Analyzing CSLM Acquisition (NASDAQ:SPWR) and JinkoSolar (NYSE:JKS)

JinkoSolar (NYSE:JKS) and CSLM Acquisition (NASDAQ:SPWR) are both small-cap energy companies, but which is the better investment? We will compare the two businesses based on the strength of their dividends, profitability, valuation, analyst recommendations, earnings, risk and institutional ownership.

Volatility and Risk

JinkoSolar has a beta of 0.13, meaning that its stock price is 87% less volatile than the S&P 500. Comparatively, CSLM Acquisition has a beta of 0.76, meaning that its stock price is 24% less volatile than the S&P 500.

Earnings and Valuation

This table compares JinkoSolar and CSLM Acquisition”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
JinkoSolar	$83.06 billion	0.02	$7.47 million	($5.02)	-4.99
CSLM Acquisition	$108.74 million	1.18	-$56.45 million	N/A	N/A

JinkoSolar has higher revenue and earnings than CSLM Acquisition.

Profitability

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

	Net Margins	Return on Equity	Return on Assets
JinkoSolar	-2.23%	-2.95%	-0.76%
CSLM Acquisition	-18.51%	-0.35%	0.27%

Analyst Ratings

This is a summary of recent ratings for JinkoSolar and CSLM Acquisition, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
JinkoSolar	4	1	1	0	1.50
CSLM Acquisition	0	1	2	1	3.00

JinkoSolar presently has a consensus price target of $28.99, suggesting a potential upside of 15.76%. CSLM Acquisition has a consensus price target of $4.50, suggesting a potential upside of 192.21%. Given CSLM Acquisition’s stronger consensus rating and higher probable upside, analysts clearly believe CSLM Acquisition is more favorable than JinkoSolar.

Institutional and Insider Ownership

35.8% of JinkoSolar shares are held by institutional investors. Comparatively, 47.4% of CSLM Acquisition shares are held by institutional investors. 19.8% of JinkoSolar shares are held by insiders. Comparatively, 32.3% of CSLM Acquisition shares are held by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock is poised for long-term growth.

Summary

CSLM Acquisition beats JinkoSolar on 10 of the 13 factors compared between the two stocks.

About JinkoSolar

JinkoSolar Holding Co., Ltd., together with its subsidiaries, engages in the design, development, production, and marketing of photovoltaic products. The company offers solar modules, silicon wafers, solar cells, recovered silicon materials, and silicon ingots. It also provides solar system integration services; solar power generation and solar system EPC services; and energy storage system, as well as undertakes solar power projects. The company sells its products to distributors, project developers, system integrators, and manufacturers of solar power products under the JinkoSolar brand. As of December 31, 2023, it had an integrated annual capacity of 85 gigawatts (GW) for mono wafers; 90 GW for solar cells; and 110 GW for solar modules. It operates in China, the United States, Mexico, Australia, Japan, the United Arab Emirates, Turkey, Jordan, Vietnam, Egypt, Spain, Germany, and internationally. JinkoSolar Holding Co., Ltd. was founded in 2006 and is headquartered in Shangrao, the People's Republic of China.

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.