AMP vs EMC Which Is a Smarter Choice?

AMP Limited and EMC Corporation are two well-known companies in the technology sector. AMP is an Australian financial services company that offers a range of products and services, including superannuation, insurance, and banking. EMC, on the other hand, is an American multinational corporation that specializes in information storage and management solutions. Both companies have seen fluctuations in their stock prices in recent years, with investors keeping a close eye on developments in the industry. This comparison will delve into the key differences between AMP and EMC stocks, including their performance, market trends, and potential for future growth.

AMP or EMC?

When comparing AMP and EMC, 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 AMP and EMC.

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. AMP has a dividend yield of 2.98%, while EMC has a dividend yield of -%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. AMP reports a 5-year dividend growth of 0.00% year and a payout ratio of 103.31%. On the other hand, EMC 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 AMP P/E ratio at 32.46 and EMC's P/E ratio at -2.21. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. AMP P/B ratio is 1.06 while EMC's P/B ratio is 0.68.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, AMP has seen a 5-year revenue growth of -0.67%, while EMC's is -0.81%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with AMP's ROE at 3.19% and EMC's ROE at -33.79%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are $0.66 for AMP and ฿0.09 for EMC. Over the past year, AMP's prices ranged from $0.58 to $0.94, with a yearly change of 62.07%. EMC's prices fluctuated between ฿0.04 and ฿0.12, with a yearly change of 200.00%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.