Cosco vs UnitedHealth Which Outperforms?

When comparing Cosco and UnitedHealth stocks, investors must consider the respective financials, business models, and industry trends of these two companies. Cosco operates in the retail sector, while UnitedHealth is a major player in the healthcare industry. Both companies have shown strong growth and profitability in recent years, attracting investors looking for stable and reliable returns. However, each stock carries its own unique risks and opportunities, making a thorough analysis essential before making an investment decision.

Cosco or UnitedHealth?

When comparing Cosco and UnitedHealth, 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 Cosco and UnitedHealth.

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. Cosco has a dividend yield of -%, while UnitedHealth has a dividend yield of 2.05%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. Cosco reports a 5-year dividend growth of 0.00% year and a payout ratio of 0.00%. On the other hand, UnitedHealth reports a 5-year dividend growth of 0.00% year and a payout ratio of 51.26%.

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 Cosco P/E ratio at 40.02 and UnitedHealth's P/E ratio at 1.23. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. Cosco P/B ratio is 2.90 while UnitedHealth's P/B ratio is 0.19.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, Cosco has seen a 5-year revenue growth of 0.33%, while UnitedHealth's is 0.70%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with Cosco's ROE at 10.02% and UnitedHealth's ROE at 15.94%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are ₹360.00 for Cosco and C$26.56 for UnitedHealth. Over the past year, Cosco's prices ranged from ₹50.75 to ₹378.40, with a yearly change of 645.62%. UnitedHealth's prices fluctuated between C$21.03 and C$30.05, with a yearly change of 42.89%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.