AMP vs Matson Which Is Stronger?
AMP Limited (AMP) and Matson, Inc. (MATX) are two companies in the financial and shipping sectors respectively, with their stocks being popular choices among investors. While AMP focuses on wealth management, insurance, and banking services in Australia and New Zealand, Matson primarily operates in the Pacific Ocean shipping industry, providing transportation and logistics solutions. Both stocks have their own unique characteristics, strengths, and challenges, making them an interesting comparison for investors looking to diversify their portfolios.
AMP or Matson?
When comparing AMP 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 AMP 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.
AMP has a dividend yield of 2.98%, while Matson has a dividend yield of 0.99%. 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, 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 AMP P/E ratio at 32.46 and Matson's P/E ratio at 13.57. 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 Matson's P/B ratio is 2.18.
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 Matson's is 0.68%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with AMP's ROE at 3.19% and Matson's ROE at 16.89%.
Retail Investors:
Retail investors often consider stock affordability and company familiarity. For example, day low prices are $0.66 for AMP and $164.06 for Matson. Over the past year, AMP's prices ranged from $0.58 to $0.94, with a yearly change of 62.07%. Matson's prices fluctuated between $91.98 and $169.12, with a yearly change of 83.87%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.