Financial Survey: Federal Screw Works (OTCMKTS:FSCR) vs. Hesai Group (NASDAQ:HSAI)

Hesai Group (NASDAQ:HSAI) and Federal Screw Works (OTCMKTS:FSCR) are both auto/tires/trucks companies, but which is the superior stock? We will compare the two companies based on the strength of their valuation, earnings, risk, dividends, institutional ownership, analyst recommendations and profitability.

Volatility & Risk

Hesai Group has a beta of 1.14, suggesting that its share price is 14% more volatile than the S&P 500. Comparatively, Federal Screw Works has a beta of 1.09, suggesting that its share price is 9% more volatile than the S&P 500.

Insider & Institutional Ownership

48.5% of Hesai Group shares are owned by institutional investors. 46.2% of Federal Screw Works shares are owned by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock is poised for long-term growth.

Analyst Ratings

This is a breakdown of current ratings and recommmendations for Hesai Group and Federal Screw Works, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Hesai Group	0	1	5	2	3.13
Federal Screw Works	0	0	0	0	0.00

Hesai Group presently has a consensus target price of $30.80, indicating a potential upside of 27.85%. Given Hesai Group’s stronger consensus rating and higher probable upside, equities research analysts clearly believe Hesai Group is more favorable than Federal Screw Works.

Profitability

This table compares Hesai Group and Federal Screw Works’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Hesai Group	15.70%	8.04%	5.94%
Federal Screw Works	1.36%	N/A	N/A

Earnings and Valuation

This table compares Hesai Group and Federal Screw Works”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Hesai Group	$284.57 million	11.85	-$14.02 million	$0.42	57.36
Federal Screw Works	$97.55 million	0.14	$1.62 million	$0.98	10.00

Federal Screw Works has lower revenue, but higher earnings than Hesai Group. Federal Screw Works is trading at a lower price-to-earnings ratio than Hesai Group, indicating that it is currently the more affordable of the two stocks.

Summary

Hesai Group beats Federal Screw Works on 12 of the 15 factors compared between the two stocks.

About Hesai Group

Hesai Group, through with its subsidiaries, engages in the development, manufacture, and sale of three-dimensional light detection and ranging solutions (LiDAR). Its LiDAR products are used in passenger and commercial vehicles with advanced driver assistance systems; autonomous passenger and freight mobility services; and other applications, such as delivery robots, street sweeping robots, and logistics robots in restricted areas. Hesai Group was founded in 2014 and is based in Shanghai, China.

About Federal Screw Works

Federal Screw Works manufactures and sells industrial component parts primarily to the automobile industry in the United States. It operates through Big Rapids, Romulus, Traverse City, and Novex Tool divisions. The company offers cold formed and machined pins, including piston pins, planetary and differential gear shafts, and oil pump and steering shafts for the automotive, refrigeration, and small engine industries; and cold formed machined products, such as suspension ball studs, fluid line adapters, and precision formed and machined valve lifter bodies to the automotive industry. It also provides close tolerance machined products that are used in transmission valves, ball joints, steering gear bulkhead assemblies, torque converter hubs, and piston pins; and engineered nut products comprising prevailing torque nuts, free spinning nuts, slotted nuts, nut retainer assemblies, and nut washer assemblies to the automotive industry. In addition, the company offers cold form tooling products, which include assemblies, sleeves, dies, and punches; and complex cold formed parts, such as tie rod housings, valve lifter bodies, and suspension components. Federal Screw Works was founded in 1917 and is based in Romulus, Michigan.