AstraZeneca vs BioNTech Which Outperforms?

AstraZeneca and BioNTech are two pharmaceutical companies that have made significant strides in the development and distribution of COVID-19 vaccines. Both companies have seen their stocks rise dramatically in response to the global pandemic, with investors placing bets on which company will emerge as the leader in the race for a successful vaccine. AstraZeneca, a British-Swedish multinational pharmaceutical company, has partnered with the University of Oxford to develop a vaccine, while BioNTech, a German biotechnology company, has collaborated with Pfizer to create their own vaccine candidate. The competition between these two companies has drawn the attention of investors worldwide, as they closely monitor the progress of their respective vaccine candidates and anticipate the potential impact on their stock prices.

AstraZeneca or BioNTech?

When comparing AstraZeneca and BioNTech, 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 AstraZeneca and BioNTech.

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. AstraZeneca has a dividend yield of 2.22%, while BioNTech has a dividend yield of -%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. AstraZeneca reports a 5-year dividend growth of 0.42% year and a payout ratio of 71.25%. On the other hand, BioNTech 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 AstraZeneca P/E ratio at 31.78 and BioNTech's P/E ratio at -58.75. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. AstraZeneca P/B ratio is 5.07 while BioNTech's P/B ratio is 1.44.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, AstraZeneca has seen a 5-year revenue growth of 0.70%, while BioNTech's is 26.96%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with AstraZeneca's ROE at 16.57% and BioNTech's ROE at -2.38%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are $66.14 for AstraZeneca and $117.80 for BioNTech. Over the past year, AstraZeneca's prices ranged from $60.47 to $87.68, with a yearly change of 45.00%. BioNTech's prices fluctuated between $76.53 and $131.49, with a yearly change of 71.81%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.