Financial Comparison: Toyota Motor (NYSE:TM) and Electric Car (OTCMKTS:ELCR)
by Michael Walen · The Markets DailyElectric Car (OTCMKTS:ELCR – Get Free Report) and Toyota Motor (NYSE:TM – Get Free Report) are both consumer discretionary companies, but which is the superior investment? We will compare the two businesses based on the strength of their dividends, analyst recommendations, earnings, institutional ownership, valuation, profitability and risk.
Analyst Recommendations
This is a breakdown of current recommendations and price targets for Electric Car and Toyota Motor, as reported by MarketBeat.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| Electric Car | 0 | 0 | 0 | 0 | 0.00 |
| Toyota Motor | 0 | 4 | 1 | 2 | 2.71 |
Toyota Motor has a consensus target price of $290.00, indicating a potential upside of 46.84%. Given Toyota Motor’s stronger consensus rating and higher probable upside, analysts clearly believe Toyota Motor is more favorable than Electric Car.
Valuation and Earnings
This table compares Electric Car and Toyota Motor”s top-line revenue, earnings per share (EPS) and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| Electric Car | N/A | N/A | N/A | ($0.00) | N/A |
| Toyota Motor | $336.70 billion | 0.76 | $25.40 billion | $22.68 | 8.71 |
Toyota Motor has higher revenue and earnings than Electric Car. Electric Car is trading at a lower price-to-earnings ratio than Toyota Motor, indicating that it is currently the more affordable of the two stocks.
Institutional and Insider Ownership
1.5% of Toyota Motor shares are held by institutional investors. 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 Electric Car and Toyota Motor’s net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| Electric Car | N/A | N/A | N/A |
| Toyota Motor | 8.61% | 11.21% | 4.34% |
Summary
Toyota Motor beats Electric Car on 11 of the 11 factors compared between the two stocks.
About Electric Car
Electric Car Co., Inc. is a vehicle conversion company, which engages in the vehicle manufacturing business. The company was founded by C. Gary Spaniak Jr. on December 29, 2006 and is headquartered in Springfield, MO.
About Toyota Motor
Toyota Motor Corporation designs, manufactures, assembles, and sells passenger vehicles, minivans and commercial vehicles, and related parts and accessories in Japan, North America, Europe, Asia, Central and South America, Oceania, Africa, and the Middle East. It operates in Automotive, Financial Services, and All Other segments. The company offers subcompact and compact cars; mini-vehicles; mid-size, luxury, sports, and specialty cars; recreational and sport-utility vehicles; pickup trucks; minivans; trucks; and buses. It offers vehicles under the Toyota and Lexus brand names. Further, the company provides financial services, such as retail financing and leasing, wholesale financing, insurance, and credit cards. Additionally, it operates GAZOO.com, a web portal for automobile information, as well as engages in telecommunications and other businesses. The company was founded in 1933 and is headquartered in Toyota, Japan.