Abbott India vs AstraZeneca Which Performs Better?

Abbott India and AstraZeneca are two leading pharmaceutical companies with a strong presence in the Indian market. Both companies have seen fluctuations in their stock prices in recent years, influenced by factors such as regulatory changes, product innovations, and market trends. Abbott India is known for its diversified product portfolio and strong distribution network, while AstraZeneca is renowned for its focus on research and development. Investors are closely monitoring these stocks to capitalize on potential opportunities in the pharmaceutical industry.

Abbott India or AstraZeneca?

When comparing Abbott India and AstraZeneca, different investors may prioritize various metrics based on their investment strategies and goals. So, ask yourself what type of investor you are. This will guide you in determining which metrics are most important for your investment decision between Abbott India and AstraZeneca.

Dividend Investors:

Dividend investors look for stable and growing income streams, using dividend metrics to assess potential investments. A company's dividend yield essentially measures the size of its dividend relative to the total market value of the company. Abbott India has a dividend yield of 1.41%, while AstraZeneca has a dividend yield of 2.2%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. Abbott India reports a 5-year dividend growth of 96.10% year and a payout ratio of 0.00%. On the other hand, AstraZeneca reports a 5-year dividend growth of 0.42% year and a payout ratio of 71.25%.

Value Investors:

Value investors focus on financial metrics to determine a stock's intrinsic value compared to its market value. The Price-to-Earnings (P/E) Ratio links stock price to a company's earnings per share, with Abbott India P/E ratio at 47.96 and AstraZeneca's P/E ratio at 32.06. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. Abbott India P/B ratio is 17.50 while AstraZeneca's P/B ratio is 5.11.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, Abbott India has seen a 5-year revenue growth of 0.59%, while AstraZeneca's is 0.70%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with Abbott India's ROE at 38.24% and AstraZeneca's ROE at 16.57%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are ₹28944.05 for Abbott India and $67.08 for AstraZeneca. Over the past year, Abbott India's prices ranged from ₹22000.00 to ₹30521.00, with a yearly change of 38.73%. AstraZeneca's prices fluctuated between $60.47 and $87.68, with a yearly change of 45.00%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.