Compass vs SkyWest Which Performs Better?

Compass Group Plc and SkyWest Inc. are two companies in the airline industry that offer investors the opportunity to invest in the growing air transportation market. Compass is a leading provider of catering services to airlines, while SkyWest operates a regional airline in the United States. Both companies have experienced growth in recent years due to increasing demand for air travel. Investors looking to capitalize on this trend may consider investing in either Compass or SkyWest stocks, as they both offer potential for strong returns in the future.

Compass or SkyWest?

When comparing Compass and SkyWest, 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 SkyWest.

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 SkyWest has a dividend yield of -%. 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 -14.93%. On the other hand, SkyWest 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 Compass P/E ratio at -18.16 and SkyWest's P/E ratio at 18.13. 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 8.38 while SkyWest's P/B ratio is 1.91.

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 SkyWest's is 0.08%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with Compass's ROE at -49.85% and SkyWest's ROE at 11.02%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are $6.93 for Compass and $107.53 for SkyWest. Over the past year, Compass's prices ranged from $2.57 to $7.69, with a yearly change of 199.22%. SkyWest's prices fluctuated between $47.33 and $117.51, with a yearly change of 148.28%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.