Chewy vs Atlassian Which Performs Better?

Chewy and Atlassian are two prominent companies in the stock market, each with a unique product offering and business model. Chewy, a leading online retailer of pet supplies, has seen steady growth in its stock price due to the increasing pet ownership and demand for convenient shopping options. On the other hand, Atlassian, a software company known for its collaboration tools, has also gained popularity among investors for its innovative products and strong financial performance. In this analysis, we will compare the stocks of Chewy and Atlassian to determine which may offer a better investment opportunity.

Chewy or Atlassian?

When comparing Chewy and Atlassian, 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 Chewy and Atlassian.

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. Chewy has a dividend yield of -%, while Atlassian has a dividend yield of -%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. Chewy reports a 5-year dividend growth of 0.00% year and a payout ratio of 0.00%. On the other hand, Atlassian 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 Chewy P/E ratio at 38.83 and Atlassian's P/E ratio at -162.82. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. Chewy P/B ratio is 29.08 while Atlassian's P/B ratio is 62.10.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, Chewy has seen a 5-year revenue growth of 1.89%, while Atlassian's is 2.65%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with Chewy's ROE at 71.71% and Atlassian's ROE at -38.28%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are $32.80 for Chewy and $242.01 for Atlassian. Over the past year, Chewy's prices ranged from $14.69 to $39.10, with a yearly change of 166.26%. Atlassian's prices fluctuated between $135.29 and $258.69, with a yearly change of 91.21%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.