Analyzing Aeva Technologies (NASDAQ:AEVA) & AMETEK (NYSE:AME)

AMETEK (NYSE:AME) and Aeva Technologies (NASDAQ:AEVA) are both technology companies, but which is the superior investment? We will compare the two businesses based on the strength of their institutional ownership, earnings, valuation, risk, profitability, analyst recommendations and dividends.

Valuation and Earnings

This table compares AMETEK and Aeva Technologies”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
AMETEK	$7.40 billion	7.49	$1.48 billion	$6.84	35.36
Aeva Technologies	$18.08 million	53.28	-$145.43 million	($2.73)	-5.60

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

Analyst Ratings

This is a summary of current recommendations and price targets for AMETEK and Aeva Technologies, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
AMETEK	0	5	11	1	2.76
Aeva Technologies	1	2	2	0	2.20

AMETEK currently has a consensus target price of $266.69, suggesting a potential upside of 10.27%. Aeva Technologies has a consensus target price of $28.75, suggesting a potential upside of 88.15%. Given Aeva Technologies’ higher probable upside, analysts clearly believe Aeva Technologies is more favorable than AMETEK.

Insider & Institutional Ownership

87.4% of AMETEK shares are owned by institutional investors. Comparatively, 62.9% of Aeva Technologies shares are owned by institutional investors. 0.5% of AMETEK shares are owned by insiders. Comparatively, 36.7% of Aeva Technologies shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock is poised for long-term growth.

Profitability

This table compares AMETEK and Aeva Technologies’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
AMETEK	20.04%	16.93%	11.26%
Aeva Technologies	-150.12%	-859.37%	-81.68%

Risk & Volatility

AMETEK has a beta of 0.99, suggesting that its share price is 1% less volatile than the S&P 500. Comparatively, Aeva Technologies has a beta of 2.44, suggesting that its share price is 144% more volatile than the S&P 500.

Summary

AMETEK beats Aeva Technologies on 11 of the 15 factors compared between the two stocks.

About AMETEK

AMETEK, Inc. manufactures and sells electronic instruments and electromechanical devices in the North America, Europe, Asia, and South America, and internationally. The company's EIG segment offers advanced instruments for the process, aerospace, power, and industrial markets; process and analytical instruments for the oil and gas, petrochemical, pharmaceutical, semiconductor, automation, and food and beverage industries; instruments to the laboratory equipment, ultra-precision manufacturing, medical, and test and measurement markets; power quality monitoring and c devices, uninterruptible power supplies, programmable power and electromagnetic compatibility test equipment, and sensors for gas turbines and dashboard instruments; heavy trucks, instrumentation, and controls for the food and beverage industries; and aircraft and engine sensors, power supplies, embedded computing, monitoring, fuel and fluid measurement, and data acquisition systems for aerospace and defense industry. Its EMG segment offers engineered medical components and devices, automation solutions, thermal management systems, specialty metals, and electrical interconnects; single-use and consumable surgical instruments, implantable components, and drug delivery systems; engineered electrical connectors and electronics packaging to protect sensitive devices and mission-critical electronics; precision motion control products for data storage, medical devices, business equipment, and automation; high-purity powdered metals, strips and foils, specialty clad metals, and metal matrix composites; motor-blower systems and heat exchangers for thermal management, military and commercial aircraft, and military ground vehicles; motors for commercial appliances, food and beverage machines, hydraulic pumps, and industrial blowers; and operates a network of aviation maintenance, repair, and overhaul facilities. AMETEK, Inc. was incorporated in 1930 and is headquartered in Berwyn, Pennsylvania.

About Aeva Technologies

Aeva Technologies, Inc. engages in the design, development, manufacture, and sale of LiDAR sensing systems, and related perception and autonomy-enabling software solutions in North America, Europe, the Middle East, Africa, and Asia. The company develops its products using frequency modulated continuous wave (FMCW) sensing technology. It offers Aeries II, a 4D LiDAR solution that consist of 4D LiDAR sensing system with embedded software for automotive grade production across passenger car, trucking, and mobility applications; and Atlas, a FMCW 4D LiDAR with simultaneous velocity and range detection for the automotive market. The company's products are also used in industrial automation, consumer device, and security market applications. Aeva Technologies, Inc. was founded in 2017 and is headquartered in Mountain View, California.