Compass vs Venture

Compass and Venture stocks are two popular investment options for individuals looking to grow their wealth in the stock market. Compass stocks often represent established, stable companies with consistent earnings and dividends, offering a lower risk but potentially lower return on investment. On the other hand, Venture stocks are typically high-risk, high-reward investments in small, innovative companies with the potential for explosive growth. Both options have their own set of advantages and risks, making them suitable for different types of investors based on their risk tolerance and investment objectives.

Compass or Venture?

When comparing Compass and Venture, 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 Venture.

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 Venture has a dividend yield of 4.27%. 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, Venture reports a 5-year dividend growth of -1.29% year and a payout ratio of 85.85%.

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 Venture's P/E ratio at 75.24. 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 Venture's P/B ratio is 6.69.

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 Venture's is -0.83%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with Compass's ROE at -57.69% and Venture's ROE at 8.94%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are $5.96 for Compass and $50.18 for Venture. Over the past year, Compass's prices ranged from $1.81 to $6.78, with a yearly change of 273.55%. Venture's prices fluctuated between $41.50 and $57.63, with a yearly change of 38.87%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.