Banner vs Workday Which Offers More Value?

Banner Corporation and Workday Inc. are two prominent companies in the stock market. Banner Corporation is a financial services company that offers banking and investment services, while Workday Inc. is a cloud-based software company specializing in human resources and financial management. Both companies have seen strong growth in their stock prices in recent years, but they operate in different industries and cater to different markets. Investors may consider factors such as financial performance, market conditions, and industry trends when evaluating these two stocks for potential investment opportunities.

Banner or Workday?

When comparing Banner and Workday, 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 Banner and Workday.

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. Banner has a dividend yield of 3.19%, while Workday has a dividend yield of -%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. Banner reports a 5-year dividend growth of 0.96% year and a payout ratio of 40.37%. On the other hand, Workday 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 Banner P/E ratio at 15.73 and Workday's P/E ratio at 45.47. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. Banner P/B ratio is 1.45 while Workday's P/B ratio is 8.40.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, Banner has seen a 5-year revenue growth of 0.39%, while Workday's is 1.37%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with Banner's ROE at 9.71% and Workday's ROE at 19.75%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are $74.47 for Banner and $255.01 for Workday. Over the past year, Banner's prices ranged from $41.92 to $76.93, with a yearly change of 83.52%. Workday's prices fluctuated between $199.81 and $311.28, with a yearly change of 55.79%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.