Financial Analysis: Foresight Autonomous Holdings Ltd. American Depositary Shares (NASDAQ:FRSX) vs. Lear (NYSE:LEA)

Foresight Autonomous Holdings Ltd. American Depositary Shares (NASDAQ:FRSX) and Lear (NYSE:LEA) are both consumer discretionary companies, but which is the better business? We will contrast the two companies based on the strength of their institutional ownership, earnings, valuation, profitability, dividends, risk and analyst recommendations.

Institutional & Insider Ownership

23.4% of Foresight Autonomous Holdings Ltd. American Depositary Shares shares are held by institutional investors. Comparatively, 97.0% of Lear shares are held by institutional investors. 10.6% of Foresight Autonomous Holdings Ltd. American Depositary Shares shares are held by insiders. Comparatively, 1.0% of Lear shares are held by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock will outperform the market over the long term.

Profitability

This table compares Foresight Autonomous Holdings Ltd. American Depositary Shares and Lear’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Foresight Autonomous Holdings Ltd. American Depositary Shares	N/A	N/A	N/A
Lear	2.35%	14.18%	4.88%

Earnings and Valuation

This table compares Foresight Autonomous Holdings Ltd. American Depositary Shares and Lear”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Foresight Autonomous Holdings Ltd. American Depositary Shares	$400,000.00	4.76	-$12.10 million	($16.66)	-0.07
Lear	$23.26 billion	0.25	$436.80 million	$10.73	11.09

Lear has higher revenue and earnings than Foresight Autonomous Holdings Ltd. American Depositary Shares. Foresight Autonomous Holdings Ltd. American Depositary Shares is trading at a lower price-to-earnings ratio than Lear, indicating that it is currently the more affordable of the two stocks.

Volatility & Risk

Foresight Autonomous Holdings Ltd. American Depositary Shares has a beta of 0.68, indicating that its share price is 32% less volatile than the S&P 500. Comparatively, Lear has a beta of 1.26, indicating that its share price is 26% more volatile than the S&P 500.

Analyst Ratings

This is a breakdown of recent recommendations and price targets for Foresight Autonomous Holdings Ltd. American Depositary Shares and Lear, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Foresight Autonomous Holdings Ltd. American Depositary Shares	1	0	0	0	1.00
Lear	0	12	3	1	2.31

Lear has a consensus price target of $146.33, indicating a potential upside of 22.99%. Given Lear’s stronger consensus rating and higher possible upside, analysts clearly believe Lear is more favorable than Foresight Autonomous Holdings Ltd. American Depositary Shares.

Summary

Lear beats Foresight Autonomous Holdings Ltd. American Depositary Shares on 13 of the 15 factors compared between the two stocks.

About Foresight Autonomous Holdings Ltd. American Depositary Shares

Foresight Autonomous Holdings Ltd., a technology company, engages in the development of smart multi-spectral 3D vision software solutions and cellular-based applications for the automotive industry in Israel, Japan, the United States, and internationally. It develops in-line-of-sight vision solutions and beyond-line-of-site accident-prevention solutions. The company also offers QuadSight automotive vision solution, a four-camera multi-spectral vision solution that combines two sets of stereoscopic infrared and visible-light cameras for obstacle detection; DynamiCal, an automatic calibration software solution to ensure that stereo cameras remain calibrated to create accurate and continuous 3D depth perception; and ScaleCam, a separated stereo camera solution. In addition, it provides Percept3D, a 3D point cloud solution that provides 3D raw data for obstacle detection, terrain analysis, and autonomous vehicle sensor fusion; and Mono2Stereo, a solution that enhances existing vision sensor systems by using software-based algorithms to create a 3D perception stereo vision solution. Further, the company offers Eye-Net Protect, a cellular-based V2X solution that provides real-time pre-collision alerts to various road users, such as pedestrians, cyclists, scooter drivers, etc. by using smartphones. Its solutions are used in automotive, defense, autonomous vehicles, and agriculture and heavy industrial equipment industries. The company was formerly known as Asia Development (A.D.B.M.) Ltd. and changed its name to Foresight Autonomous Holdings Ltd. in January 2016. Foresight Autonomous Holdings Ltd. is headquartered in Ness Ziona, Israel.

About Lear

Lear Corporation designs, develops, engineers, manufactures, assembles, and supplies automotive seating, and electrical distribution systems and related components for automotive original equipment manufacturers in North America, Europe, Africa, Asia, and South America. Its Seating segment offers seat systems, seat subsystems, keyseat components, seat trim covers, seat mechanisms, seat foams, and headrests, as well as surface materials, such as leather and fabric for automobiles and light trucks, compact cars, pick-up trucks, and sport utility vehicles. The company’s E-Systems segment provides electrical distribution and connection systems that route electrical signals and networks; and manage electrical power within the vehicle for various powertrains. This segment’s products comprise wire harnesses, terminals and connectors, engineered components, and junction boxes; electronic system products, including body domain control modules, smart and passive junction boxes, gateway and communication modules, integrated power modules, and high voltage switching and power control systems. It also offers software and connected services comprising Xevo Market, an in-vehicle commerce and service platform; and software and services for the cloud, vehicles, and mobile devices. In addition, this segment provides cybersecurity software; advanced vehicle positioning for automated and autonomous driving applications; and short-range communication and cellular protocols for vehicle connectivity. It offers its products and services under the XEVO, GUILFORD, EAGLE OTTAWA, ConfigurE+, INTUTM, LEAR CONNEXUSTM, EXO, JOURNEYWARE, ProTec, SMART JUNCTION BOX, STRUCSURE, AVENTINO, and TeXstyle brands. Lear Corporation was founded in 1917 and is headquartered in Southfield, Michigan.