Aurora vs Auxly Cannabis Which Offers More Value?

Aurora Cannabis and Auxly Cannabis Group are two prominent names in the rapidly growing cannabis industry. Aurora, a Canadian-based company, is one of the largest cannabis producers in the world, while Auxly, also based in Canada, focuses on investing in various segments of the cannabis market. Both companies have seen fluctuations in their stock prices due to shifts in government regulations and market demand. Understanding the differences between these two companies can help investors make informed decisions when considering investing in cannabis stocks.

Aurora or Auxly Cannabis?

When comparing Aurora and Auxly Cannabis, 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 Aurora and Auxly Cannabis.

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. Aurora has a dividend yield of 6.14%, while Auxly Cannabis has a dividend yield of -%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. Aurora reports a 5-year dividend growth of -4.77% year and a payout ratio of 102.72%. On the other hand, Auxly Cannabis 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 Aurora P/E ratio at 14.98 and Auxly Cannabis's P/E ratio at -0.57. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. Aurora P/B ratio is 2.01 while Auxly Cannabis's P/B ratio is 0.38.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, Aurora has seen a 5-year revenue growth of -0.20%, while Auxly Cannabis's is 65.84%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with Aurora's ROE at 14.00% and Auxly Cannabis's ROE at -80.23%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are NT$66.70 for Aurora and $0.03 for Auxly Cannabis. Over the past year, Aurora's prices ranged from NT$66.20 to NT$77.00, with a yearly change of 16.31%. Auxly Cannabis's prices fluctuated between $0.01 and $0.06, with a yearly change of 587.50%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.