AMP vs Sealed Air Which Should You Buy?

AMP Limited is a financial services organization based in Australia, while Sealed Air Corporation is a packaging solutions company headquartered in the United States. Both companies operate in different industries with AMP focusing on wealth management and insurance services, while Sealed Air specializes in innovative packaging products. Each company has its own unique strengths and challenges, making them appealing to different types of investors. This comparison will explore the performance and potential growth of AMP vs. Sealed Air stocks in the market.

AMP or Sealed Air?

When comparing AMP and Sealed Air, 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 Sealed Air.

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 3.09%, while Sealed Air has a dividend yield of 2.19%. 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, Sealed Air reports a 5-year dividend growth of 4.56% year and a payout ratio of 29.75%.

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 32.95 and Sealed Air's P/E ratio at 13.43. 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 1.07 while Sealed Air's P/B ratio is 6.90.

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 -0.97%, while Sealed Air's is 0.28%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with AMP's ROE at 3.19% and Sealed Air's ROE at 61.66%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are $0.66 for AMP and $36.13 for Sealed Air. Over the past year, AMP's prices ranged from $0.58 to $0.94, with a yearly change of 62.07%. Sealed Air's prices fluctuated between $30.87 and $41.14, with a yearly change of 33.27%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.