Amazon.com vs Kering Which Performs Better?

Amazon.com and Kering are two giants in the retail industry with very different business models. Amazon.com is known for its e-commerce platform offering a wide range of products, while Kering is a luxury goods conglomerate, owning brands such as Gucci, Yves Saint Laurent, and Balenciaga. Both companies have seen significant growth in their stock prices in recent years, but investors may have to consider factors such as market trends, competition, and consumer behavior to make informed investment decisions.

Amazon.com or Kering?

When comparing Amazon.com and Kering, 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 Amazon.com and Kering.

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. Amazon.com has a dividend yield of -%, while Kering has a dividend yield of 7.83%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. Amazon.com reports a 5-year dividend growth of 0.00% year and a payout ratio of 0.00%. On the other hand, Kering reports a 5-year dividend growth of 16.17% year and a payout ratio of 64.15%.

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 Amazon.com P/E ratio at 43.84 and Kering's P/E ratio at 10.20. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. Amazon.com P/B ratio is 8.44 while Kering's P/B ratio is 1.83.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, Amazon.com has seen a 5-year revenue growth of 1.33%, while Kering's is 0.47%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with Amazon.com's ROE at 21.82% and Kering's ROE at 17.77%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are $207.44 for Amazon.com and $238.64 for Kering. Over the past year, Amazon.com's prices ranged from $139.52 to $212.25, with a yearly change of 52.13%. Kering's prices fluctuated between $238.64 and $480.99, with a yearly change of 101.55%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.