Apple vs Elon Which Is More Promising?
Apple and Elon stocks have been two of the most talked-about investments in recent years, with both companies experiencing significant growth and volatility. Apple, the tech giant known for its innovative products and loyal customer base, has consistently been a favorite among investors for its stable performance. On the other hand, Elon Musk's companies, including Tesla and SpaceX, have captured the market's attention with their disruptive technologies and ambitious goals. Both stocks have their own unique strengths and weaknesses, making them intriguing options for investors looking to diversify their portfolios.
Apple or Elon?
When comparing Apple and Elon, 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 Apple and Elon.
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.
Apple has a dividend yield of 0.4%, while Elon has a dividend yield of 4.9%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. Apple reports a 5-year dividend growth of -19.56% year and a payout ratio of 16.25%. On the other hand, Elon reports a 5-year dividend growth of -13.99% year and a payout ratio of 70.29%.
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 Apple P/E ratio at 39.94 and Elon's P/E ratio at 15.86. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. Apple P/B ratio is 65.74 while Elon's P/B ratio is 0.70.
Growth Investors:
Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, Apple has seen a 5-year revenue growth of 0.82%, while Elon's is -0.08%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with Apple's ROE at 137.87% and Elon's ROE at 4.37%.
Retail Investors:
Retail investors often consider stock affordability and company familiarity. For example, day low prices are $241.76 for Apple and kr24.70 for Elon. Over the past year, Apple's prices ranged from $164.08 to $247.24, with a yearly change of 50.68%. Elon's prices fluctuated between kr21.10 and kr30.50, with a yearly change of 44.55%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.