Akzo Nobel vs Axalta Coating Systems

Akzo Nobel and Axalta Coating Systems are two major players in the global coatings and chemicals industry, both boasting a solid reputation and a strong presence in the market. Akzo Nobel, headquartered in the Netherlands, has a long history of innovation and sustainability, while Axalta Coating Systems, based in the United States, is known for its high-quality products and customer-centric approach. Investors looking to capitalize on the growth potential of the coatings industry may find both companies as attractive investment options.

Akzo Nobel or Axalta Coating Systems?

When comparing Akzo Nobel and Axalta Coating Systems, 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 Akzo Nobel and Axalta Coating Systems.

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. Akzo Nobel has a dividend yield of 2.93%, while Axalta Coating Systems has a dividend yield of -%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. Akzo Nobel reports a 5-year dividend growth of -7.47% year and a payout ratio of 59.18%. On the other hand, Axalta Coating Systems reports a 5-year dividend growth of 0.00% year and a payout ratio of 0.00%.

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 Akzo Nobel P/E ratio at 18.31 and Axalta Coating Systems's P/E ratio at 27.04. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. Akzo Nobel P/B ratio is 2.41 while Axalta Coating Systems's P/B ratio is 4.56.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, Akzo Nobel has seen a 5-year revenue growth of 0.53%, while Axalta Coating Systems's is 0.19%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with Akzo Nobel's ROE at 13.24% and Axalta Coating Systems's ROE at 17.50%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are $22.82 for Akzo Nobel and $36.76 for Axalta Coating Systems. Over the past year, Akzo Nobel's prices ranged from $19.40 to $27.99, with a yearly change of 44.28%. Axalta Coating Systems's prices fluctuated between $25.03 and $37.78, with a yearly change of 50.93%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.