Financial Analysis: TOYO (TOYO) and Its Competitors

TOYO (NASDAQ:TOYO) is one of 47 publicly-traded companies in the “Solar” industry, but how does it contrast to its competitors? We will compare TOYO to similar companies based on the strength of its earnings, analyst recommendations, profitability, dividends, valuation, institutional ownership and risk.

Earnings and Valuation

This table compares TOYO and its competitors gross revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
TOYO	$427.38 million	$39.66 million	18.00
TOYO Competitors	$1.52 billion	$21.55 million	7.71

TOYO’s competitors have higher revenue, but lower earnings than TOYO. TOYO is trading at a higher price-to-earnings ratio than its competitors, indicating that it is currently more expensive than other companies in its industry.

Profitability

This table compares TOYO and its competitors’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
TOYO	N/A	N/A	N/A
TOYO Competitors	-436.13%	-60.70%	-7.77%

Insider and Institutional Ownership

84.6% of TOYO shares are held by institutional investors. Comparatively, 48.8% of shares of all “Solar” companies are held by institutional investors. 0.3% of TOYO shares are held by insiders. Comparatively, 17.8% of shares of all “Solar” companies are held by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock will outperform the market over the long term.

Risk and Volatility

TOYO has a beta of 1.31, suggesting that its share price is 31% more volatile than the S&P 500. Comparatively, TOYO’s competitors have a beta of 9.32, suggesting that their average share price is 832% more volatile than the S&P 500.

Analyst Ratings

This is a breakdown of recent ratings and recommmendations for TOYO and its competitors, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
TOYO	0	2	2	0	2.50
TOYO Competitors	700	1618	2427	78	2.39

TOYO currently has a consensus price target of $16.50, indicating a potential upside of 22.22%. As a group, “Solar” companies have a potential upside of 3.06%. Given TOYO’s stronger consensus rating and higher possible upside, research analysts plainly believe TOYO is more favorable than its competitors.

Summary

TOYO beats its competitors on 8 of the 13 factors compared.

About TOYO

TOYO Co. Ltd. engages in the design, manufacture, and sale of solar cells and modules. It is involved in integrating the upstream production of wafer and silicon, midstream production of solar cell, downstream production of photovoltaic (PV) modules, and potentially other stages of the solar power supply chain. The company was founded on November 8, 2022 and is headquartered in Tokyo, Japan.