Reviewing Holley (NYSE:HLLY) and U Power (NASDAQ:UCAR)

U Power (NASDAQ:UCAR) and Holley (NYSE:HLLY) are both small-cap auto/tires/trucks companies, but which is the better investment? We will compare the two companies based on the strength of their risk, dividends, earnings, profitability, valuation, analyst recommendations and institutional ownership.

Profitability

This table compares U Power and Holley’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
U Power	N/A	N/A	N/A
Holley	2.55%	2.59%	0.98%

Insider and Institutional Ownership

13.2% of U Power shares are owned by institutional investors. Comparatively, 39.7% of Holley shares are owned by institutional investors. 2.2% of Holley shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company will outperform the market over the long term.

Volatility and Risk

U Power has a beta of 1.18, suggesting that its share price is 18% more volatile than the S&P 500. Comparatively, Holley has a beta of 1.42, suggesting that its share price is 42% more volatile than the S&P 500.

Earnings and Valuation

This table compares U Power and Holley”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
U Power	$2.78 million	9.08	-$2.72 million	N/A	N/A
Holley	$659.70 million	0.57	$19.18 million	$0.13	24.04

Holley has higher revenue and earnings than U Power.

Analyst Ratings

This is a breakdown of recent ratings and target prices for U Power and Holley, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
U Power	0	0	0	0	0.00
Holley	0	1	5	0	2.83

Holley has a consensus price target of $6.63, suggesting a potential upside of 112.00%. Given Holley’s stronger consensus rating and higher probable upside, analysts plainly believe Holley is more favorable than U Power.

Summary

Holley beats U Power on 11 of the 12 factors compared between the two stocks.

About U Power

U Power Limited, together with its subsidiaries, engages in the development, manufacture, and sale of new energy vehicles and battery swapping stations in the People's Republic of China. It also offers battery swapping and sourcing, as well as technical and consultation services. The company was founded in 2013 and is headquartered in Wuhu, the People's Republic of China.

About Holley

Holley Inc. operates as designer, manufacturer, and marketer of automotive aftermarket products for car and truck enthusiasts in the United States, Canada, Europe, and China. Its products span various automotive platforms and sells across multiple channels. The company's performance automotive products include carburetors, fuel pumps, fuel injection systems, nitrous oxide injection systems, superchargers, exhaust headers, mufflers, distributors, ignition components, engine tuners, automotive performance plumbing products; and exhaust products, as well as shifters, converters, transmission kits, transmissions, tuners, and automotive software. It also offers brakes and brake systems, vehicle restoration parts, helmets, head and neck restraints, seat belts, fire suits, and electronic control and monitoring systems. The company sells its products under the Holley, Holley EFI, MSD, Simpson, Powerteq, Accel, and Flowmaster through DTC, E-tailer, warehouse distributor, traditional retailer, and jobber/ installer channels. Holley Inc. was founded in 1903 and is headquartered in Bowling Green, Kentucky.