Canopy Growth vs Aurora Which Is Superior?

Canopy Growth and Aurora Cannabis are two prominent players in the rapidly growing cannabis industry. Both companies are major producers and distributors of marijuana products, with a focus on medicinal and recreational markets. Investors have been closely watching the stocks of these two companies as they compete for market share and seek to capitalize on the increasing acceptance of cannabis worldwide. This comparison of Canopy Growth and Aurora stocks will analyze their financial performance, growth prospects, and overall market position.

Canopy Growth or Aurora?

When comparing Canopy Growth and Aurora, 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 Canopy Growth and Aurora.

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. Canopy Growth has a dividend yield of -%, while Aurora has a dividend yield of 6.21%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. Canopy Growth reports a 5-year dividend growth of 0.00% year and a payout ratio of 0.00%. On the other hand, Aurora reports a 5-year dividend growth of -4.77% year and a payout ratio of 102.72%.

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 Canopy Growth P/E ratio at -0.68 and Aurora's P/E ratio at 14.80. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. Canopy Growth P/B ratio is 0.75 while Aurora's P/B ratio is 1.99.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, Canopy Growth has seen a 5-year revenue growth of 3.36%, while Aurora's is -0.20%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with Canopy Growth's ROE at -108.18% and Aurora's ROE at 14.00%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are $3.05 for Canopy Growth and NT$66.00 for Aurora. Over the past year, Canopy Growth's prices ranged from $2.75 to $14.92, with a yearly change of 441.56%. Aurora's prices fluctuated between NT$66.00 and NT$77.00, with a yearly change of 16.67%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.