Compass vs Kia

Investors looking to diversify their portfolios may be considering Compass and Kia stocks. Both companies operate in the automotive industry, but they have distinct differences in their focus and market presence. Compass is a luxury car manufacturer, known for its high-end vehicles and advanced technology. On the other hand, Kia is a more mainstream brand that offers a range of affordable and reliable vehicles. Understanding the growth potential and financial performance of each company can help investors make informed decisions about their investments.

Compass or Kia?

When comparing Compass and Kia, 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 Compass and Kia.

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. Compass has a dividend yield of -%, while Kia has a dividend yield of 5.7%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. Compass reports a 5-year dividend growth of 0.00% year and a payout ratio of -12.54%. On the other hand, Kia reports a 5-year dividend growth of 0.00% year and a payout ratio of 22.85%.

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 Compass P/E ratio at -12.69 and Kia's P/E ratio at 4.11. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. Compass P/B ratio is 7.50 while Kia's P/B ratio is 0.77.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, Compass has seen a 5-year revenue growth of 3.20%, while Kia's is 0.87%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with Compass's ROE at -57.69% and Kia's ROE at 20.22%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are $5.96 for Compass and ₩97500.00 for Kia. Over the past year, Compass's prices ranged from $1.81 to $6.78, with a yearly change of 273.55%. Kia's prices fluctuated between ₩76800.00 and ₩135000.00, with a yearly change of 75.78%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.