Clover vs Toast Which Is Stronger?

Clover Health Investments Corp. (CLOV) and Toast Inc. (TOST) are two companies that have been making headlines in the stock market recently. Clover Health is a healthcare technology company focused on improving the quality and cost of care for patients. Meanwhile, Toast is a restaurant management platform that helps businesses streamline their operations. Both companies have unique value propositions and potential for growth, making them interesting stocks to watch for investors. In this comparison, we will delve into the key aspects of Clover Health and Toast stocks to help you make informed investment decisions.

Clover or Toast?

When comparing Clover and Toast, 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 Clover and Toast.

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. Clover has a dividend yield of 1.67%, while Toast has a dividend yield of -%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. Clover reports a 5-year dividend growth of -3.04% year and a payout ratio of 82.64%. On the other hand, Toast 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 Clover P/E ratio at 48.95 and Toast's P/E ratio at -438.11. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. Clover P/B ratio is 1.11 while Toast's P/B ratio is 15.12.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, Clover has seen a 5-year revenue growth of 0.25%, while Toast's is 4.49%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with Clover's ROE at 2.29% and Toast's ROE at -3.84%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are A$0.45 for Clover and $37.87 for Toast. Over the past year, Clover's prices ranged from A$0.36 to A$0.85, with a yearly change of 137.76%. Toast's prices fluctuated between $16.13 and $44.12, with a yearly change of 173.50%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.