Maxeon Solar Technologies (NASDAQ:MAXN) & TOYO (NASDAQ:TOYO) Critical Survey

Maxeon Solar Technologies (NASDAQ:MAXN) and TOYO (NASDAQ:TOYO) are both small-cap energy companies, but which is the better business? We will contrast the two businesses based on the strength of their profitability, earnings, risk, dividends, analyst recommendations, institutional ownership and valuation.

Profitability

This table compares Maxeon Solar Technologies and TOYO’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Maxeon Solar Technologies	-111.66%	N/A	-93.80%
TOYO	N/A	N/A	N/A

Institutional and Insider Ownership

47.7% of Maxeon Solar Technologies shares are held by institutional investors. Comparatively, 84.6% of TOYO shares are held by institutional investors. 0.3% of TOYO shares are held by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company will outperform the market over the long term.

Analyst Recommendations

This is a summary of recent ratings and recommmendations for Maxeon Solar Technologies and TOYO, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Maxeon Solar Technologies	1	0	0	0	1.00
TOYO	0	0	0	0	0.00

Maxeon Solar Technologies presently has a consensus target price of $4.00, suggesting a potential upside of 19.40%. Given Maxeon Solar Technologies’ stronger consensus rating and higher possible upside, research analysts plainly believe Maxeon Solar Technologies is more favorable than TOYO.

Valuation and Earnings

This table compares Maxeon Solar Technologies and TOYO”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Maxeon Solar Technologies	$509.05 million	0.00	-$614.30 million	($163.07)	-0.02
TOYO	$176.96 million	1.50	$40.61 million	N/A	N/A

TOYO has lower revenue, but higher earnings than Maxeon Solar Technologies.

Volatility and Risk

Maxeon Solar Technologies has a beta of 1.41, suggesting that its share price is 41% more volatile than the S&P 500. Comparatively, TOYO has a beta of 0.73, suggesting that its share price is 27% less volatile than the S&P 500.

Summary

TOYO beats Maxeon Solar Technologies on 6 of the 10 factors compared between the two stocks.

About Maxeon Solar Technologies

Maxeon Solar Technologies, Ltd. designs, manufactures, markets, and sells solar panels and related solar system components worldwide. The company provides interdigitated back contact and shingled solar cells and panels under the SunPower brand. It offers its products to dealers, project developers, system integrators, distributors, resellers, and residential and small-scale commercial customers. The company was incorporated in 2019 and is headquartered in Singapore.

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.