Central vs Enterprise

When it comes to investing in stocks, there are two main categories to consider: central and enterprise stocks. Central stocks are issued by the government or central bank, representing ownership in the country's economy as a whole. On the other hand, enterprise stocks are issued by individual companies, providing ownership in specific businesses. Both types of stocks offer unique opportunities and risks for investors to consider, making it important to carefully evaluate which type aligns best with their financial goals and risk tolerance.

Central or Enterprise?

When comparing Central and Enterprise, 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 Central and Enterprise.

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. Central has a dividend yield of -%, while Enterprise has a dividend yield of -%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. Central reports a 5-year dividend growth of 0.00% year and a payout ratio of 0.00%. On the other hand, Enterprise 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 Central P/E ratio at -288.30 and Enterprise's P/E ratio at 17.32. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. Central P/B ratio is 46.44 while Enterprise's P/B ratio is 2.63.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, Central has seen a 5-year revenue growth of 0.00%, while Enterprise's is 0.81%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with Central's ROE at -14.50% and Enterprise's ROE at 17.41%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are HK$8.29 for Central and $1.71 for Enterprise. Over the past year, Central's prices ranged from HK$3.96 to HK$9.99, with a yearly change of 152.27%. Enterprise's prices fluctuated between $0.41 and $2.10, with a yearly change of 412.20%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.