Advanced Micro Devices vs LVMH Which Should You Buy?

Advanced Micro Devices (AMD) and LVMH Moet Hennessy Louis Vuitton SE are two companies that operate in vastly different industries, but both are major players in their respective sectors. AMD is a semiconductor company known for its high-performance computing solutions, while LVMH is a luxury goods conglomerate with a portfolio of prestigious brands. Investors may be interested in comparing the performance of these stocks to determine which offers better potential for growth and profitability. Let's take a closer look at the financial performance and future prospects of AMD and LVMH.

Advanced Micro Devices or LVMH?

When comparing Advanced Micro Devices and LVMH, 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 Advanced Micro Devices and LVMH.

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. Advanced Micro Devices has a dividend yield of -%, while LVMH has a dividend yield of 2.15%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. Advanced Micro Devices reports a 5-year dividend growth of 0.00% year and a payout ratio of 0.00%. On the other hand, LVMH reports a 5-year dividend growth of 16.19% year and a payout ratio of 48.75%.

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 Advanced Micro Devices P/E ratio at 112.59 and LVMH's P/E ratio at 22.90. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. Advanced Micro Devices P/B ratio is 3.61 while LVMH's P/B ratio is 4.93.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, Advanced Micro Devices has seen a 5-year revenue growth of 1.29%, while LVMH's is 0.85%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with Advanced Micro Devices's ROE at 3.24% and LVMH's ROE at 22.19%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are $124.77 for Advanced Micro Devices and $668.40 for LVMH. Over the past year, Advanced Micro Devices's prices ranged from $121.83 to $227.30, with a yearly change of 86.57%. LVMH's prices fluctuated between $598.42 and $958.69, with a yearly change of 60.20%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.