Critical Analysis: Garrett Motion (NYSE:GTX) & Proliance International (OTCMKTS:PLNTQ)

Garrett Motion (NYSE:GTX) and Proliance International (OTCMKTS:PLNTQ) are both auto/tires/trucks companies, but which is the better stock? We will compare the two companies based on the strength of their dividends, institutional ownership, earnings, profitability, analyst recommendations, risk and valuation.

Profitability

This table compares Garrett Motion and Proliance International’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Garrett Motion	6.54%	-31.48%	10.00%
Proliance International	N/A	N/A	N/A

Analyst Ratings

This is a breakdown of current ratings and recommmendations for Garrett Motion and Proliance International, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Garrett Motion	0	0	1	0	3.00
Proliance International	0	0	0	0	0.00

Garrett Motion presently has a consensus price target of $12.00, suggesting a potential upside of 34.68%. Given Garrett Motion’s stronger consensus rating and higher possible upside, analysts clearly believe Garrett Motion is more favorable than Proliance International.

Insider and Institutional Ownership

86.3% of Garrett Motion shares are held by institutional investors. 0.6% of Garrett Motion shares are held by company insiders. Comparatively, 5.3% of Proliance International shares are held by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock is poised for long-term growth.

Risk & Volatility

Garrett Motion has a beta of 1.16, meaning that its share price is 16% more volatile than the S&P 500. Comparatively, Proliance International has a beta of 4.13, meaning that its share price is 313% more volatile than the S&P 500.

Valuation and Earnings

This table compares Garrett Motion and Proliance International”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Garrett Motion	$3.89 billion	0.49	$261.00 million	$1.02	8.74
Proliance International	N/A	N/A	N/A	N/A	N/A

Garrett Motion has higher revenue and earnings than Proliance International.

Summary

Garrett Motion beats Proliance International on 7 of the 10 factors compared between the two stocks.

About Garrett Motion

Garrett Motion Inc., together with its subsidiaries, designs, manufactures, and sells turbocharging, air and fluid compression, and high-speed electric motor technologies for original equipment manufacturers and distributors worldwide. The company offers cutting-edge technology for the mobility and industrial space, including light vehicles, commercial vehicles, and industrial applications. In addition, it provides mechanical and electrical products for turbocharging and boosting internal combustion engines, as well as compressing air for fuel cell compressors, and compressing refrigerant for electric cooling compressors. The company offers its products in the aftermarket through distributors. Garrett Motion Inc. was incorporated in 2018 and is based in Rolle, Switzerland.

About Proliance International

Proliance International, Inc. designs, manufactures, and markets heat exchange products and temperature control parts for the automotive and light truck aftermarket, as well as heat exchange products. The company’s heat exchange products include radiators, heater cores, heaters, radiator cores, and condensers; and temperature control parts comprise condensers, compressors, accumulators/driers, and evaporators. It also offers air conditioning parts and supplies, such as hose and tube assemblies, expansion valves, blowers, and fan clutches. In addition, the company provides charge air coolers, oil coolers, marine coolers, and other specialty heat exchangers for heavy-duty trucks, buses, specialty equipment, and industrial and marine applications, such as agricultural, construction and military vehicles, oil rigs, stationary power generation equipment, and inland sea-going vessels. Its customers include national retailers of aftermarket automotive products, warehouse distributors, radiator shops, hard parts jobbers, and other manufacturers. The company offers its products in the United States, Canada, Mexico, Europe, and Central America. Proliance International, Inc. was formerly known as Transpro, Inc. and changed its name to Proliance International, Inc. in July 2005. The company was founded in 1915 and is based in New Haven, Connecticut.