Apple vs Sea Which Is a Better Investment?

Apple and Sea Limited are two prominent tech companies in the stock market, each with a unique offering and strong presence in their respective sectors. Apple, a leading innovator in consumer electronics and software, has a long history of delivering groundbreaking products and steady growth. On the other hand, Sea Limited, a multinational technology company based in Singapore, has been making waves in the e-commerce and digital entertainment space, rapidly expanding its market share and revenue. In this comparison, we will delve into the performance, market dynamics, and future outlook of Apple versus Sea stocks.

Apple or Sea?

When comparing Apple and Sea, 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 Sea.

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 Sea has a dividend yield of -%. 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, Sea 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 Apple P/E ratio at 40.10 and Sea's P/E ratio at 655.13. 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 66.01 while Sea's P/B ratio is 8.35.

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 Sea's is 8.44%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with Apple's ROE at 137.87% and Sea's ROE at 1.44%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are $245.34 for Apple and $111.70 for Sea. Over the past year, Apple's prices ranged from $164.08 to $248.21, with a yearly change of 51.27%. Sea's prices fluctuated between $34.35 and $119.47, with a yearly change of 247.80%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.