ASML vs Keysight Technologies Which Is More Favorable?

ASML Holding NV and Keysight Technologies are two leading companies in the technology sector with a focus on semiconductor equipment and testing solutions, respectively. ASML has seen steady growth in its stock price due to strong demand for its cutting-edge lithography systems used in chip production. On the other hand, Keysight Technologies has also experienced growth as a key player in the development of electronic measurement equipment. Both companies are well-positioned in their respective markets, making them promising investments for those looking to capitalize on the expanding tech industry.

ASML or Keysight Technologies?

When comparing ASML and Keysight Technologies, 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 ASML and Keysight Technologies.

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. ASML has a dividend yield of 0.9%, while Keysight Technologies has a dividend yield of -%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. ASML reports a 5-year dividend growth of 29.40% year and a payout ratio of 35.02%. On the other hand, Keysight Technologies 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 ASML P/E ratio at 38.66 and Keysight Technologies's P/E ratio at 47.43. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. ASML P/B ratio is 16.58 while Keysight Technologies's P/B ratio is 5.71.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, ASML has seen a 5-year revenue growth of 1.71%, while Keysight Technologies's is 0.48%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with ASML's ROE at 47.68% and Keysight Technologies's ROE at 12.25%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are $710.63 for ASML and $166.56 for Keysight Technologies. Over the past year, ASML's prices ranged from $645.45 to $1110.09, with a yearly change of 71.99%. Keysight Technologies's prices fluctuated between $119.72 and $175.39, with a yearly change of 46.50%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.