, 2.5% of Rivian Automotive shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company will outperform the market over the long term.

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 Rivian Automotive

Rivian Automotive, Inc., together with its subsidiaries, designs, develops, manufactures, and sells electric vehicles and accessories. The company offers consumer vehicles, including a two-row, five-passenger pickup truck under the R1T brand, a three-row, seven-passenger sport utility vehicle under the R1S name. It provides consumer services, such as digital financing and leasing, telematics-based insurance, vehicle maintenance and repair services, software services, and charging solutions. In addition, the company designs, develops, manufactures, and operates the Rivian Adventure Network Direct Current fast chargers, and offers access to Combined Charging Standard, as well as FleetOS, a proprietary, end-to-end centralized fleet management subscription platform. Further, it offers Rivian Commercial Van platform for Electric Delivery Van with collaboration with Amazon.com, Inc. The company sells its products directly to customers in the consumer and commercial markets. Rivian Automotive, Inc. was founded in 2009 and is based in Irvine, California.