ASML vs QUALCOMM Which Offers More Value?

ASML and Qualcomm are two companies operating in the technology sector that have seen significant growth in their stock prices in recent years. ASML is a Dutch company that specializes in the production of semiconductor equipment, while Qualcomm is an American multinational corporation known for its telecommunications products and services. Both companies have been at the forefront of technological innovation and have garnered substantial investor interest. Investors looking to capitalize on the booming tech industry may consider investing in ASML and Qualcomm stocks for potential long-term growth and profitability.

ASML or QUALCOMM ?

When comparing ASML and QUALCOMM , 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 QUALCOMM .

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 1.14%, while QUALCOMM has a dividend yield of 2.06%. 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, QUALCOMM reports a 5-year dividend growth of 5.33% year and a payout ratio of 35.81%.

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 36.19 and QUALCOMM 's P/E ratio at 17.64. 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 15.53 while QUALCOMM 's P/B ratio is 6.81.

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 1.72%, while QUALCOMM 's is 1.06%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with ASML's ROE at 47.68% and QUALCOMM 's ROE at 41.20%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are $656.78 for ASML and $159.84 for QUALCOMM . Over the past year, ASML's prices ranged from $654.77 to $1110.09, with a yearly change of 69.54%. QUALCOMM 's prices fluctuated between $125.67 and $230.63, with a yearly change of 83.52%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.