Volkswagen (OTCMKTS:VWAGY) versus Bayerische Motoren Werke (OTCMKTS:BAMXF) Financial Contrast

Bayerische Motoren Werke (OTCMKTS:BAMXF) and Volkswagen (OTCMKTS:VWAGY) are both large-cap auto/tires/trucks companies, but which is the superior business? We will compare the two companies based on the strength of their earnings, dividends, risk, institutional ownership, valuation, profitability and analyst recommendations.

Earnings and Valuation

This table compares Bayerische Motoren Werke and Volkswagen”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Bayerische Motoren Werke	$150.95 billion	0.35	$8.25 billion	$13.39	6.85
Volkswagen	$364.13 billion	0.14	$8.29 billion	$1.49	6.78

Volkswagen has higher revenue and earnings than Bayerische Motoren Werke. Volkswagen is trading at a lower price-to-earnings ratio than Bayerische Motoren Werke, indicating that it is currently the more affordable of the two stocks.

Analyst Recommendations

This is a summary of current ratings for Bayerische Motoren Werke and Volkswagen, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Bayerische Motoren Werke	1	3	0	1	2.20
Volkswagen	0	2	1	1	2.75

Profitability

This table compares Bayerische Motoren Werke and Volkswagen’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Bayerische Motoren Werke	5.45%	7.63%	2.78%
Volkswagen	1.96%	3.18%	0.99%

Risk and Volatility

Bayerische Motoren Werke has a beta of 0.61, suggesting that its stock price is 39% less volatile than the S&P 500. Comparatively, Volkswagen has a beta of 1.02, suggesting that its stock price is 2% more volatile than the S&P 500.

Summary

Volkswagen beats Bayerische Motoren Werke on 6 of the 11 factors compared between the two stocks.

About Bayerische Motoren Werke

Bayerische Motoren Werke Aktiengesellschaft engages in the development, manufacture, and sale of automobiles and motorcycles, and spare parts and accessories worldwide. It operates through Automotive, Motorcycles, and Financial Services segments. The Automotive segment engages in the development, manufacture, assembling, and sale of automobiles, spare parts, accessories, and mobility services under the BMW, MINI, and Rolls-Royce brands. The Motorcycles segment develops, manufactures, assembles, and sells motorcycles and scooters under the BMW Motorrad brand, as well as spare parts and accessories. The Financial Services segment is involved in the automobile and motorcycle leasing, credit financing, retail and dealership financing, multi-brand fleet, customer deposit, and insurance activities; and the provision of fleet management services under the Alphabet brand. The company sells its products through independent dealerships. Bayerische Motoren Werke Aktiengesellschaft was founded in 1916 and is headquartered in Munich, Germany.

About Volkswagen

Volkswagen AG manufactures and sells automobiles in Germany, other European countries, North America, South America, the Asia-Pacific, and internationally. The company operates through four segments: Passenger Cars and Light Commercial Vehicles, Commercial Vehicles, Power Engineering, and Financial Services. The Passenger Cars and Light Commercial Vehicles segment engages in the development of vehicles, engines, and vehicle software; produces and sells passenger cars and light commercial vehicles, and related parts; and offers motorcycles. The Commercial Vehicles segment develops, produces, and sells trucks and buses; and offers parts and related services. The Power Engineering segment offers large-bore diesel engines, turbomachinery, and propulsion components. The Financial Services segment provides dealership and customer financing, leasing, direct banking and insurance, fleet management, and mobility services. It sells its products under the Volkswagen Passenger Cars, koda, SEAT/CUPRA, Volkswagen Commercial Vehicles, Audi, Lamborghini, Bentley, Ducati, Porsche, Scania, MAN, Volkswagen Truck & Bus, Navistar commercial vehicles, and Bugatti brands. The company was founded in 1937 and is headquartered in Wolfsburg, Germany. Volkswagen AG operates as a subsidiary of Porsche Automobil Holding SE.