Analyzing Smart Powerr (NASDAQ:CREG) & WEX (NYSE:WEX)

Smart Powerr (NASDAQ:CREG) and WEX (NYSE:WEX) are both business services companies, but which is the superior stock? We will contrast the two businesses based on the strength of their institutional ownership, earnings, risk, analyst recommendations, profitability, dividends and valuation.

Insider & Institutional Ownership

0.2% of Smart Powerr shares are held by institutional investors. Comparatively, 97.5% of WEX shares are held by institutional investors. 14.0% of Smart Powerr shares are held by insiders. Comparatively, 1.4% of WEX shares are held by 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.

Valuation & Earnings

This table compares Smart Powerr and WEX”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Smart Powerr	$20,625.00	803.85	-$750,000.00	($0.24)	-2.77
WEX	$2.61 billion	1.74	$309.60 million	$7.76	17.14

WEX has higher revenue and earnings than Smart Powerr. Smart Powerr is trading at a lower price-to-earnings ratio than WEX, indicating that it is currently the more affordable of the two stocks.

Analyst Recommendations

This is a summary of current recommendations and price targets for Smart Powerr and WEX, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Smart Powerr	0	0	0	0	0.00
WEX	0	10	3	0	2.23

WEX has a consensus price target of $176.90, indicating a potential upside of 32.98%. Given WEX’s stronger consensus rating and higher probable upside, analysts plainly believe WEX is more favorable than Smart Powerr.

Risk & Volatility

Smart Powerr has a beta of 0.94, suggesting that its share price is 6% less volatile than the S&P 500. Comparatively, WEX has a beta of 1.26, suggesting that its share price is 26% more volatile than the S&P 500.

Profitability

This table compares Smart Powerr and WEX’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Smart Powerr	N/A	-1.08%	-0.87%
WEX	11.78%	32.35%	3.89%

Summary

WEX beats Smart Powerr on 12 of the 14 factors compared between the two stocks.

About Smart Powerr

Smart Powerr Corp. engages in the waste energy recycling business in China. The company provides energy saving and recovery facilities for various energy intensive industries; waste energy recycling systems for use in nonferrous metal plants; and clean-technology and energy-efficient solutions to reduce air pollution and energy shortage problems. It also designs, finances, constructs, and installs the waste energy recycling project to mid to large-size enterprises involved in high energy-consuming businesses; and provides project investment, investment management, economic information consulting, technical, financial leasing, and financial leasing transactions and consulting services; purchases, repairs, and disposes financial leasing assets; sells and leases energy saving systems and equipment. In addition, the company offers waste gas-to-energy solutions comprising the waste gas power generation system that utilizes flammable waste gas to generate electricity; and flammable waste gases emitted from industrial production processes, such as blast furnace gas, and coke furnace gas, oil or gas to power gas-fired generators, as well as uses the waste heat generated in industrial production to make steam to generate electricity through a steam turbine. Further, it markets its projects to the industrial manufacturers to utilize energy recovery projects in their manufacturing processes, including steel, cement, nonferrous metal, coal, and petrochemical industries. The company was formerly known as China Recycling Energy Corporation and changed its name to Smart Powerr Corp. in March 2022. Smart Powerr Corp. was incorporated in 1980 and is headquartered in Xi'an, China.

About WEX

WEX Inc. operates a commerce platform in the United States and internationally. The Mobility segment offers fleet vehicle payment solutions, transaction processing, and information management services; and provides account activation and account retention services; authorization and billing inquiries, and account maintenance services; account management; credit and collections services; merchant services; analytics solutions; and ancillary services and offerings. This segment markets its products directly and indirectly to businesses and government agencies with fleets of commercial vehicles; and indirectly through co-branded and private label relationships. The Corporate Payments segment provides payment solutions, including embedded payments; and accounts payable automation and spend management solutions. This segment also markets its products directly and indirectly to customers in travel, fintech, insurance, consumer bill pay, and media verticals. The Benefits Solutions segment offers software-as-a-service (SaaS) platform for consumer directed healthcare benefits and full-service benefit enrollment solutions. In addition, its SaaS platform includes embedded payment solutions and plan administration services for consumer-directed health benefits; COBRA accounts; and benefit enrollment and administration services. Further, it offers custodial and depository services for health savings accounts; and markets its products through third-party administrators, financial institutions, payroll providers, and health plans. The company was formerly known as Wright Express Corporation and changed its name to WEX Inc. in October 2012. WEX Inc. was founded in 1983 and is based in Portland, Maine.