ASOS vs FedEx Which Is More Lucrative?

ASOS and FedEx are both prominent companies in their respective industries, with ASOS specializing in online fashion retail and FedEx being a leading global courier delivery services provider. Both companies have seen significant growth in recent years, but their stocks have performed differently in terms of market value and profitability. This comparison will analyze the financial performance of ASOS and FedEx, their competitive positioning in their industries, and the potential factors driving their stock prices.

ASOS or FedEx?

When comparing ASOS and FedEx, 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 FedEx.

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 FedEx has a dividend yield of 2.3%. 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, FedEx reports a 5-year dividend growth of 15.01% year and a payout ratio of 31.63%.

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 -1.80 and FedEx's P/E ratio at 17.69. 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 0.72 while FedEx's P/B ratio is 2.63.

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 FedEx's is 0.45%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with ASOS's ROE at -33.38% and FedEx's ROE at 15.00%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are $4.71 for ASOS and $288.70 for FedEx. Over the past year, ASOS's prices ranged from $4.11 to $5.89, with a yearly change of 43.31%. FedEx's prices fluctuated between $234.45 and $313.84, with a yearly change of 33.86%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.