Cepton (NASDAQ:CPTN – Get Free Report) and Atmus Filtration Technologies (NYSE:ATMU – Get Free Report) are both auto/tires/trucks companies, but which is the better investment? We will compare the two companies based on the strength of their dividends, profitability, institutional ownership, risk, analyst recommendations, earnings and valuation.
Valuation & Earnings
This table compares Cepton and Atmus Filtration Technologies”s top-line revenue, earnings per share (EPS) and valuation.
Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
Cepton | $17.87 million | 2.92 | -$48.55 million | ($1.74) | -1.87 |
Atmus Filtration Technologies | $1.63 billion | 2.19 | $171.30 million | $2.15 | 19.98 |
Atmus Filtration Technologies has higher revenue and earnings than Cepton. Cepton is trading at a lower price-to-earnings ratio than Atmus Filtration Technologies, indicating that it is currently the more affordable of the two stocks.
Profitability
Net Margins | Return on Equity | Return on Assets | |
Cepton | -143.32% | N/A | -36.17% |
Atmus Filtration Technologies | 10.84% | 134.28% | 17.61% |
Volatility & Risk
Cepton has a beta of 0.07, indicating that its stock price is 93% less volatile than the S&P 500. Comparatively, Atmus Filtration Technologies has a beta of 1.8, indicating that its stock price is 80% more volatile than the S&P 500.
Institutional and Insider Ownership
68.2% of Cepton shares are held by institutional investors. Comparatively, 32.7% of Atmus Filtration Technologies shares are held by institutional investors. 36.1% of Cepton shares are held by insiders. Comparatively, 0.4% of Atmus Filtration Technologies shares are held by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company will outperform the market over the long term.
Analyst Recommendations
This is a breakdown of current ratings for Cepton and Atmus Filtration Technologies, as provided by MarketBeat.com.
Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
Cepton | 0 | 1 | 0 | 0 | 2.00 |
Atmus Filtration Technologies | 0 | 1 | 4 | 0 | 2.80 |
Atmus Filtration Technologies has a consensus target price of $43.80, indicating a potential upside of 1.95%. Given Atmus Filtration Technologies’ stronger consensus rating and higher possible upside, analysts clearly believe Atmus Filtration Technologies is more favorable than Cepton.
Summary
Atmus Filtration Technologies beats Cepton on 11 of the 14 factors compared between the two stocks.
About Cepton
Cepton, Inc. provides lidar-based solutions for automotive, smart cities, smart spaces, and smart industrial applications in the United States, Japan, China, and internationally. The company offers autograde lidar sensors, including Cepton Ultra, a slimmest lidar with MagnoSteer technology and proprietary ASIC chipset, enabling a combination of 300-meter range at 10% reflectivity and 0.05° resolution; Vista-X, a compact lidar solution with a range of up to 200m for long-range applications in ADAS L2+/L3, AV L4/L5, and suitable for smart infrastructure applications; and Nova, an extremely-small form factor lidar solution with a range of up to 30m for near-range applications in ADAS L2+/L3, AV L4/L5, and suitable for smart infrastructure applications. It also provides industrial grade lidar sensors, such as Vista-P, a compact lidar solution with a range of up to 200m for long-range applications in ADAS L2+/L3, AV L4/L5, and smart infrastructure applications; and Sora-P, an ultra-high scan rate, compact, and quasi line-scanning lidar solution that delivers high-fidelity profiling of objects moving at high speeds for free flow tolling and other industrial applications. The company was founded in 2016 and is headquartered in San Jose, California.
About Atmus Filtration Technologies
Atmus Filtration Technologies Inc. designs, manufactures, and sells filtration products under the Fleetguard brand name in North America, Europe, South America, Asia, Australia, Africa, and internationally. The company offers fuel filters, lube filters, air filters, crankcase ventilation, hydraulic filters, coolants, and fuel additives, as well as other chemicals; and fuel water separators and other filtration systems to original equipment manufacturers, dealers/distributors, and end-users. Its products are used in on-highway commercial vehicles and off-highway agriculture, construction, mining, and power generation vehicles and equipment. The company was founded in 1958 and is headquartered in Nashville, Tennessee.
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