Analyzing Atmus Filtration Technologies (NYSE:ATMU) & Canoo (NASDAQ:GOEV)

Atmus Filtration Technologies (NYSE:ATMU) and Canoo (NASDAQ:GOEV) are both industrial products companies, but which is the superior investment? We will compare the two businesses based on the strength of their earnings, risk, dividends, profitability, analyst recommendations, institutional ownership and valuation.

Profitability

This table compares Atmus Filtration Technologies and Canoo’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Atmus Filtration Technologies	10.84%	134.28%	17.61%
Canoo	N/A	-97.99%	-35.14%

Volatility & Risk

Atmus Filtration Technologies has a beta of 1.68, suggesting that its share price is 68% more volatile than the S&P 500. Comparatively, Canoo has a beta of 1.29, suggesting that its share price is 29% more volatile than the S&P 500.

Insider & Institutional Ownership

32.7% of Atmus Filtration Technologies shares are held by institutional investors. Comparatively, 36.2% of Canoo shares are held by institutional investors. 0.4% of Atmus Filtration Technologies shares are held by insiders. Comparatively, 7.1% of Canoo shares are held by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock will outperform the market over the long term.

Analyst Ratings

This is a breakdown of current recommendations and price targets for Atmus Filtration Technologies and Canoo, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Atmus Filtration Technologies	0	1	4	0	2.80
Canoo	0	2	5	0	2.71

Atmus Filtration Technologies currently has a consensus price target of $44.80, suggesting a potential upside of 3.87%. Canoo has a consensus price target of $23.04, suggesting a potential upside of 4,197.21%. Given Canoo’s higher possible upside, analysts plainly believe Canoo is more favorable than Atmus Filtration Technologies.

Valuation and Earnings

This table compares Atmus Filtration Technologies and Canoo”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Atmus Filtration Technologies	$1.66 billion	2.16	$171.30 million	$2.15	20.06
Canoo	$890,000.00	49.28	-$302.02 million	($7.36)	-0.07

Atmus Filtration Technologies has higher revenue and earnings than Canoo. Canoo is trading at a lower price-to-earnings ratio than Atmus Filtration Technologies, indicating that it is currently the more affordable of the two stocks.

Summary

Atmus Filtration Technologies beats Canoo on 9 of the 14 factors compared between the two stocks.

About Atmus Filtration Technologies

Atmus Filtration Technologies Inc. designs, manufactures, and sells filtration products under the Fleetguard brand name in North America, Europe, South America, Asia, Australia, Africa, and internationally. The company offers fuel filters, lube filters, air filters, crankcase ventilation, hydraulic filters, coolants, and fuel additives, as well as other chemicals; and fuel water separators and other filtration systems to original equipment manufacturers, dealers/distributors, and end-users. Its products are used in on-highway commercial vehicles and off-highway agriculture, construction, mining, and power generation vehicles and equipment. The company was founded in 1958 and is headquartered in Nashville, Tennessee.

About Canoo

Canoo Inc., a mobility technology company, designs, develops, markets, and manufactures electric vehicles for consumer, commercial fleet, government, and military customers in the United States. the company utilizes its multi-purpose platform architecture, a self-contained, fully functional rolling chassis that directly houses the critical components for operation of an electric vehicle, including its in-house designed proprietary electric drivetrain, battery systems, advanced vehicle control electronics and software, and other critical components. It offers lifestyle delivery vehicles, lifestyle vehicles, multi-purpose delivery vehicles, and pickups; battery modules; and engineering services. In addition, the company provides digital ecosystem, a suite of products and software tools comprising CanooHub, a web-based fleet management portal; driver mobile app for real-time vehicle status and access to remote commands; vehicle human machine interface that encompasses vehicle controls, customizable settings, range mode, cruise control, vehicle alerts, camera feeds for safety and connectivity, such as cellular, Wi-Fi and Bluetooth, as well as data and analytics infrastructure. Canoo Inc. was founded in 2017 and is headquartered in Torrance, California.