Analyzing Expion360 (NASDAQ:XPON) & Nextpower (NASDAQ:NXT)

Expion360 (NASDAQ:XPON) and Nextpower (NASDAQ:NXT) are both industrials companies, but which is the superior stock? We will compare the two companies based on the strength of their risk, valuation, profitability, earnings, dividends, analyst recommendations and institutional ownership.

Profitability

This table compares Expion360 and Nextpower’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Expion360	-82.32%	-102.32%	-83.35%
Nextpower	16.36%	26.29%	15.02%

Risk & Volatility

Expion360 has a beta of 0.66, suggesting that its stock price is 34% less volatile than the S&P 500. Comparatively, Nextpower has a beta of 1.92, suggesting that its stock price is 92% more volatile than the S&P 500.

Valuation and Earnings

This table compares Expion360 and Nextpower”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Expion360	$8.21 million	0.59	-$6.24 million	($10.58)	-0.48
Nextpower	$3.56 billion	3.53	$585.88 million	$3.86	21.47

Nextpower has higher revenue and earnings than Expion360. Expion360 is trading at a lower price-to-earnings ratio than Nextpower, indicating that it is currently the more affordable of the two stocks.

Analyst Ratings

This is a breakdown of current recommendations for Expion360 and Nextpower, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Expion360	1	0	0	0	1.00
Nextpower	0	4	22	2	2.93

Nextpower has a consensus target price of $144.96, indicating a potential upside of 74.88%. Given Nextpower’s stronger consensus rating and higher probable upside, analysts clearly believe Nextpower is more favorable than Expion360.

Insider & Institutional Ownership

34.5% of Expion360 shares are held by institutional investors. Comparatively, 67.4% of Nextpower shares are held by institutional investors. 1.6% of Expion360 shares are held by insiders. Comparatively, 0.8% of Nextpower shares are held by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock is poised for long-term growth.

Summary

Nextpower beats Expion360 on 14 of the 15 factors compared between the two stocks.

About Expion360

Expion360 Inc. designs, assembles, manufactures, and sells lithium iron phosphate batteries and supporting accessories under the VPR 4EVER name for recreational vehicles, marine, golf, industrial, residential, and off-the-grid applications. It provides battery monitors; direct current battery chargers; various models of industrial tie-downs; power generators AURA POWERCAP; terminal blocks; and bus bars. The company also engages in the development of e360 Home Energy Storage systems; e360 SmartTalk mobile application. It serves dealers, wholesalers, private label customers, and original equipment manufacturers in the United States and internationally. The company was formerly known as Yozamp Products Company, LLC and changed its name to Expion360 Inc. in November 2021. Expion360 Inc. was founded in 2016 and is headquartered in Redmond, Oregon.

About Nextpower

Nextpower, formerly known as Nextracker, an energy solutions company, provides solar trackers and software solutions for utility-scale and distributed generation solar projects in the United States and internationally. The company offers tracking solutions, which includes NX Horizon, a solar tracking solution; and NX Horizon-XTR, a terrain-following tracker designed to expand the addressable market for trackers on sites with sloped, uneven, and challenging terrain. It also provides TrueCapture, a self-adjusting tracker control system, which boosts solar power plant production by optimizing the position of individual tracker row in response to site features, such as varying topography and changing weather conditions; and NX Navigator, that assists solar power plant owners and operators in monitoring, controlling, and protecting their solar projects. The company was founded in 2013 and is headquartered in Fremont, California. As of March 31, 2024 Nextracker Inc. (Nextpower) was formerly a subsidiary of Flex Ltd.