Contrasting ECARX (NASDAQ:ECXWW) & Goodyear Tire & Rubber (NASDAQ:GT)

ECARX (NASDAQ:ECXWW) and Goodyear Tire & Rubber (NASDAQ:GT) are both consumer discretionary companies, but which is the superior business? We will contrast the two companies based on the strength of their risk, valuation, institutional ownership, earnings, dividends, profitability and analyst recommendations.

Insider & Institutional Ownership

84.2% of Goodyear Tire & Rubber shares are held by institutional investors. 0.5% of Goodyear Tire & Rubber shares are held by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock will outperform the market over the long term.

Profitability

This table compares ECARX and Goodyear Tire & Rubber’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
ECARX	N/A	N/A	N/A
Goodyear Tire & Rubber	-14.37%	-2.95%	-0.50%

Analyst Recommendations

This is a breakdown of recent ratings for ECARX and Goodyear Tire & Rubber, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
ECARX	0	0	0	0	0.00
Goodyear Tire & Rubber	2	4	2	0	2.00

Goodyear Tire & Rubber has a consensus target price of $8.47, indicating a potential upside of 38.57%. Given Goodyear Tire & Rubber’s stronger consensus rating and higher possible upside, analysts plainly believe Goodyear Tire & Rubber is more favorable than ECARX.

Valuation and Earnings

This table compares ECARX and Goodyear Tire & Rubber”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
ECARX	$881.26 million	N/A	N/A	N/A	N/A
Goodyear Tire & Rubber	$18.28 billion	0.10	-$1.72 billion	($8.83)	-0.69

ECARX has higher earnings, but lower revenue than Goodyear Tire & Rubber.

Summary

Goodyear Tire & Rubber beats ECARX on 6 of the 9 factors compared between the two stocks.

About ECARX

ECARX Holdings Inc. develops a full stack automotive computing platform to shape the interaction between people and cars by rapidly advancing the technology by smart mobility worldwide. It offers system on chips, central computing platforms, operating systems, and software. Its core products include infotainment head units, digital cockpits, vehicle chip-set solutions, core operating system, and integrated software stack. The company has entered into a strategic partnership agreement with Black Sesame Technologies. The company is based in Shanghai, the People's Republic of China.

About Goodyear Tire & Rubber

Goodyear Tire & Rubber Co. engages in the development, manufacture, distribution, and sale of tires. It operates through the following geographical segments: Americas, Europe, Middle East, and Africa, and Asia Pacific. The Americas segment is involved in the development, manufacture, distribution, and sale of tires and related products and services in North, Central, and South America. The Europe, Middle East, and Africa segment focuses on the development, manufacture, distribution, and sale of tires for automobiles, trucks, buses, aircraft, motorcycles, earthmoving, mining, and industrial equipment throughout Europe, the Middle East, and Africa. The Asia Pacific segment refers to the development, manufacture, distribution, and sales of tires for automobiles, trucks, buses, aircraft, farm, earthmoving, mining, and industrial equipment throughout the Asia Pacific region. The company was founded by Frank A. Seiberling on August 29, 1898 and is headquartered in Akron, OH.