Aurora vs CannTrust Which Is More Reliable?

Aurora Cannabis and CannTrust Holdings are two prominent players in the rapidly growing cannabis industry. Aurora, a Canadian-based company, has established itself as a major player in the marijuana market with a strong global footprint. On the other hand, CannTrust, another Canadian company, has faced significant challenges due to regulatory violations that have impacted its stock performance. As investors weigh the pros and cons of both companies, the debate over Aurora vs CannTrust stocks continues to intensify.

Aurora or CannTrust?

When comparing Aurora and CannTrust, 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 CannTrust.

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 6.23%, while CannTrust 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, CannTrust 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 14.80 and CannTrust's P/E ratio at -0.00. 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 1.98 while CannTrust's P/B ratio is 0.00.

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 CannTrust's is 0.00%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with Aurora's ROE at 14.00% and CannTrust's ROE at -11.07%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are NT$65.80 for Aurora and $0.00 for CannTrust. Over the past year, Aurora's prices ranged from NT$65.80 to NT$77.00, with a yearly change of 17.02%. CannTrust's prices fluctuated between $0.00 and $0.00, with a yearly change of 9900.00%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.