Big 5 Sporting Goods vs DICK'S Sporting Goods Which Is More Profitable?

Big 5 Sporting Goods and DICK'S Sporting Goods are two major retailers in the sporting goods industry, each offering a wide range of products and services for sports enthusiasts. Both companies have seen fluctuations in their stock prices over the years, driven by factors such as consumer trends, competition, and overall market conditions. Investors looking to gain exposure to the sports retail sector may consider analyzing the performance and potential of these two companies to make informed investment decisions.

Big 5 Sporting Goods or DICK'S Sporting Goods?

When comparing Big 5 Sporting Goods and DICK'S Sporting Goods, 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 Big 5 Sporting Goods and DICK'S Sporting Goods.

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. Big 5 Sporting Goods has a dividend yield of 13.01%, while DICK'S Sporting Goods has a dividend yield of 2.72%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. Big 5 Sporting Goods reports a 5-year dividend growth of 11.84% year and a payout ratio of -9.74%. On the other hand, DICK'S Sporting Goods reports a 5-year dividend growth of 34.76% year and a payout ratio of 30.41%.

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 Big 5 Sporting Goods P/E ratio at -0.67 and DICK'S Sporting Goods's P/E ratio at 14.06. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. Big 5 Sporting Goods P/B ratio is 0.19 while DICK'S Sporting Goods's P/B ratio is 5.46.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, Big 5 Sporting Goods has seen a 5-year revenue growth of -0.14%, while DICK'S Sporting Goods's is 0.83%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with Big 5 Sporting Goods's ROE at -25.33% and DICK'S Sporting Goods's ROE at 42.78%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are $1.69 for Big 5 Sporting Goods and $197.55 for DICK'S Sporting Goods. Over the past year, Big 5 Sporting Goods's prices ranged from $1.45 to $6.90, with a yearly change of 375.86%. DICK'S Sporting Goods's prices fluctuated between $110.08 and $239.30, with a yearly change of 117.39%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.