Critical Review: TOYO (NASDAQ:TOYO) and CSLM Acquisition (NASDAQ:SPWR)

CSLM Acquisition (NASDAQ:SPWR) and TOYO (NASDAQ:TOYO) are both small-cap energy companies, but which is the superior business? We will contrast the two companies based on the strength of their dividends, valuation, profitability, institutional ownership, earnings, risk and analyst recommendations.

Valuation & Earnings

This table compares CSLM Acquisition 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
CSLM Acquisition	$108.74 million	1.15	-$56.45 million	N/A	N/A
TOYO	$176.96 million	1.49	$40.61 million	N/A	N/A

TOYO has higher revenue and earnings than CSLM Acquisition.

Profitability

This table compares CSLM Acquisition and TOYO’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
CSLM Acquisition	-18.51%	-0.35%	0.27%
TOYO	N/A	N/A	N/A

Institutional & Insider Ownership

47.4% of CSLM Acquisition shares are owned by institutional investors. Comparatively, 84.6% of TOYO shares are owned by institutional investors. 32.3% of CSLM Acquisition shares are owned by insiders. Comparatively, 0.3% of TOYO shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company is poised for long-term growth.

Risk and Volatility

CSLM Acquisition has a beta of 0.76, meaning that its share price is 24% less volatile than the S&P 500. Comparatively, TOYO has a beta of 0.73, meaning that its share price is 27% less volatile than the S&P 500.

Analyst Ratings

This is a summary of recent recommendations and price targets for CSLM Acquisition and TOYO, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
CSLM Acquisition	0	1	1	0	2.50
TOYO	0	0	0	0	0.00

CSLM Acquisition currently has a consensus target price of $6.00, suggesting a potential upside of 300.00%. Given CSLM Acquisition’s stronger consensus rating and higher possible upside, equities research analysts clearly believe CSLM Acquisition is more favorable than TOYO.

About CSLM Acquisition

Complete Solaria, Inc. engages in the provision of solar services. It offers sales enablement, project management, partner coordination, and customer communication. The company is headquartered in San Ramon, CA and does business as SunPower Corporation.

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.