Contrasting Ballard Power Systems (NASDAQ:BLDP) and Vicor (NASDAQ:VICR)
by Doug Wharley · The Cerbat GemVicor (NASDAQ:VICR – Get Free Report) and Ballard Power Systems (NASDAQ:BLDP – Get Free Report) are both industrials companies, but which is the better stock? We will compare the two businesses based on the strength of their earnings, valuation, profitability, analyst recommendations, institutional ownership, risk and dividends.
Insider & Institutional Ownership
47.5% of Vicor shares are owned by institutional investors. Comparatively, 28.0% of Ballard Power Systems shares are owned by institutional investors. 28.3% of Vicor shares are owned by insiders. Comparatively, 0.2% of Ballard Power Systems shares are owned by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company is poised for long-term growth.
Volatility & Risk
Vicor has a beta of 2.37, suggesting that its stock price is 137% more volatile than the S&P 500. Comparatively, Ballard Power Systems has a beta of 2.26, suggesting that its stock price is 126% more volatile than the S&P 500.
Earnings & Valuation
This table compares Vicor and Ballard Power Systems”s top-line revenue, earnings per share (EPS) and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| Vicor | $452.70 million | 17.93 | $118.56 million | $3.82 | 46.08 |
| Ballard Power Systems | $106.16 million | 4.86 | -$90.91 million | ($0.26) | -5.65 |
Vicor has higher revenue and earnings than Ballard Power Systems. Ballard Power Systems is trading at a lower price-to-earnings ratio than Vicor, indicating that it is currently the more affordable of the two stocks.
Profitability
This table compares Vicor and Ballard Power Systems’ net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| Vicor | 32.15% | 22.49% | 20.80% |
| Ballard Power Systems | -72.78% | -13.23% | -11.44% |
Analyst Ratings
This is a breakdown of recent recommendations for Vicor and Ballard Power Systems, as provided by MarketBeat.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| Vicor | 0 | 1 | 3 | 1 | 3.00 |
| Ballard Power Systems | 3 | 10 | 2 | 0 | 1.93 |
Vicor presently has a consensus price target of $386.67, indicating a potential upside of 119.65%. Ballard Power Systems has a consensus price target of $3.30, indicating a potential upside of 124.77%. Given Ballard Power Systems’ higher possible upside, analysts plainly believe Ballard Power Systems is more favorable than Vicor.
Summary
Vicor beats Ballard Power Systems on 14 of the 15 factors compared between the two stocks.
About Vicor
Vicor Corporation, together with its subsidiaries, designs, develops, manufactures, and markets modular power components and power systems for converting electrical power in the United States, Europe, the Asia Pacific, and internationally. The company offers a range of brick-format DC-DC converters; complementary components provide AC line rectification, input filtering, power factor correction, and transient protection; and input and output voltage, and output power products, as well as electrical and mechanical accessories. It also design, sells, and service custom power systems solutions. The company serves independent manufacturers of electronic devices, original equipment manufacturers, and their contract manufacturers in the aerospace and aviation, defense electronics, satellites, factory automation, instrumentation, test equipment, transportation, telecommunications and networking infrastructure and vehicles, and transportation markets. Vicor Corporation was incorporated in 1981 and is headquartered in Andover, Massachusetts.
About Ballard Power Systems
Ballard Power Systems Inc. engages in the design, development, manufacture, sale, and service of proton exchange membrane (PEM) fuel cell products. The company offers its products for power product comprising for bus, truck, rail, marine, stationary, and emerging market, such as material handling, off-road, and other applications. It also engages in the delivery of services, including technology solutions, after sales services, and training; and provision of engineering services, product and systems integration services, and related technology transfer for a variety of PEM fuel cell applications. It operates in the United States, Germany, Canada, China, Poland, the United Kingdom, the Netherlands, France, Denmark, Belgium, India, Taiwan, Spain, Norway, Australia, Japan, and internationally. The company has a strategic alliance with Linamar Corporation for the co-development and sale of fuel cell powertrains and components for class 1 and 2 vehicles in North America and Europe. Ballard Power Systems Inc. was founded in 1979 and is headquartered in Burnaby, Canada.