Allstate vs Guardian Capital

Allstate and Guardian Capital are two prominent companies in the financial services sector, each offering unique investment opportunities for shareholders. Allstate is a well-established insurance company that has a strong track record of profitability and customer satisfaction. On the other hand, Guardian Capital is a leading asset management firm known for its innovative investment strategies and diverse portfolio offerings. Both companies have experienced fluctuations in their stock prices in recent years, presenting investors with potential opportunities for growth and diversification.

Allstate or Guardian Capital?

When comparing Allstate and Guardian Capital, 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 Allstate and Guardian Capital.

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. Allstate has a dividend yield of 1.89%, while Guardian Capital has a dividend yield of 4.55%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. Allstate reports a 5-year dividend growth of 14.11% year and a payout ratio of 34.74%. On the other hand, Guardian Capital reports a 5-year dividend growth of 21.54% year and a payout ratio of 55.30%.

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 Allstate P/E ratio at 16.78 and Guardian Capital's P/E ratio at 14.99. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. Allstate P/B ratio is 2.74 while Guardian Capital's P/B ratio is 0.76.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, Allstate has seen a 5-year revenue growth of 0.90%, while Guardian Capital's is -0.03%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with Allstate's ROE at 17.46% and Guardian Capital's ROE at 5.05%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are $191.00 for Allstate and C$40.00 for Guardian Capital. Over the past year, Allstate's prices ranged from $121.70 to $195.87, with a yearly change of 60.94%. Guardian Capital's prices fluctuated between C$39.41 and C$52.13, with a yearly change of 32.28%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.