ASOS vs Dropbox Which Is More Profitable?

ASOS and Dropbox are two high-profile companies in the technology and e-commerce industries, with both companies experiencing substantial growth and success in recent years. ASOS is a global online fashion retailer, known for its trendy clothing and accessories, while Dropbox is a leading cloud storage and file-sharing platform. Both companies have garnered attention from investors for their innovative business models and potential for future growth. In this comparison, we will analyze the financial performance and market trends of ASOS and Dropbox stocks to determine which may be the better investment option.

ASOS or Dropbox?

When comparing ASOS and Dropbox, 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 ASOS and Dropbox.

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. ASOS has a dividend yield of -%, while Dropbox has a dividend yield of -%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. ASOS reports a 5-year dividend growth of 0.00% year and a payout ratio of 0.00%. On the other hand, Dropbox 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 ASOS P/E ratio at -1.74 and Dropbox's P/E ratio at 12.30. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. ASOS P/B ratio is 0.83 while Dropbox's P/B ratio is -16.05.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, ASOS has seen a 5-year revenue growth of 0.17%, while Dropbox's is 0.89%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with ASOS's ROE at -43.49% and Dropbox's ROE at -209.53%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are $4.59 for ASOS and $26.96 for Dropbox. Over the past year, ASOS's prices ranged from $4.11 to $5.89, with a yearly change of 43.31%. Dropbox's prices fluctuated between $20.68 and $33.43, with a yearly change of 61.65%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.