BlackRock vs Apple Which Is a Better Investment?
Both BlackRock and Apple are powerhouse companies in the financial and technology sectors, with significant influence on the global market. BlackRock, the world's largest asset management firm, is known for its diverse portfolio and strong financial performance. On the other hand, Apple is a leading technology company known for its innovative products and loyal customer base. Both stocks have shown resilience in the face of economic challenges, making them attractive options for investors seeking stability and growth potential.
BlackRock or Apple?
When comparing BlackRock and Apple, 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 BlackRock and Apple.
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.
BlackRock has a dividend yield of 1.93%, while Apple has a dividend yield of 0.4%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. BlackRock reports a 5-year dividend growth of 10.72% year and a payout ratio of 50.26%. On the other hand, Apple reports a 5-year dividend growth of -19.56% year and a payout ratio of 16.25%.
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 BlackRock P/E ratio at 25.74 and Apple's P/E ratio at 40.16. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. BlackRock P/B ratio is 3.80 while Apple's P/B ratio is 66.10.
Growth Investors:
Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, BlackRock has seen a 5-year revenue growth of 0.36%, while Apple's is 0.82%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with BlackRock's ROE at 15.15% and Apple's ROE at 137.87%.
Retail Investors:
Retail investors often consider stock affordability and company familiarity. For example, day low prices are $1052.33 for BlackRock and $246.24 for Apple. Over the past year, BlackRock's prices ranged from $745.55 to $1082.45, with a yearly change of 45.19%. Apple's prices fluctuated between $164.08 and $250.80, with a yearly change of 52.85%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.