Analyzing The Shyft Group (NASDAQ:SHYF) & ECD Automotive Design (NASDAQ:ECDA)

ECD Automotive Design (NASDAQ:ECDA) and The Shyft Group (NASDAQ:SHYF) are both small-cap auto/tires/trucks companies, but which is the better stock? We will compare the two companies based on the strength of their risk, dividends, institutional ownership, earnings, analyst recommendations, profitability and valuation.

Risk and Volatility

ECD Automotive Design has a beta of -1.49, meaning that its stock price is 249% less volatile than the S&P 500. Comparatively, The Shyft Group has a beta of 1.66, meaning that its stock price is 66% more volatile than the S&P 500.

Valuation and Earnings

This table compares ECD Automotive Design and The Shyft Group”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
ECD Automotive Design	$15.12 million	1.90	-$1.60 million	N/A	N/A
The Shyft Group	$787.08 million	0.53	$6.50 million	($0.12)	-100.17

The Shyft Group has higher revenue and earnings than ECD Automotive Design.

Analyst Ratings

This is a summary of current ratings for ECD Automotive Design and The Shyft Group, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
ECD Automotive Design	0	0	0	0	0.00
The Shyft Group	0	0	2	0	3.00

The Shyft Group has a consensus price target of $15.50, indicating a potential upside of 28.95%. Given The Shyft Group’s stronger consensus rating and higher probable upside, analysts plainly believe The Shyft Group is more favorable than ECD Automotive Design.

Profitability

This table compares ECD Automotive Design and The Shyft Group’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
ECD Automotive Design	N/A	N/A	N/A
The Shyft Group	-0.48%	1.01%	0.48%

Institutional & Insider Ownership

94.8% of ECD Automotive Design shares are owned by institutional investors. Comparatively, 85.8% of The Shyft Group shares are owned by institutional investors. 77.3% of ECD Automotive Design shares are owned by insiders. Comparatively, 2.5% of The Shyft Group shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company is poised for long-term growth.

Summary

The Shyft Group beats ECD Automotive Design on 8 of the 12 factors compared between the two stocks.

About ECD Automotive Design

ECD Automotive Design, Inc. engages in the production and sale of customized Land Rover vehicles in the United States. The company also provides repair or upgrade services and extended warranties to customers. It restores various vehicles, including Land Rovers Defenders, Land Rover Series IIA and III, the Range Rover Classic, and Jaguar E-Type. The company was founded in 2013 and is based in Kissimmee, Florida.

About The Shyft Group

The Shyft Group, Inc. engages in the manufacture and assembly of specialty vehicles for the commercial and recreational vehicle industries in the United States and internationally. It operates in two segments, Fleet Vehicles and Services, and Specialty Vehicles. The Fleet Vehicles and Services segment offers commercial vehicles used in the e-commerce/last mile/parcel delivery, beverage and grocery delivery, laundry and linen, mobile retail, and trades and construction industries. This segment markets its commercial vehicles, including walk-in vans, cutaway vans, and truck bodies under the Aeromaster, Velocity, Trademaster, and Utilivan brands; and vocation-specific equipment upfit services under the Utilimaster Upfit Services and Strobes-R-Us brands. It also installs specialty interior and exterior up-fit equipment for walk-in vans, truck bodies, cargo vans, and light duty pick-up trucks; and provides aftermarket support, including parts sales and field services, as well as parts and accessories. The Specialty Vehicles segment provides diesel motor home chassis; and truck bodies under the Royal Truck Body and DuraMag brands. The segment also provides final assembly services for Isuzu N-gas and F-series chassis under the Builtmore Contract Manufacturing brand; and designs and installs custom lighting and upfit solutions for a range of specialty industries. In addition, this segment provides truck accessories under the Magnum brand; and a range of parts and accessories, and maintenance and repair services for its motorhome and specialty chassis. It sells its products to commercial users, original equipment manufacturers, dealers, individuals, municipalities, and other government entities. The company was formerly known as Spartan Motors, Inc. and changed its name to The Shyft Group, Inc. in June 2020. The Shyft Group, Inc. was incorporated in 1975 and is headquartered in Novi, Michigan.