Faraday Future Intelligent Electric (NASDAQ:FFIE – Get Free Report) and REE Automotive (NASDAQ:REE – Get Free Report) are both small-cap auto/tires/trucks companies, but which is the superior stock? We will contrast the two companies based on the strength of their earnings, analyst recommendations, institutional ownership, profitability, valuation, dividends and risk.
Analyst Ratings
This is a breakdown of recent recommendations and price targets for Faraday Future Intelligent Electric and REE Automotive, as provided by MarketBeat.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| Faraday Future Intelligent Electric | 0 | 0 | 0 | 0 | N/A |
| REE Automotive | 1 | 0 | 2 | 1 | 2.75 |
REE Automotive has a consensus target price of $19.67, indicating a potential upside of 430.10%. Given REE Automotive’s higher probable upside, analysts plainly believe REE Automotive is more favorable than Faraday Future Intelligent Electric.
Profitability
| Net Margins | Return on Equity | Return on Assets | |
| Faraday Future Intelligent Electric | N/A | -134.19% | -59.73% |
| REE Automotive | -6,265.21% | -110.59% | -73.76% |
Volatility & Risk
Faraday Future Intelligent Electric has a beta of 5.73, suggesting that its share price is 473% more volatile than the S&P 500. Comparatively, REE Automotive has a beta of 2.97, suggesting that its share price is 197% more volatile than the S&P 500.
Insider and Institutional Ownership
71.7% of Faraday Future Intelligent Electric shares are held by institutional investors. Comparatively, 12.7% of REE Automotive shares are held by institutional investors. 0.0% of Faraday Future Intelligent Electric shares are held by company insiders. Comparatively, 6.0% of REE Automotive shares are held by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company will outperform the market over the long term.
Valuation and Earnings
This table compares Faraday Future Intelligent Electric and REE Automotive’s revenue, earnings per share (EPS) and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| Faraday Future Intelligent Electric | $786,000.00 | 1,679.16 | -$431.74 million | ($128.95) | -0.02 |
| REE Automotive | $1.61 million | 24.22 | -$114.21 million | ($10.81) | -0.34 |
REE Automotive has higher revenue and earnings than Faraday Future Intelligent Electric. REE Automotive is trading at a lower price-to-earnings ratio than Faraday Future Intelligent Electric, indicating that it is currently the more affordable of the two stocks.
Summary
REE Automotive beats Faraday Future Intelligent Electric on 8 of the 14 factors compared between the two stocks.
About Faraday Future Intelligent Electric
Faraday Future Intelligent Electric Inc. engages in the design, development, manufacture, engineering, sale, and distribution of electric vehicles and related products in the United States. The company was incorporated in 2014 and is headquartered in Los Angeles, California.
About REE Automotive
REE Automotive Ltd. operates as an automotive technology company in France, the United Kingdom, the United States, and internationally. The company offers REEcorner, a compact module that integrates critical vehicle drive components comprising as steering, braking, suspension, powertrain, and control between the chassis and the wheel; and REEplatform that allows for the addition of a modular and customizable top hat/cabin design based on customer specifications, without requiring modification to the platform. It also provides P7-S Strip Chassis for commercial delivery vehicles and walk-in vans; P7-C Chassis Cab and Cutway Chassis, a class 4 chassis cab fully electric commercial truck for delivery and a range of vocational applications; and P7-B Box Truck, a class 3 box truck built on a P7 cab chassis with its all-wheel drive and all-wheel steer for vehicle control for better handling and safety in adverse conditions. It serves original equipment manufacturer, delivery and logistic fleets, dealers, e-commerce retailers, new mobility players, mobility-as-a-service providers, and autonomous drive companies. The company is headquartered in Herzliya, Israel.
Receive News & Ratings for Faraday Future Intelligent Electric Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Faraday Future Intelligent Electric and related companies with MarketBeat.com's FREE daily email newsletter.
