CE vs CCC Which Should You Buy?

Certified Electrical (CE) and China Compulsory Certification (CCC) stocks are two distinct categories of stocks representing companies in different industries and regions. CE stocks typically refer to companies in the electrical and electronics sector that have met specific standards for quality and safety in Europe. On the other hand, CCC stocks are companies in China that have obtained the mandatory certification required for products sold in the Chinese market. Both types of stocks can offer investment opportunities, but carry different risks and growth potential.

CE or CCC?

When comparing CE and CCC, 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 CE and CCC.

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. CE has a dividend yield of 2.68%, while CCC has a dividend yield of -%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. CE reports a 5-year dividend growth of 2.29% year and a payout ratio of 0.00%. On the other hand, CCC 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 CE P/E ratio at -7437.49 and CCC's P/E ratio at 24.47. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. CE P/B ratio is 1.44 while CCC's P/B ratio is 9.84.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, CE has seen a 5-year revenue growth of 0.46%, while CCC's is 0.25%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with CE's ROE at -0.02% and CCC's ROE at 50.37%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are ¥557.00 for CE and zł189.20 for CCC. Over the past year, CE's prices ranged from ¥355.00 to ¥656.00, with a yearly change of 84.79%. CCC's prices fluctuated between zł54.60 and zł219.00, with a yearly change of 301.10%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.