ATP 30 vs ADT Which Is a Smarter Choice?

ATP 30 and ADT stocks are two distinct investment options in the financial market. ATP 30 is a stock index that represents a group of 30 leading Australian companies, providing investors with exposure to a diversified portfolio of high-performing stocks. In contrast, ADT stocks belong to ADT Inc., a renowned provider of home security solutions. Both investment options offer potential for growth and profitability, but investors must carefully consider their individual financial goals and risk tolerance before deciding where to allocate their capital.

ATP 30 or ADT?

When comparing ATP 30 and ADT, 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 ATP 30 and ADT.

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. ATP 30 has a dividend yield of 2.0%, while ADT has a dividend yield of 3.06%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. ATP 30 reports a 5-year dividend growth of 0.00% year and a payout ratio of 31.59%. On the other hand, ADT reports a 5-year dividend growth of 0.00% year and a payout ratio of 18.54%.

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 ATP 30 P/E ratio at 15.47 and ADT's P/E ratio at 7.35. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. ATP 30 P/B ratio is 1.25 while ADT's P/B ratio is 1.67.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, ATP 30 has seen a 5-year revenue growth of 0.32%, while ADT's is -0.11%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with ATP 30's ROE at 8.21% and ADT's ROE at 23.30%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are ฿0.99 for ATP 30 and $7.17 for ADT. Over the past year, ATP 30's prices ranged from ฿0.81 to ฿1.33, with a yearly change of 64.20%. ADT's prices fluctuated between $6.02 and $8.25, with a yearly change of 37.04%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.