EVgo (NYSE:EVGO – Get Rating) and Driven Brands (NASDAQ:DRVN – Get Rating) are both auto/tires/trucks companies, but which is the superior investment? We will compare the two companies based on the strength of their analyst recommendations, dividends, valuation, earnings, profitability, risk and institutional ownership.
Institutional & Insider Ownership
13.0% of EVgo shares are owned by institutional investors. Comparatively, 38.2% of Driven Brands shares are owned by institutional investors. 73.5% of EVgo shares are owned by insiders. Comparatively, 2.6% of Driven Brands shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company will outperform the market over the long term.
Earnings and Valuation
This table compares EVgo and Driven Brands’ top-line revenue, earnings per share and valuation.
Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
EVgo | $54.59 million | 28.03 | -$27.58 million | ($0.40) | -14.43 |
Driven Brands | $2.03 billion | 2.52 | $43.19 million | $0.25 | 122.24 |
Risk and Volatility
EVgo has a beta of 2.03, indicating that its share price is 103% more volatile than the S&P 500. Comparatively, Driven Brands has a beta of 0.81, indicating that its share price is 19% less volatile than the S&P 500.
Profitability
This table compares EVgo and Driven Brands’ net margins, return on equity and return on assets.
Net Margins | Return on Equity | Return on Assets | |
EVgo | -50.51% | N/A | -6.79% |
Driven Brands | 2.12% | 11.71% | 3.11% |
Analyst Ratings
This is a summary of recent recommendations for EVgo and Driven Brands, as provided by MarketBeat.com.
Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
EVgo | 0 | 3 | 5 | 0 | 2.63 |
Driven Brands | 0 | 2 | 7 | 0 | 2.78 |
EVgo presently has a consensus target price of $9.64, suggesting a potential upside of 67.12%. Driven Brands has a consensus target price of $37.56, suggesting a potential upside of 22.89%. Given EVgo’s higher probable upside, equities research analysts plainly believe EVgo is more favorable than Driven Brands.
Summary
Driven Brands beats EVgo on 10 of the 14 factors compared between the two stocks.
About EVgo
EVgo, Inc. owns and operates a direct current fast charging network in the United States. The company offers electricity directly to drivers, who access its publicly available networked chargers; original equipment manufacturer charging and related services; fleet and rideshare public charging services; and charging as a service and fleet dedicated charging services. It also provides ancillary services, such as customization of digital applications, charging data integration, loyalty programs, access to chargers behind parking lot, or garage, pay gates and pilots microtargeted advertising, and charging reservations; and maintenance and development and project management services through eXtendTM, including electric vehicle supply equipment installation, networking, and operations. The company was incorporated in 2010 and is based in Los Angeles, California.
About Driven Brands
Driven Brands Holdings Inc., together with its subsidiaries, provides automotive services to retail and commercial customers in the United States, Canada, and internationally. The company offers various services, such as paint, collision, glass, vehicle repair, car wash, oil change, and maintenance services. It also distributes automotive parts, including radiators, air conditioning components, and exhaust products to automotive repair shops, auto parts stores, body shops, and other auto repair outlets; windshields and glass accessories through a network of distribution centers; and consumable products, such as oil filters and wiper blades, as well as provides training services to repair and maintenance, and paint and collision shops. The company sells its products and services under the Take 5 Oil Change, IMO, CARSTAR, ABRA, Fix Auto, Maaco, Meineke, Uniban, 1-800-Radiator & A/C, PH Vitres D'Autos, Spire Supply, and Automotive Training Institute names. As of December 25, 2021, it operated 4,412 company-operated, franchised, and independently-operated stores. Driven Brands Holdings Inc. was founded in 1972 and is headquartered in Charlotte, North Carolina.
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