Critical Survey: Mullen Automotive (NASDAQ:MULN) & Lucid Group (NASDAQ:LCID)

Mullen Automotive (NASDAQ:MULN) and Lucid Group (NASDAQ:LCID) are both auto/tires/trucks companies, but which is the superior investment? We will compare the two companies based on the strength of their valuation, risk, dividends, analyst recommendations, institutional ownership, profitability and earnings.

Analyst Recommendations

This is a summary of recent recommendations and price targets for Mullen Automotive and Lucid Group, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Mullen Automotive	0	0	0	0	0.00
Lucid Group	2	8	2	0	2.00

Lucid Group has a consensus price target of $2.68, indicating a potential downside of 7.81%. Given Lucid Group’s stronger consensus rating and higher possible upside, analysts plainly believe Lucid Group is more favorable than Mullen Automotive.

Insider and Institutional Ownership

11.7% of Mullen Automotive shares are owned by institutional investors. Comparatively, 75.2% of Lucid Group shares are owned by institutional investors. 3.6% of Mullen Automotive shares are owned by company insiders. Comparatively, 61.3% of Lucid Group shares are owned by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock is poised for long-term growth.

Profitability

This table compares Mullen Automotive and Lucid Group’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Mullen Automotive	-4,760.68%	-2,736.27%	-246.76%
Lucid Group	-275.73%	-68.64%	-25.58%

Risk & Volatility

Mullen Automotive has a beta of -0.77, suggesting that its share price is 177% less volatile than the S&P 500. Comparatively, Lucid Group has a beta of 0.78, suggesting that its share price is 22% less volatile than the S&P 500.

Earnings & Valuation

This table compares Mullen Automotive and Lucid Group”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Mullen Automotive	$1.09 million	0.03	-$457.06 million	N/A	N/A
Lucid Group	$807.83 million	10.96	-$2.71 billion	($1.21)	-2.40

Mullen Automotive has higher earnings, but lower revenue than Lucid Group.

Summary

Lucid Group beats Mullen Automotive on 11 of the 12 factors compared between the two stocks.

About Mullen Automotive

Mullen Automotive, Inc., an electric vehicle company, manufactures, sells, and distributes electric vehicles. Its products include passenger electric vehicles and commercial vehicles; and provides solid-state polymer battery technology. The company is headquartered in Brea, California.

About Lucid Group

Lucid Group, Inc. a technology company, designs, engineers, manufactures, and sells electric vehicles (EV), EV powertrains, and battery systems. It also designs and develops proprietary software in-house for Lucid vehicles. The company sells vehicles directly to consumers through its retail sales network and direct online sales, including Lucid Financial Services. Lucid Group, Inc. was founded in 2007 and is headquartered in Newark, California. Lucid Group, Inc. operates as a subsidiary of Ayar Third Investment Company.