SES AI (NYSE:SES) and NOVONIX (OTCMKTS:NVNXF) Critical Survey

NOVONIX (OTCMKTS:NVNXF) and SES AI (NYSE:SES) are both small-cap computer and technology companies, but which is the better business? We will compare the two businesses based on the strength of their profitability, dividends, institutional ownership, earnings, valuation, risk and analyst recommendations.

Profitability

This table compares NOVONIX and SES AI’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
NOVONIX	N/A	N/A	N/A
SES AI	N/A	-17.25%	-15.45%

Volatility and Risk

NOVONIX has a beta of 2.52, meaning that its share price is 152% more volatile than the S&P 500. Comparatively, SES AI has a beta of 2.39, meaning that its share price is 139% more volatile than the S&P 500.

Institutional & Insider Ownership

29.8% of SES AI shares are owned by institutional investors. 6.6% of NOVONIX shares are owned by company insiders. Comparatively, 15.1% of SES AI shares are owned 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.

Earnings & Valuation

This table compares NOVONIX and SES AI”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
NOVONIX	$8.06 million	23.04	-$46.25 million	N/A	N/A
SES AI	N/A	N/A	-$53.40 million	($0.16)	-4.35

NOVONIX has higher revenue and earnings than SES AI.

Analyst Recommendations

This is a summary of recent recommendations for NOVONIX and SES AI, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
NOVONIX	0	0	0	0	N/A
SES AI	1	3	0	0	1.75

SES AI has a consensus target price of $3.83, indicating a potential upside of 451.32%. Given SES AI’s higher probable upside, analysts clearly believe SES AI is more favorable than NOVONIX.

Summary

NOVONIX beats SES AI on 5 of the 8 factors compared between the two stocks.

About NOVONIX

NOVONIX Limited provides battery materials and development technology for battery manufacturers, materials companies, automotive original equipment manufacturers (OEMs), and consumer electronics manufacturers in North America, Asia, Australia, and Europe. It operates through Battery Materials and Battery Technology segments. The Battery Materials segment develops and manufactures battery anode materials. The Battery Technology segment develops battery cell testing equipment, performs consulting services, and carries out research and development in battery development. The company is involved in the investment and real estate borrowing activities; and offers battery technology, battery testing hardware equipment, and battery testing and development consulting services. The company was formerly known as Graphitecorp Limited and changed its name to NOVONIX Limited in July 2017. NOVONIX Limited was incorporated in 2012 and is based in Brisbane, Australia.

About SES AI

SES AI Corporation engages in the development and production of high-performance Lithium-metal rechargeable batteries for electric vehicles, electric vehicle take-off and landing, and other applications. The company was founded in 2012 and is headquartered in Woburn, Massachusetts.