Head-To-Head Review: BYD (OTCMKTS:BYDDY) vs. VinFast Auto (NASDAQ:VFS)

BYD (OTCMKTS:BYDDY) and VinFast Auto (NASDAQ:VFS) are both consumer discretionary companies, but which is the better investment? We will compare the two businesses based on the strength of their earnings, risk, dividends, valuation, institutional ownership, profitability and analyst recommendations.

Profitability

This table compares BYD and VinFast Auto’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
BYD	N/A	N/A	N/A
VinFast Auto	-110.57%	N/A	-58.71%

Volatility & Risk

BYD has a beta of 0.1, indicating that its share price is 90% less volatile than the S&P 500. Comparatively, VinFast Auto has a beta of 0.68, indicating that its share price is 32% less volatile than the S&P 500.

Earnings and Valuation

This table compares BYD and VinFast Auto”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
BYD	$111.84 billion	0.83	$4.54 billion	$0.57	18.13
VinFast Auto	$3.60 billion	2.00	-$3.96 billion	($1.84)	-1.67

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

Insider and Institutional Ownership

0.0% of BYD shares are held by institutional investors. 16.2% of VinFast Auto shares are held 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.

Analyst Ratings

This is a summary of current ratings and target prices for BYD and VinFast Auto, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
BYD	0	1	0	0	2.00
VinFast Auto	1	0	3	0	2.50

VinFast Auto has a consensus price target of $5.50, suggesting a potential upside of 78.86%. Given VinFast Auto’s stronger consensus rating and higher probable upside, analysts plainly believe VinFast Auto is more favorable than BYD.

Summary

BYD beats VinFast Auto on 7 of the 13 factors compared between the two stocks.

About BYD

BYD Company Limited, together with its subsidiaries, engages in automobiles and batteries business in the People’s Republic of China, Hong Kong, Macau, Taiwan, and internationally. The company operates in two segments: Mobile Handset Components, Assembly Service and Other Products; and Automobiles and Related Products and Other Products. The Mobile Handset Components, Assembly Service and Other Products segment manufactures and sells mobile handset components, such as housings and electronic components; and offers assembly services. The Automobiles and Related Products and Other Products segment is involved in the manufacturing and sale of automobiles, and auto-related molds and components; rail transport and related business; and provision of automobile leasing and after sales services, automobile power batteries, lithium-ion batteries, photovoltaic, and iron battery products. The company develops urban rail transportation business. BYD Company Limited was founded in 1995 and is headquartered in Shenzhen, China.

About VinFast Auto

VinFast Auto Ltd. engages in the design and manufacture of electric vehicles (EV), e-scooters, and e-buses in Vietnam, Canada, and the United States. The company operates through three segments: Automobiles, E-scooter, and Spare Parts & Aftermarket Services. The Automobiles segment offers design, development, manufacturing, and sale of cars and electric buses, and related battery lease and battery charging services for electric cars and buses. The E-scooter segment provides design, development, manufacturing, and sales of e-scooters, and related battery lease and battery charging service for e-scooters. The Spare Parts, and Aftermarket Services segment engages in sale of spare parts and aftermarket services for automobiles and e-scooters. VinFast Auto Ltd. is based in Hai Phong City, Vietnam. VinFast Auto Ltd. is a subsidiary of Vingroup Joint Stock Company.