Compass vs Upstart Which Is Superior?

Compass and Upstart stocks represent two distinct opportunities in the ever-evolving world of investing. Compass, a real estate technology company, offers investors a chance to capitalize on the digitization of the real estate market. On the other hand, Upstart, a financial technology company, leverages artificial intelligence and machine learning to revolutionize the lending industry. Both companies present unique growth potential and opportunities for investors to diversify their portfolios and potentially achieve lucrative returns.

Compass or Upstart?

When comparing Compass and Upstart, 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 Upstart.

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 Upstart 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, Upstart 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 -17.41 and Upstart's P/E ratio at -41.51. 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 8.04 while Upstart's P/B ratio is 11.72.

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 Upstart's is -0.31%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with Compass's ROE at -49.85% and Upstart's ROE at -27.60%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are $6.59 for Compass and $76.63 for Upstart. Over the past year, Compass's prices ranged from $1.88 to $7.01, with a yearly change of 272.87%. Upstart's prices fluctuated between $20.25 and $86.07, with a yearly change of 325.04%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.