Head-To-Head Review: ZEEKR Intelligent Technology (NYSE:ZK) and Toyota Motor (NYSE:TM)

Toyota Motor (NYSE:TM) and ZEEKR Intelligent Technology (NYSE:ZK) are both auto/tires/trucks companies, but which is the superior stock? We will contrast the two businesses based on the strength of their analyst recommendations, dividends, institutional ownership, profitability, risk, valuation and earnings.

Profitability

This table compares Toyota Motor and ZEEKR Intelligent Technology’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Toyota Motor	8.77%	11.63%	4.58%
ZEEKR Intelligent Technology	-2.80%	N/A	-5.45%

Institutional and Insider Ownership

1.5% of Toyota Motor shares are owned by institutional investors. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company will outperform the market over the long term.

Analyst Ratings

This is a breakdown of recent recommendations and price targets for Toyota Motor and ZEEKR Intelligent Technology, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Toyota Motor	2	2	3	0	2.14
ZEEKR Intelligent Technology	1	0	1	0	2.00

ZEEKR Intelligent Technology has a consensus target price of $38.00, indicating a potential upside of 39.74%. Given ZEEKR Intelligent Technology’s higher probable upside, analysts clearly believe ZEEKR Intelligent Technology is more favorable than Toyota Motor.

Valuation and Earnings

This table compares Toyota Motor and ZEEKR Intelligent Technology”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Toyota Motor	$49,385.01 billion	0.01	$31.45 billion	$22.69	8.67
ZEEKR Intelligent Technology	$10.40 billion	0.67	-$880.03 million	($1.57)	-17.32

Toyota Motor has higher revenue and earnings than ZEEKR Intelligent Technology. ZEEKR Intelligent Technology is trading at a lower price-to-earnings ratio than Toyota Motor, indicating that it is currently the more affordable of the two stocks.

Volatility and Risk

Toyota Motor has a beta of 0.63, suggesting that its share price is 37% less volatile than the S&P 500. Comparatively, ZEEKR Intelligent Technology has a beta of 0.06, suggesting that its share price is 94% less volatile than the S&P 500.

Summary

Toyota Motor beats ZEEKR Intelligent Technology on 10 of the 12 factors compared between the two stocks.

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.

About ZEEKR Intelligent Technology

ZEEKR Intelligent Technology Holding Limited, an investment holding company, engages in the research and development, production, commercialization, and sale of the electric vehicles and batteries. It offers battery electric passenger vehicles (BEVs) and SUVs. The company also produces and sells electric powertrain and battery packs for electric vehicles, such as motors and electric control systems; and provides automotive related research and development services. It operates in China, Europe, and internationally. The company was founded in 2017 and is based in Ningbo, China. ZEEKR Intelligent Technology Holding Limited operates as a subsidiary of Geely Automobile Holdings Limited.