AL vs Matson Which Is More Profitable?

AL and Matson are two prominent companies in the shipping and logistics industry, each with its own strengths and weaknesses when it comes to their stocks. AL, also known as American Linehaul Corporation, has a strong track record of growth and stability in the market, making it a popular choice for investors looking for long-term returns. On the other hand, Matson, a leader in ocean transportation and logistics, offers a diverse range of services that attract a different segment of investors. Understanding the key differences between these two stocks can help investors make informed decisions about where to put their money.

AL or Matson?

When comparing AL and Matson, 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 AL and Matson.

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. AL has a dividend yield of -%, while Matson has a dividend yield of 0.9%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. AL reports a 5-year dividend growth of 0.00% year and a payout ratio of 0.00%. On the other hand, Matson reports a 5-year dividend growth of 8.97% year and a payout ratio of 10.88%.

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 AL P/E ratio at -15.83 and Matson's P/E ratio at 11.87. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. AL P/B ratio is -35.91 while Matson's P/B ratio is 1.91.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, AL has seen a 5-year revenue growth of -0.93%, while Matson's is 0.68%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with AL's ROE at 166.45% and Matson's ROE at 16.89%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are HK$0.57 for AL and $143.07 for Matson. Over the past year, AL's prices ranged from HK$0.48 to HK$0.98, with a yearly change of 104.17%. Matson's prices fluctuated between $94.58 and $169.12, with a yearly change of 78.81%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.