CNC vs AM Which Is More Promising?

CNC (Computer Numerical Control) and AM (Additive Manufacturing) stocks are at the forefront of the manufacturing industry, revolutionizing the way products are designed, prototyped, and produced. CNC stocks involve using automated machinery to cut and shape materials into specific designs, while AM stocks utilize 3D printing technology to build up layers of material to create objects. Both technologies have their advantages and disadvantages, and investors are closely monitoring the growth and potential of these emerging sectors in the stock market.

CNC or AM?

When comparing CNC and AM, 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 CNC and AM.

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. CNC has a dividend yield of -%, while AM has a dividend yield of -%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. CNC reports a 5-year dividend growth of 0.00% year and a payout ratio of 0.00%. On the other hand, AM 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 CNC P/E ratio at -244.12 and AM's P/E ratio at -1.90. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. CNC P/B ratio is -7.61 while AM's P/B ratio is 0.22.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, CNC has seen a 5-year revenue growth of 143.36%, while AM's is 0.00%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with CNC's ROE at 3.15% and AM's ROE at -11.30%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are HK$0.76 for CNC and HK$0.05 for AM. Over the past year, CNC's prices ranged from HK$0.34 to HK$2.10, with a yearly change of 526.87%. AM's prices fluctuated between HK$0.04 and HK$0.10, with a yearly change of 134.09%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.